Sticky logo
Search
Photo from ADVMoto's "Lucky 'Break' on the Trans-Labrador Highway" article in our Jan/Feb 2014 Issue.Insurance companies provide an invaluable service to all drivers, that can’t be denied. What’s unfortunate is that people often end up paying much more than they need to. If you’re a safe driver with a little know-how, your policy doesn’t have to break the bank.
The best way to avoid shelling out more than you need to is to educate yourself on your options and steer clear of companies that push you to add policy on top of policy. Read on to get a definition of terms and a few money-saving tips.
LIABILITY INSURANCE
This is a general form of insurance that protects the insured from risks or liabilities that would come from a lawsuit. Usually liability insurance is not used for payment to the insured, but rather to the person who might be filing a lawsuit or has had damages done to their vehicle.
Liability coverage is required in most states, and usually comes with guest passenger coverage. Most insurance companies, as well as many experienced riders, suggest getting as much liability coverage as you can afford.
UNINSURED/UNDERINSURED COVERAGE
Photo from ADVMoto's "Lucky 'Break' on the Trans-Labrador Highway" article in our Jan/Feb 2014 Issue.If you end up getting in an accident and it’s the other driver’s fault, they should be paying you for any motorcycle damage or medical costs. However, sometimes the other driver doesn’t have insurance. Underinsured and uninsured coverage helps you if you’re ever unlucky enough to get tangled up with the uninsured. Prices for this range from 20k to 1 million dollars, so it’s pricey, but it offers the ultimate protection on the road.
COLLISION AND COMPREHENSIVE COVERAGE
COLLISION
Collision coverage basically pays for anything that happens to your motorcycle on the road. Traditional accidents, as well as damage from loose debris, or from the road itself, are covered by collision coverage.
COMPREHENSIVE
Comprehensive covers mainly anything that collision coverage doesn’t. This means if you’re motorcycle gets vandalized, stolen, randomly catches on fire, or befalls any other unexpected tragedy, you will be covered. This also covers weather damage, and sometimes even the contents in the vehicle that have been damaged from the weather.
Now that you understand all of the technical basics behind coverage options, it’s time to learn how to save money and not get taken advantage of the shrewd insurance companies.
CONTROL YOUR COSTS
If you’re not buying an expensive bike, don’t get tricked into spending money on expensive insurance. Two ways to save money when you have a cheaper bike is by not forgoing comprehensive and collision coverage. This will save you about 60% of the insurance costs, and considering the price of your bike, these costs are probably not worth it.
Also, you don’t necessarily have to pay “Med Pay,” which is medical insurance for motorcycle riders. Many people are already covered through their normal health insurance. If this is the case, it really isn’t worth it to buy an extra policy specifically for motorcycle accidents.
