The weather is finally getting warmer, and for some of you, that means getting your bike back out on the road. If you own a motorcycle, you know that there’s nothing like the thrill of the ride, and we want you to be able to enjoy peace of mind this season with the right insurance plan. Take a look at your coverage options below and give us a call – we’ll let you know if we see any gaps or red flags in your coverage.
Liability Insurance Coverage
Unlike most states, Iowa does not have a compulsory insurance law for motorcycle owners. However, the Financial & Safety Responsibility Act states that you will lose your license and registration privileges if you can’t provide proof of motorcycle insurance or other acceptable forms of financial responsibility following an accident. You can learn more from the Department of Motor Vehicles: http://www.dmv.org/ia-iowa/insurance/motorcycle-insurance-minimum-requirements.php.
Liability insurance covers bodily injury and property damage that you may cause to other people involved in an accident. It doesn’t cover you or your motorcycle. More specifically:
Bodily Injury Liability – If you are at fault in a crash, you may be responsible to cover the damages for your passenger or the other driver. If so, bodily injury liability typically covers the other driver or your passenger’s expenses such as medical bills, lost wages, and pain and suffering.
Property Damage Liability – If you are at fault in an accident that causes damage to others’ property, property damage liability covers the expense, such as damage caused to vehicles, private homes, fences and other structures.
Collision Insurance Coverage
Collision insurance covers damage to your motorcycle if you are involved in an accident (click here for more details). As your insurer, we pay for damages, minus your deductible, caused when you collide with another vehicle or object. Keep in mind, collision insurance usually covers the book value of the motorcycle before the loss occurred.
Comprehensive Insurance Coverage
Comprehensive coverage pays for damages caused by an event other than a collision, such as fire, theft or vandalism. However, just like collision insurance coverage, your policy will pay for damages, minus your deductible, and will cover only the book value of the motorcycle.
Uninsured/Underinsured Motorist Coverage
Uninsured/underinsured motorist insurance coverage covers damages to you and your property caused by another driver who either is uninsured or underinsured to cover your damages.
This coverage typically pays for medical treatment, lost wages and other damages. If your uninsured/underinsured motorist insurance coverage includes property damage, then your motorcycle would also be covered under the same circumstances.
Optional Equipment Coverage
If you decide to add on any optional accessories such as chrome parts, a custom paint job, trailers or sidecars, you should look into obtaining additional or optional equipment coverage. Most comprehensive and collision insurance coverages will only cover the factory standard parts on your motorcycle.
Is a “Lay-Up” Right for You?
If you are a seasonal rider, even though you can’t enjoy riding your bike in the winter months, you can enjoy increased savings with a lay-up insurance policy.
There’s no need to fully insure your motorcycle if it’s stored for an extended period of time. With a lay-up insurance policy, all coverage except comprehensive is suspended for a specified period of time. Ask us for more details about this more affordable seasonal coverage option.
Top Ways to Save on Your Premium
Consider raising your deductible
Keep up your good driving record
Take a motorcycle safety driving course. You can learn more about motorcycle safety and available classes on the DOT’s website: http://www.iowadot.gov/mre/.