New Jersey requires its drivers to provide proof of their financial responsibility. The expenses associated with a motorcycle accident can be exorbitant, and drivers must be prepared to pay these should they drive one. Unlike most other states, New Jersey has different motorcycle insurance requirements than car insurance requirements.
Definition of a Motorcycle
In New Jersey, all bicycles with an attached motor, motor-operated bicycles and tricycles, motor bikes, and motorcycles are defined as motorcycles. These bikes must be registered with the Motor Vehicle Commission and insured.
Liability Insurance Requirements in New Jersey
Your insurance policy needs to meet these minimum coverage limits:
- $15,000 for each individual injured in an accident
- $30,000 for total accumulated injuries if multiple individuals are harmed in an accident
- $5,000 covering property damage
These are the bare minimum requirements. Financial experts highly recommend investing in a full coverage insurance policy. The only drawback of higher limits is a higher monthly bill, but you’ll find that the security is worth the cost in the long run.
Optional Coverage Features for Motorcycle Insurance
The state of New Jersey only requires you to have insurance covering property damage and injuries of other individuals. Your policy isn’t required to cover your own injuries or property damage to your own motorcycle. This means that you could find yourself thousands of dollars in debt following an accident unless you invest in additional coverage.
The following coverage options are available in motorcycle insurance policies:
- Collision insurance covering motorcycle repairs following an accident
- Comprehensive insurance covering damage repair caused by non-accident related circumstances
- Medical payment insurance to cover medical costs if you’re hurt in an accident
- Towing and labor insurance to provide emergency assistance as well as towing if you break down
Does Wearing a Helmet Affect My Insurance Coverage?
All motorcyclists are required by law to wear a helmet. Helmets do not have an impact on insurance premiums or minimum coverage standards.
Penalties for Failing to Maintain Your Financial Responsibility
Having inadequate insurance or lacking insurance altogether can result in the following:
- Monetary fines
- Suspension of your driver’s license
- Court-mandated community service
Insurance violations also tend to increase your premiums. If you have a poor history regarding motorcycle insurance, this will be factored into your premiums when you buy insurance. It’s better not to let your policy lapse.
How to Shop for Motorcycle Insurance
First, you’ll need to decide how much coverage you need for your bike. Factor the bike’s worth into your estimate, as well as the number of riders it’ll have. Your previous driving history might factor into your insurance premiums.
Once you know the types of coverage you want, you can compare and contrast different companies online. You can also get in contact with an insurance agent to craft a plan that fits your unique circumstances.