Motorcycle Insurance Articles
Potential Penalties For Not Carrying Proper Motorcycle Insurance
2010-09-04
The rules among the 50 states for requiring motorcycle insurance are generally the same as the rules for requiring automobile insurance. It's mandatory; and most states require proof of insurance before you'll be allowed to register your motorcycle. A motorcycle insurance policy can either be bought as a stand-alone policy or as a rider on your car insurance policy. If you don't maintain your insurance, insurance penalties can range from a fine to jail time. If you can't prove you have insurance if you're pulled over by the police, depending on the state, your license can be subject to revocation or suspension.
But there are other penalties you can be subject to if you don't carry a proper motorcycle insurance policy. They're not the legal kind; they're the practical, change-your-life-for-the-worse kind of penalties that you incur when you've not been on top of the potential consequences of riding.
First, there's what happens to property if you are not properly insured. Naturally, a basic policy will cover damage to your bike, but if you've spent a considerable sum modifying the bike and adding aftermarket accessories and you haven't updated your policy to include these modifications and accessories in your coverage. Also, if you don't carry uninsured driver or underinsured driver coverage on your policy, you take the chance a driver without insurance or with insufficient insurance to pay for your damages hits you, you're only covered up to the limit of your policy
When you're in an accident when you're improperly covered your basic motorcycle insurance policy will only cover payment for injury to the other party in an accident, not you as well. If you are injured, you must either have a personal health insurance policy, or you'll have to pay out of pocket for your treatment. The same is true for injuries to any passenger you might be giving a ride to on your bike, if he or she is injured, unless you've specifically bought passenger injury coverage, you will be personally responsible for paying for your passenger's medical bills. That's a substantial penalty, especially if you have assets like a house or a business that you might have to sacrifice to meet your legal obligation to pay for your passenger's treatment.
So, aside from the legal requirement to carry insurance, not buying the right kind of coverage to protect you in some common contingencies can lay you open to some severe real-life penalties.