The average cost of motorcycle insurance can range from less than $100 to more than a $1000 per year. There are many factors that cause the variance between insurance costs some include:

  • State Factors. Almost all states require motorcycle liability insurance; however the minimum limits does differ from each state. The average cost typically ranges among $100 to $500 per year.
    • For the state of Michigan the mandatory minimum liability standards are:
      • $20,000 of coverage for bodily injuries or death involving one person in a single accident.
      • $40,000 of coverage for bodily injuries or deaths involving more than one person in a single accident.
      • $10,000 of coverage for property damage in a single accident.
        • There is also an option to buy motorcycle PIP coverage in increments of $5,000 in the event the cyclist is hurt in any type of accident that doesn’t involve another motorized vehicle

(NOTE: Louisiana has the lowest liability coverage-$20,000 of personal injury and $10,000 in property damage; whereas Maine and Alabama have the highest-$100,000 injury coverage and $50,000 in property damage.)

  • Regional Factors. Whether is it driving your motorcycle through a city or through the country, or in an area that has consistent or few climate and weather changes (even high or low disaster areas) these regional factors will affect the cost of insurance.
  • The Type of Bike. The make, model, and year of the motorcycle will directly affect the cost of insurance. This also involves the power of the engine and if there are any additions (turbo kits) or other enhancements.
  • The Driver. A person’s age and driving history also directly affect the rates. Younger drivers have a higher cost of coverage due to the statics of the higher amount of accident risks. Any prior collision or traffic violations can also increase the rate of coverage.
  • How Often the Motorcycle is Used. If it used daily, the costs are higher because the more prone the cyclist is to an accident; whereas weekend and seasonal cyclists have a lower cost.
  • How the Motorcycle is Stored. If the bike is stored in a locker garage when it is not in use the lower the premium will be.

Are Other Riders and Track Days Covered?

Both depend on your policy and your carrier. For other riders, if the minimum liability was purchased, other riders may not be provided. This also depends on the other rider being a passenger while the motorcycle was being operated by the policyholder or if it was loaned to another cyclist. These conditions can be discussed with your insurance agent.

For track day coverage, if covered, there are several exclusions that may apply. An example would be not covering accidents that occur during a race, timed event, or speed test; however, they will pay out for accidents that occur on a track during which you are riding for the purpose of improving bike-handling skills as to become a safer more defensive driver.

Michigan’s Motorcycle Insurance Laws

According to Michigan state law, motorcycles are not considered a motor vehicle. Due to this, motorcyclists are exempt in purchasing no-fault insurance coverage. Although they are exempt, no-fault insurance benefits can be available to motorcycle accident victims that have an accident involving a motor vehicle. The benefits provide:

  • Medical expenses and mileage
  • Wage loss
  • Replacement services
  • Attendant care

There is a one-year filing period for a no-fault benefits claim or a first-party claim. There is a three-year filing period for a lawsuit in which the cyclists endured pain and suffering and an excess economic loss against a negligent driver who caused the accident. This is the third-party claim.

Ready to Ride Openly Again? Don’t Let Motorcycle Insurance Cost Keep You Garaged!

At Compass Insurance Agency, we are ready to help prepare you for another season of riding and enjoying the luxuries of the open road. With our agents having access to quotes from over a dozen of Michigan’s top insurance companies, we are able to provide you the best coverage at the lowest motorcycle insurance cost. Just click the button below to start cruising again today.