Motorcycle Insurance Information
Motorcycle insurance is a crucial aspect of owning and riding a motorcycle. It provides financial protection against potential risks, accidents and liabilities that may arise while operating your bike. Additionally, in Maryland, you must carry minimum amounts of motorcycle coverage per state law.
However, understanding what types of coverage and how much coverage you need can be difficult. John L Sprague Agency is here to help—contact us today to discuss your motorcycle insurance needs.
How Much Motorcycle Insurance Do I Need?
Determining the appropriate amount of motorcycle insurance coverage depends on several factors. Here are some key considerations to help you choose the coverage limits that suit your needs:
State requirements—Like many other states, Maryland requires motorcyclists to carry minimum amounts of liability insurance. These requirements include bodily injury liability and property damage liability coverage. Adhering to these minimums is essential to comply with the law.
Lender requirements—If you have a motorcycle loan or lease, your lender or lienholder may require you to carry minimum amounts of comprehensive and/or collision coverage.
Motorcycle value—Consider the value of your motorcycle. If you have an expensive or high-performance bike, you will want to choose higher coverage limits to help protect your investment.
Usage and riding habits—Assess how frequently and where you ride your motorcycle. If you commute daily or take long trips, you may require additional coverage, such as comprehensive and collision coverage, to protect against damages and theft.
How Does Motorcycle Insurance Work?
Motorcycle insurance functions similarly to auto insurance. You'll purchase a policy from an insurer and pay them a premium in exchange for their coverage during your policy's term. If you experience a covered loss, you may be able to file a claim and receive financial assistance in paying for losses or damages.
Here's a general overview of some important motorcycle insurance terms:
Policy premium—In exchange for providing coverage as your policy dictates, you will pay the insurer a policy premium. Insurance companies calculate your premium based on various factors, including age, driving history, type of motorcycle, location, and coverage options. Insurance premiums can typically be paid annually, semiannually or monthly.
Coverage types—Motorcycle insurance policies offer different types of coverage, including:
- Liability coverage—This coverage helps pay for bodily injury and property damage you may cause to others in an accident. It helps cover medical expenses, repair costs and legal fees in case of a lawsuit.
- Collision coverage—This coverage helps pay for damages to your motorcycle resulting from a collision with another vehicle or object.
- Comprehensive coverage—Comprehensive coverage protects against noncollision-related damages, such as theft, vandalism, fire or natural disasters.
- Uninsured/Underinsured Motorist Coverage—This coverage helps financially protect you if you're involved in an accident with a motorist who has inadequate or no insurance.
Deductibles—Depending on the type of claim you’re filing, you may be responsible for paying a deductible, which is the amount you must contribute before your insurance coverage kicks in. The deductible you choose will affect your overall premium. Higher deductibles typically result in lower premiums, while lower deductibles provide more immediate coverage but may raise premiums.
What Does Motorcycle Insurance Cover?
What your motorcycle insurance policy covers depends on the coverage you’ve added to your policy. For example, you will only have coverage for vehicle damages caused by hail damage if you've added comprehensive coverage to your policy. Work with John L Sprague Agency to discuss your unique motorcycle insurance needs and exposures and build the right policy.
How to Get Motorcycle Insurance
Not only is obtaining appropriate motorcycle insurance a requirement in Maryland, but it’s a critical way to help financially protect yourself if you are involved in an accident or something happens to your motorcycle. At John L Sprague Agency, we understand that every rider’s insurance needs differ. Contact our team today for a personalized motorcycle insurance policy quote.