Anyone who rides a motorbike or any motorized vehicle on public streets needs motor bike insurance. Of course, it is required by law almost everywhere, but more than that you need to be covered if the worst should happen. It would be simple to just call insurance companies and get the cheapest price, but then you’ll just get the minimum required by law. That may be what you would like, but you should check out your alternatives first. Here are the major components of motor bike insurance.
Liability insurance
The thing that makes motorcycles scary is not damage to property, or even to other motorists, who are likely in cars. It’s injury to those riding the motor bike. The only thing between you and the road is a helmet and clothing – no driver’s cage or air bags. An accident that would be considered minor for cars can be deadly if there’s a motorbike involved. Find out what is covered if you are injured and the other party’s insurance doesn’t pay your medical expenses. Is it enough for a potentially lengthy hospital stay and physical therapy? What if you miss work for an extended period of time while you recover?
If your motorcycle is financed, the lender will probably insist that you carry coverage on it. On the other hand, if your bike is not worth very much, you may find that it’s not worth it to purchase this type of coverage at all.
Medical Coverage
You can buy a policy that will cover repair or replacement of your motorcycle if it’s damaged or destroyed. There are two things you need to think about here: sources of damage and fault. First, damage is usually only covered if it comes from specific sources. Your bike could be stolen, vandalized, burn in a garage fire and so on. Some policies only cover damage from traffic accidents. If you want to protect your investment, you need to think about other kinds of damage. If you leave anything to chance, you should at least know what it is. Second is traffic accidents. If the other party is responsible for the damage, you can collect from their insurance. But what if they don’t have insurance, or their insurance is insufficient or it was a hit and run? What if you caused the accident? Is your bike covered then?
The holder of any loans against your motorcycle will probably require you to carry full coverage – to protect their investment. On the other hand, if your bike is not worth very much, you may find that it’s not worth it to purchase this type of coverage at all.
Liability insurance
If you cause damage to someone else’s person or property, you are liable. This means that they could sue you for the cost of repair or replacement of their property or for medical bills. If you don’t have the funds on hand, you could end up paying out of your future earnings. Liability insurance is the part that you are required to have by law. Each state sets its own minimum liability coverage amounts. In California, for instance, you must have $15,000 for death or injury of any one person, $30,000 for all injuries in an accident, and $5,000 property damage. That’s enough to cover minor accidents, but if you get into a serious accident and it’s your fault, that won’t go far.
How much liability insurance should you get? You personal financial situation will play a role. How suable are you? You are more likely to be sued if you have money, even if it’s in the form of assets like real estate. Future income can be a target too, so if you’re on your way to a promising career, someone might sue you if your insurance doesn’t cover the damages.
If you’re going to buy motorbike insurance, you should definitely get several quotes. Be sure to decide ahead of time which risks you want to insure against, and compare prices of policies that offer similar coverage.
Written by Coleen Smith Online Motorcycle Insurance Quotes Motor Bike Insurance Quotes
Tags: Insurance, Motorcycle Insurance, Motorcycles
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