Insurance is a word loaded with terms and conditions that vary from one insurance provider to another. Not every insurance plan will cover the same events that another might or might not.
Before signing up for an insurance plan, ask about the losses that that policy covers. Motorcycle insurance plans work similarly, and if you’re a regular motorcyclist, it’ll be better to get an insurance plan before hitting the road again.
The National Highway Traffic Safety Administration has reported that the rate of motorcycle deaths vs. all other fatal road accidents is 14%. With annual motorcycle fatalities amounting to 5172, motorcycle insurance is a serious issue.
Here are some things you should know about motorcycle insurance:
How it Works
In terms of coverage, a motorcycle insurance plan is similar to car insurance. It offers coverage for damages that have been incurred to property which can be your motorcycle, someone else’s vehicle, or yourself.
Motorcycle insurance policies cover liabilities which is a legal term for the financial protection you owe to yourself and others who have sustained damaged because of you. One insurance policy will cover only that one motorcycle that you’ve registered with the provider.
Your insurance plan won’t cover for any damages that have occurred while you were driving a different vehicle. However, as is stated above, every insurance provider may operate on a different plan. It’s best to confirm these factors.
Motorcycle Liability Insurance
Depending on the state you reside in, you might be obliged to carry two kinds of insurance. These are bodily insurance and property damage liability.
As the name suggests, this insurance doesn’t provide financial coverage for the rider or their property.
This is, in case, the third party involved in an accident files a claim on you and your insurance provider is expected to suffice their demands. This is why liability insurance is also often labeled third-party insurance. However, there’s a limit to the insurance expenditure that your company will agree on. This limit may be different for every plan and provider.
Three Kinds of Payments
As mentioned, there’s a limit till which your insurance provider will pay for the damages. In legal terms, there are three kinds of payment limits and they’re written with slashes in between e.g. Amount A/amount B/amount C. For instance, they can be: $25,000/$50,000/$10,000.
The first figure is the maximum dollar amount the insurance company will pay for every injured party after a collision. The second number is the claim limit you can avail after an accident. The third is the payment for liabilities to the other party involved in a covered event for property damage they’ve suffered.
If you’re clear about what motorcycle insurance does and how it works, get in touch with Manatee Insurance Services, Inc. They provide vehicle and property insurance in Bradenton and can make your travels safer. Call them at 941-747-7283 for more details.