Insurance is a word that can cause confusion when trying to understand what is and is not covered under your policy when a loss occurs. As a motorcycle attorney, I know just how hard this can be. To help you out, I have clarified three of the more common misconceptions people have about their motorcycle insurance.
Many people decline medical payments (or “med-pay”) coverage because they have a health insurance plan. They assume that the medical expenses due to injury resulting from a motorcycle accident will be covered 100% by their health insurance.
Med-pay, which is optional in most states, covers reasonable medical expenses (and also funeral expenses) if an accident were to occur, regardless of fault. It is typically secondary to an individual’s health insurance but can become the primary coverage if an individual does not have health insurance, if motorcycle-related injuries are excluded from their health insurance or if they are on Medicare or Medicaid. Med-pay also helps with the out-of-pocket expenses that health insurance plans normally do not cover, such as deductibles and co-pays – expenses that can add up in a hurry. Coverage amounts vary by state and insurance carrier and usually apply to both you and any passenger on your motorcycle at the time of an accident, regardless of fault.
It is very important to evaluate your insurance needs and optional coverages, such as med-pay, before you purchase your motorcycle policy. Without med-pay, there may be little option to recoup any of your medical bills from the accident.
Two of the more commonly used terms throughout the insurance industry are comprehensive and collision.
While comprehensive and collision are both optional coverages, most lienholders do require them – and for good reason. Comprehensive and collision coverages are designed to help get your bike fixed and back on the road as quickly as possible. If you are in an accident on a motorcycle, chances are there will be some damage.
Keep in mind that comprehensive and collision coverages only cover damages done to your bike. If you cause damage to someone else’s vehicle or property and are found legally liable, those damages would be covered under property damage liability coverage.
Read more: How Motorcycle Insurance Works in New Jersey
When shopping for insurance for your bike, you will usually be asked to disclose any accidents and/or violations you have had within the past three years. Statistically speaking, a person’s driving behavior is consistent whether in a car or on a motorcycle. Someone with multiple accidents and/or violations is considered a bigger insurance risk when compared to someone without any accidents or violations. Because of this increased risk, your insurance rates will most likely be higher than if you had a clean driving record.
Fortunately, “behavior” type factors can also work in your favor. Preventative measures such as taking motorcycle safety courses will also be taken into consideration when obtaining an insurance quote and could qualify you for discounts on your motorcycle premium. I highly recommend taking a class with Rider Education of New Jersey (RENJ) (rider-ed.com). Look them up. They are the best. You will thank me after taking a class.
I hope this information has helped to clarify some of the misconceptions you may have had about your motorcycle insurance. If you have any additional questions or concerns, please call me at (800) 832-6529 or (732) 388-5454. You can also email me at [email protected]. I will get you the answer you are looking for. There is never a charge for a consultation.
Did you or a loved one sustain serious injuries due to an accident in New Jersey? Don’t let the medical bills pile up while you wait for the negligent party or their insurance company to do the right thing. Right now, you need an aggressive personal injury attorney on your side, fighting to get you the compensation you need, want, and deserve. Motorcycle accident attorney, Andrew Prince Esq. represents clients injured because of a motorcycle accident in Bayonne, East Orange, Union City, and throughout New Jersey. Call (908) 304-9187 or fill out our online contact form to schedule a consultation about your case. We have an office conveniently located at 136 Central Avenue, Clark, NJ 07066, as well as an office in West New York, NY.
The articles on this blog are for informative purposes only and are no substitute for legal advice or an attorney-client relationship. If you are seeking legal advice, please contact our law firm directly.