Motorcycle Insurance

Make It Simple- Motorcycle Insurance  

This is our fifth installment in the Make It Simple series. Have you tried to read your insurance policy and just given up? Even your motorcycle policy can be very confusing! Let me try to simplify it for you.

Every policy (regardless of type) should have a Declarations Page, commonly referred to as the “Dec Page”. This page “declares” who you are, what property you have insured, your coverage choices and how much you are paying for this policy period.

Similar to Auto insurance, there are 2 types of coverage on your Motorcycle insurance policy; Coverage that protects the other party and coverage that protects you.

COVERAGE THAT PROTECTS THE OTHER PARTY

Bodily Injury Liability: protects you from having to pay medical costs, lost income and funeral expenses of other people involved in an accident that is your fault.

Property Damage Liability: Protects you from paying for the repair or replacement of the other person’s property.

There is no deductible for liability coverage. You have many amount options for this coverage. The state minimum in Texas is $30,000/$60,000/$30,000. This means you are covered for $30,000 per person/$60,000 per accident and $30,000 for property damage. I would suggest liability in higher limits than the state minimum. If you cause an accident and the liability claim is 75,000, if you have state minimum coverage, you will pay the additional $15,000 out of pocket. It is not expensive to increase your liability limits. Ask your agent to explain your options.

COVERAGE THAT PROTECTS YOU:

Uninsured/Underinsured Bodily Injury: covers your injuries (or death) in case the responsible party has little or no insurance. It also covers anyone riding on your motorcycle.

Uninsured/Underinsured Damage: covers damage to your motorcycle or property in case the responsible party has little or no insurance.  There is a state mandated $250 deductible in Texas for Uninsured/Underinsured motorist coverage.

Medical payments: covers medical or funeral expenses if you or anyone on your motorcycle is injured in an accident.

Personal Injury payments: covers medical or funeral expenses and possible lost wages if you or anyone riding on your motorcycle are injured in an accident.

Collision Coverage: pays for damage to your motorcycle if you hit another car/motorcycle or something else (like a tree or a building).  You must pay a deductible. Deductible amounts determine the cost of this coverage. The higher the deductible, the lower the premium.

Comprehensive Coverage: (also called Other than Collision) pays for damage to your motorcycle if something other than a collision occurs. This could be fire, theft, hit by an

Animal (yes, the animal hit your motorcycle!) The same type of deductible rules apply to Comprehensive as they do to Collision. They are two different deductibles though.

Optional Coverages that protect your motorcycle:

            Towing: pays for towing and some basic roadside assistance, depending on the carrier and towing option you choose.

            Trip Interruption: pays for lodging, alternative transportation and food while the motorcycle is being repaired in the event of a breakdown or covered loss that is more than 100 miles from home.

            Rental Reimbursement: pays for the cost of renting a car while yours is being repaired after an accident.

            Loan/Lease Gap Insurance: pays the difference between what you owe and the total value of your motorcycle if it is totaled in a claim. 

            Accessory Coverage: covers customer parts and equipment. You must have Collision and/or Comprehensive coverage as well.

             

So there you go. There are many factors in Motorcycle insurance, but they don't have to overwhelm you. If you have any questions, please contact your agent. That is what they are there for. If they cannot answer your questions, please contact us. 

   If you have questions about your home, auto and commercial insurance, please call Brockman Premier Insurance at 877-987-8683 or email us.

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