Motorcycle Insurance Information

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By: Kade Phillips, contributing writer at Kanetix.com.

Ideally, you'll never be involved in a traffic accident while riding your motorcycle. Unfortunately, thousands of bikers are struck by drivers each year. If you're hit while riding your motorcycle, you can be seriously injured and your motorcycle can sustain a significant amount of damage. When the at-fault driver has sufficient liability insurance, you can expect your hospital bills to be covered and the expense of fixing your bike to be reimbursed.

However, an alarmingly high number of people are either insured at their state minimums or are driving without insurance. If you're struck by an uninsured or underinsured motorist, you may lack recourse to recover monetary compensation. Below, we'll explain how uninsured/underinsured motorist coverage works and why it's important for motorcycle owners to have this coverage.

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How Uninsured/Underinsured Motorist Coverage Works

Uninsured/underinsured motorist insurance was created to bridge the difference between the amount of the at-fault party's liability and their level of coverage. Here's an example: assume you're involved in a collision where the other driver is at fault. You're injured and your motorcycle is damaged. Your hospital bills total $40,000 and the cost to repair your bike is $12,000. Unfortunately, the at-fault driver is insured at the state minimums.

In California, the minimum car insurance requirements (at the time of writing) allow up to $15,000 for each injured person and $5,000 in property damage. Neither is enough to cover your hospital bills and bike repair expenses. Without uninsured/underinsured motorist coverage, you'll have little recourse. By having this coverage, you can be confident that the bills and expenses related to the traffic accident will be paid even if the at-fault party is uninsured or underinsured.

Protecting Yourself And Your Motorcycle

First, motorcycles are expensive. They can cost $20,000 or more. Second, they're easily damaged and even totally wrecked. Even a minor collision at low speeds can cause enough damage to your bike that you'll need to get rid of it. What's worse, a large percentage of drivers don't have any insurance. So, if they hit you while you're on your motorcycle and they're at fault, it could be financially devastating for you. Uninsured/underinsured motorist coverage provides you with a safety net in the event that happens. You won't be vulnerable to the chances of the at-fault party not having sufficient insurance.

Compensation For Impact To Earning Capacity

Often, being injured in a traffic accident carries costs in excess of hospital bills. Your injuries can prevent you from returning to your job. In some cases, the impact to your earnings may be temporary. But, it can also be permanent. An at-fault driver's health insurance and comprehensive car insurance will pay for your medical bills (assuming the driver has sufficient coverage). But, they often won't pay for loss of earning capacity. Uninsured/underinsured motorist coverage will usually fill the gap and compensate you for your lost wages.

Review Your Personal Circumstances

The primary drawback to increasing your uninsured/underinsured motorist coverage is that most states require you to boost your liability coverage. Your liability coverage must either match or exceed your uninsured/underinsured motorist coverage. Because motorcycle riders are in more danger of injury than the danger they present to others, this clause seems odd. That being said, each case is unique and you'll need to review your personal circumstances. If you have a house, a family, operate your own company, or own other assets, plan ahead to protect them.

If an uninsured or underinsured motorist hits you while you're riding your motorcycle, you'll want to be sure that your exposure to financial risk is minimized as much as possible.

You'd also be smart to always ride with a 'safety first' attitude as well, to minimize your risk of physical injury. No amount of insurance can replace a lost arm or leg if that should occur.

Don't forget, Kanetix can help you with free motorcycle insurance quotes.

Enjoy your ride!


Kade Phillips is a contributing writer at Kanetix.com.


Disclaimer - The above description/explanation is intended as a guideline only, and is not to be interpreted as a recommendation to buy or sell any insurance products, or to provide legal or financial advice of any kind. Also, Kanetix Ltd. does not warrant or assume any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed.

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