Motorcycle Insurance | Guide to Motorcycle Insurance

Motorcycle Insurance | Whether you’re a road warrior seeking adventure or you’re just looking for a way to get around town, there’s nothing quite like driving a motorcycle.

Insurance is essential if you are to protect your vehicle, passengers, and investment. Just as you would shop around for auto insurance, you will also want to search for the best motorcycle insurance. NerdWallet has a guide for understanding motorcycle insurance.

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Insurance requirements for motorcycles

Many states require that motorcycle owners purchase liability insurance. Liability coverage is almost always mandatory. It pays for other people’s injuries and damages if you are involved in an accident. Your state’s minimum requirements for motorcycle insurance are the same as those required by your car insurance. Florida also requires that you have at least $10,000 in medical benefits. This can be derived from your health insurance.

To protect your assets in the event of a lawsuit, you might consider purchasing additional liability beyond what your state requires. If you are sued, the minimum liability limits may not be sufficient to cover your legal costs and claims. Creditors could take over some of your assets. Check with your insurance company to make sure that your bodily injury liability insurance covers passengers. In some states, you may need to have passenger liability coverage in order to insure them.

This coverage covers injuries that result from an accident caused or not by drivers who are uninsured.

Options for motorcycle insurance

Collision: Covers damage to your motorbike, up to the limit of your deductible. The amount that you choose when you purchase your policy and is deducted from any claim check.
Comprehensive: Pays out in the event that your motorcycle is stolen, damaged or involved in an accident with another vehicle. Animal collisions are also covered. There is a deductible.
MedPay (Medical payments): Although not available in every state, medical payments coverage covers medical bills for you and your passengers if you are hurt in an accident. Medical payments coverage does not cover lost wages or other costs, unlike personal injury protection. Let’s be clear: Riding a motorcycle or driving it is not without risk. If you don’t have any health insurance, or don’t have enough, medical payments coverage may be a good option.
Personal Injury Protection: Covers medical expenses for pedestrians, passengers and you in an accident. Rules vary from one state to the next. Some insurers offer PIP. However, certain states do not allow motorcyclists to be covered by insurance companies due to their high accident rate. Although insurance companies offer many add-on options for their policies, some may also offer them. Limits and deductibles may apply to some of these options.
Custom parts, equipment, and accessories coverage: Most states have some form of custom parts and accessories coverage. This usually includes collision and comprehensive insurance, up to $3,000 in most cases. However, the amount may vary. Many riders enjoy customizing their motorcycles. You can add more accessories to your bike, such as chrome parts, saddlebags, and personal touches, up to $30,000.
Coverage for transport trailers: Many insurance providers offer coverage for trailers up to $7,000.
Roadside assistance: Includes towing, labor and repairs at the scene of your bike’s accident.

Motorcycle insurance lay-up periods

Lay-up insurance is offered by many insurers during winter when many motorcycle owners put their bikes away. Lay-up insurance covers you for theft and other incidents that may occur while your bike is stored.

Lay-up coverage can save you money on your annual insurance, but remember that insurance will not cover you if the bike is taken on the road during the layup period.

Motorcycle insurance discounts

Insurance companies offer different discounts. These are the most popular ways to get a price cut:

You can purchase another policy from the same insurer, such as homeowners or auto insurance.
Keep a clean driving record.
You can insure more than one motorcycle through the same insurance company.
Take a course in motorcycle riding.
Join a group of motorcycle riders.
If you are over 55 years old or a long-time rider, ask about a discount for mature riders.

Insure your bike if it is stolen or destroyed

It is important to know how your policy pays out in the event that your bike is stolen or destroyed. There are three types. These are:

Actual cash value: This pays out the actual cash value of your bike, minus any depreciation or your deductible.
The stated amount: This is the amount that you chose when you purchased the policy.
Agreed Value: This is the amount that you and your insurance company agreed upon when you purchased the policy. No deductible is added to a claim. The amount will remain fixed. The coverage offered to owners of classic or custom bikes is usually either an agreed value or a stated amount.

Where can I buy motorcycle insurance?

Some of the country’s largest auto insurance companies also offer motorcycle insurance. NerdWallet identified 25 of the most popular auto insurance sellers that also offer motorcycle insurance. Details and coverage availability vary from one state to the next.

AAA

The disappearing deductible option reduces the deductible each year that you don’t file any claims.
There are many discounts, including those for customers who pay in full or for loyalty.

Allstate

If your Allstate motorcycle policy has been in force for at least four years, your insurance costs will not change after your first accident. Additional conditions may apply.
You can choose to have the “new motorcycle replacement” option that reimburses you for the purchase of a new bike in case yours is damaged in an accident. Motorcycles less than two years old are eligible.

American Family

The basic policy covers accessories up to 3000 dollars, including extra chrome and saddlebags. There are higher limits.
You can get up to $1,000 coverage for safety gear such as boots, helmets, and other gear.

Amica

Discounts for purchasing multiple policies with Amica, insuring more than one bike, and taking a safety course.

Auto-Owners

Additional coverage is available for motorbikes, mopeds and scooters.
If you don’t drive during winter, in some states Auto-Owners may offer a price cut.

Country Financial

Country Financial insurance offers a price cut if you only ride part of the year in cold-weather states.
You can get up to 25% off your motorcycle insurance when you purchase homeowners insurance.

Erie

Comprehensive and collision insurance covers up to $3,000 in case of damage to safety gear or apparel.
To increase your limit, you can pay more. Roadside assistance covers towing and labor costs for your bicycle in the event of a breakdown.

Farmers

Comprehensive insurance covers equipment up to $3,000. Collision insurance covers safety gear up to $1500.
There are many options available. You can get coverage up to $7500 for a trailer and trip interruption, which covers expenses if you have to cancel your trip because of damage to your bike.

Geico

Comprehensive and collision insurance accessories like CB radios and chrome pieces, as well as saddlebags are covered.
Geico offers discounts for older drivers, experienced riders, and those who renew their motorcycle insurance with Geico.

Liberty Mutual

Better Bike Replacement covers your bike if it is damaged. It will replace the motorcycle with one year old and has 2,500 less miles.
New motorcycle replacement coverage that reimburses for the cost of a new motorcycle, without depreciation. This coverage pays out if your motorcycle is stolen, damaged, or lost within the first year.

National General

If you are unhappy with the way your claim was handled, you can waive the $250 deductible.
Comprehensive and collision insurance covers custom accessories and safety apparel up to 2,000.

Nationwide insurance

Custom bikes can get up to $50,000 in coverage
Vintage bikes can get coverage up to $30,000
Nationwide reduces your deductible $100 for every year that you go without an incident.

Progressive

Progressive’s standard motorcycle insurance covers you for repairs to your motorcycle, with no depreciation.
Rates and claims of $500 or less do not count against your record. If you have been accident-free for at least four years, a first accident won’t be counted against you.

State Farm

This policy covers a wide range of motorcycles including custom and classic motorcycles as well as factory-built motorcycles, trail bikes and mini-bikes.
Provides roadside assistance, protection gear coverage, and reimbursement for expenses if a trip is canceled due to damage to the motorcycle.

USAA

Foremost Insurance Group offers motorcycle insurance.
USAA members receive a 5% discount You can get a discount for having a clean driving record, insuring more bikes with the company, and passing a driver safety class.

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