If you are in the market of purchasing an insurance policy for your motorcycle, you need to think carefully about choosing the right plan – one that will provide adequate protection for you and your loved ones in the event of a motorcycle accident. Auto insurance in Michigan is very expensive, and motorcycle insurance is no different. In fact, it is even more expensive. Because of the high prices, most riders choose to pick an inexpensive policy because they don’t have the money or they simply think that an accident will never happen to them.
Auto insurance companies know that motorcycles are much more likely to crash than any other type of vehicle and their prices reflect this well known fact. Just because the prices are higher doesn’t mean that you should choose the most inexpensive option. You should sit down with your agent and have them explain the pro’s and con’s of the different polices available. Below are 7 reasons why you shouldn’t skimp when deciding and purchasing a motorcycle insurance policy.
Reason #1: Mandatory Insurance For Motorcycles in Michigan Doesn’t Include “No-Fault”
The State of Michigan utilizes No-Fault Law for auto insurance, but the rules for motorcycle insurance are different. Just like for any vehicle, Michigan requires that you purchase insurance for your motorcycle. Unfortunately, the mandatory insurance for motorcycles in Michigan is fault based and makes it much more complicated. Drivers of cars in Michigan rely on their own insurance policy to cover “first-party benefits”, but this is not the case with motorcycle accidents. If you are found to be at fault for the accident, you will be held responsible for all the expenses for both parties involved. This can cause an unrecoverable financial burden and should be avoided if possible.
Instead, no-fault insurance for a motorcycle is an optional add-on. You can add this feature onto your motorcycle insurance, but it will certainly make the policy more expensive. Most people simply look for the cheapest rate and don’t realize the potential risks they are exposing themselves too. Most insurance companies don’t make this difference clear and will do anything to get your business. Even though adding this option costs more, you should seriously considering purchasing this add on to limit your financial liability.
Reason #2: Medical Expenses Can Add Up Quickly
The cost of medical treatment is at an all-time high and even a non-life threatening can carry substantial costs. According to the National Highway Traffic Safety Administration, the average medical cost of non-helmeted driver in an accident is $17,704. This price doesn’t include the cost of the other party if you are held liable. The insurance policy that you choose may cover some of these costs, but co-payments, deductibles, and other uncovered items can add up extremely quickly. You will usually find that many things you thought were covered actually aren’t. You need to find a policy that is going to cover your costs including emergency room visits, lengthy stays at a hospital, and long-term health care if you are unfortunate enough to be in an accident. It is extremely common for motorcycle riders to have inadequate insurance because they simply don’t know all the information about their policy and what the actual costs are. All of this can be prevented by upgrading your insurance from the minimum and even better purchasing the no-fault add on.
Reason #3: Your Family and Loved Ones Deserve Protection As Well
When choosing the right policy, it’s important to take into account your family and loved ones. It’s a fact that motorcycles are inherently dangerous and you should prepare for the worst. Regardless of how many years of experience riding that you have or how safe your track record, a fatal accident is always a possibility. You need to make sure that your family is protected so that you don’t leave them behind with a financial burden that they simply can’t handle. In order to protect your loved ones, you need to make sure that your policy pays for both funeral and burial expenses if the unthinkable occurs. Without this protection, you’re family may be put into debt because of your oversight and it could easily negatively effect their lives for years to come.
Reason #4 : A Motorcycle Accident Can Leave You Without The Ability To Provide Income
If you are unlucky enough to be involved in a motorcycle accident, there is a good possibility that you will sustain serious injuries that leave you unable to work and earn an income. Common injuries from motorcycle crashes include brain/head trauma, spinal cord injuries, severe burns, and broken bones. All of these injuries will likely require long-term medical care and this can make your return very unlikely depending on your occupation. When deciding on which insurance policy to buy, you need to take into account your occupation and how a crash will effect your ability to return to work. If your work requires manual physical labor, it is less likely that you will be able to return to work than if you are work from behind a desk at your home office. You need to take all these factors into consideration and pick the policy that will best fits you and how you earn an income.
Reason #5: You Might Be Found Responsible For The Accident
Many riders know that motorcycles are at a higher risk and thus drive safer by choice. This may be the case, but it doesn’t mean that they will never be the cause of the accident. Driving is inherently dangerous and some things like driver fatigue or distracted driving occur even when driving carefully. Simply put, accidents happen. For this reason, you should always assume the worst when crafting your motorcycle insurance policy. You should purchase a policy that will provided adequate protection in the case that an accident is your fault. If you choose to purchase the cheapest option, it is very likely that you will find it is not adequate and that you will be put in a substantial amount of debt. Purchasing the no-fault option is a great way to ensure this. Most states don’t even offer this option and you should take advantage if you can afford it.
Reason #6: You Financed Your Motorcycle and Still Owe on The Principal
Many people choose to finance the cost of their motorcycle. If you did choose to finance your bike, you may still be making payments and own on the principal. You should take this into account when choosing which insurance plan to buy. Much like a new car, the value of your motorcycle drops and depreciates quickly when you drive it off the dealer lot. For this reason, it’s not uncommon to owe more than what the motorcycle is currently worth. The last thing you want is to continue making payments on a motorcycle that is totaled. You need to plan ahead and think ahead. Take into account the difference of the purchase value vs. the actual value of your vehicle.
Reason #7: Michigan Has a Large Number of Uninsured Drives and An Accident Can Be Expensive
Many people that ride motorcycles choose inexpensive insurance coverage that are insufficient for their needs. Most of the time, they do so because they believe that they are safe drivers and can avoid an accident simply by driving carefully. If I drive safe I don’t need to worry about my insurance right? Other riders many not use their bikes often and think this makes it less likely to be an accident. While this might be the case, you are putting your financial future in major jeopardy. It’s also important to note that many drivers in Michigan are uninsured. Even if you are a safe driver, someone else could be the cause of the accident and you are stuck paying the bills for your own medical expenses and vehicle/property damage. The best way to protect yourself financially is to carry adequate insurance which can protect you and your loved ones from bankruptcy. This is why it’s so critical to know what your policy covers and what options that you have available to you. Review your policy with your agent or attorney and ensure that the policy you choose provided adequate coverage for you and your current situation.
Injured in a Motorcycle Accident? Get Legal Help From The Clark Law Office
If you or a loved one have sustained injuries resulting from a motorcycle accident, you need to contact an experienced motorcycle accident lawyer right away. Your attorney knows the legal process of these types of claims and can investigate the accident, negotiate with the insurance companies, and represent you in court to protect your rights. Call The Clark Law Office today at (517) 347-6900 to schedule a free consultation regarding your case. They will listen to your story and give an honest opinion on the legal options that you have available. No fee unless you win!