Motorcycle Insurance in Depth

Motorcycle Insurance in Depth

Most people think that using a proper gear while on bike means you are protected. The truth is that motorcycles have far more higher rate of accidents per distance than cars and the reason is simple: a motorcycle rider is unlike car driver exposed to the traffic and bike is a much smaller vehicle and because of that harder to be noticed.

The problem is: you might end up in a ditch because of a car driver’s improper driving and even pay him as if you were guilty only because he had a good lawyer. You are injured from the falling down and your bike is ruined. Then you have two options: to spend thousands of dollars for medical care and repair of your motorcycle or to let your insurance company take care of the bill. This is the reason you have to make a smart choice when it comes to insurance company. If you find it very hard to get familiar with choosing the right insurance policy for your motorcycle imagine it like choosing the right bike for yourself – it has to fit your way of life and fit the budget at the same time.

You have to contact more insurance companies and find the best rates they offer, because the best coverage for you and your bike does not immediately mean high insurance quote. All available options you have to match with your type of bike, your driving history, location, your behavior during ride, etc.

There is something called minimum amount of liability coverage that most of US states require, but you can see that there are also types of coverage that are optional. Therefore, ask your insurance representative about laws in your city and state.

We can provide you with information on different insurance options:

Liability coverage

This type of coverage is very importante because if you are involved in the accident which is your fault there is a big chance you will be sued. Liability coverage is important when you or another person with your permission to drive your bike either injure or kill somebody either damage somebody's property. You have to select the limit of liability so liability insurance can cover injuries or property damages you might cause. It is important to know that it does not cover neither you neither your motorcycle. It only protects you from being sued. Depending od the law of the state and the insurance company, you may also consider Guest Passanger Liability coverage that helps you protect passanger on your bike in case it is injured. Insurance experts will recommend you to take three times the minimum price because of the costs of potential litigations.

Collision coverage

Collision coverage is optional in many states. You may find it awquard that the coverage that protects your motorcycle is optional. The law is made to protect the others, and collision coverage covers repair or replace of your bike whether it is your fault or not. After selecting a deductible, the insurance company pays for the damage that remained, but only in case of buying factory parts. Extra accessories require additional coverage.

Comprehensive coverage

Comprehensive coverage covers only the book value (no extra accessories) of the motorcycle when your damage is not product of accidents during ride. For example: theft, fire, vandalism.

Custom parts and equipment

Custom parts and equipment is an additional to collision and comprehensive coverage. If you have custom parts and equipment, you can get this optional coverage up to a dollar amount set by an insurance company. You should see with your insurance company which specific accessories they do cover. It is recommendable to preserve photos and all receipts for custom parts and equipment of your motorcycle.

Uninsured motorist coverage

Even though laws require insurance in every single state, there are many people who drive without even a basic liability coverage. Uninsured motorist coverage will insure you and your passenger against uninsured person for your medical treatment and lost wages. You should check with an insurance company whether property damage is included and covered or it needs to be purchased separately.

Underinsured motorist coverage

This coverage is alike uninsured motorist coverage, but this means that underinsured person does not have enough insurance to cover all your damages and you use Underinsured motorist coverage to par for the amount that person’s insurance couldn’t cover. Basically, this means that there can occur a gap between person’s liability limit and your injury costs, and underinsured motorist coverage helps you bridge the gap. The only necessary thing is that accident is not your fault and that other person is declared as guilty. When there is a doubt on blame, you and your insurance company have to display the differences to the arbitration.

Medical payments coverage

Medical payments coverage sometimes applies only after other medical insurances are wasted and often is limited. It is advisable to check out with insurance company what is the amount and length they will cover after the accident occurs. However, the positive side of this insurance is it covers you regardless of who’s fault accident is.

Roadside assistance

Some insurance companies include roadside assistance in comprehensive coverage without charge so you should check that with your insurance agent. When not included, roadside assistance coverage may be purchased at nominal fee. Roadside assistance coverage insures you that you will have towing to the nearest qualified repair service and necessary fixings when your bike is disabled.

There are many aspects that determine costs of your insurance policy. On some of them you can not have an effect, such as your age, but there are also the ones you can: your driving record, place you live, type of bike you own. If you are not a “high risk” person with bad driving record and a lot of fines, there are ways of keeping insurance rates at low cost. Inform yourself about special discounts that goes up to 15 percent for graduates of training courses. You can also find in northern states “lay-up” policies which means that all coverage's, except comprehensive, are suspended during winter months.

by Stela; Monday, October 17, 2011 @ 05:53 PM [30]

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