Motorcycle Insurance: How it Works and How to Choose the Right Policy

Compared to driving a car, riding a motorcycle is an easier way to get around. It’s easier to get around a traffic jam, and you can go to places that aren’t easily accessible to a four-wheel vehicle. Plus, motorcycles make you look cool.

However, riding a motorcycle gives you less protection than driving a car and just like you would with a car, you’ll need insurance.

Although insurance isn’t compulsory, getting one means protecting yourself, your passenger, and your finances from damage caused by accidents, theft, and other incidents. Here is a guide to help you get the right policy that fits your budget, lifestyle, and riding habits.

What Are My Coverage Options?

As with car insurance, a motorcycle insurance policy includes different types of coverage. Depending on the insurance company, your options include:

• Collision Coverage: This helps pay for repairs for damages caused by accidents.
• Comprehensive Coverage: This type of insurance covers damages to your bike from fire, theft, vandalism, and other non-accident-related incidents.
• Guest Passenger Liability: This covers medical expenses if you’re found to be responsible for the injuries or death of your passenger.
• Medical Payments Coverage: This insurance covers your medical expenses when you’re injured from a motorcycle accident.
• Property Damage Liability: This covers the costs of damages to other people’s property because of an accident you caused.

How Is My Premium Determined?

Your premium is determined by several factors, including:

• The make, type, and condition of your bike: Do you have a chopper or a farm bike? Did you buy your bike cheaply because of flaws or is it in mint condition?
• Nature of use: Do you drive along rural roads, or do you ride your bike to work on the highway every day?
• Age: Younger drivers and riders with less driving experience will have higher premiums.
• Driving record: Are you a seasoned rider or have just gotten your permit? Have you been issued several tickets or have gotten into an accident in the past?

Can I Get Discounts from My Premium?

Just like car insurers, motorcycle insurers usually offer discounts to reduce your premium. These include:

• Bundling discounts: When you bundle your motorcycle insurance with an auto insurance
• Paid-in-full discount: When you pay the full cost instead of settling for monthly installments
• Renewal discount: When you renew your insurance policy
• Safety course discount: When you completed a motorcycle driving safety course

Ask your agents about discounts to learn what options you have to lower your premium.

How Do I Make the Most Out of My Insurance?

• Compare costs with different insurance companies: Aside from looking at the cost, ask about the exclusions and limitations of each insurer.
• Be honest with your insurer. You want to make sure you are fully covered.
• Keep your bike in good shape. Motorcycle maintenance tasks like monitoring the tires and brakes and having them serviced regularly reduce the risk of an accident and helps maintain the current cost of your premium.
• Get more than the minimum insurance. Insurers recommend you get more insurance than what your state requires to be best prepared in the event of an accident.

Getting motorcycle insurance protects you, your bike, and your finances from untoward incidents. Shop around for policies and take the time to assess the fine print to get the best coverage.