Congratulations on your brand new motorcycle. It’s a very exciting ride, in all likelihood, and it’s for precisely that reason why you need motorcycle insurance. At the very least, you will need liability insurance as your state law requires. The specific limits of motorcycle insurance in North Carolina may be different than in other states, but the general rule remains—you need insurance.

Of course, there may be some debate as to whether your 2-wheeled vehicle actually requires insurance. Some moped manufactures claim that their vehicles don’t need insurance at all. But if you want to be sure, you should call the DMV.

Liability Requirements

The laws in various states have different limits regarding liability insurance. In North Carolina, for example, the mandatory insurance requirements for liability are the following amounts:

• $30,000 for bodily injuries or death to an individual in a single accident.
• $60,000 for bodily injuries or deaths to more than one person in a single accident.
• $25,000 for property damage occurring in a single accident.

You do have the option of getting higher limits, because you’re then personally liable for damages exceeding these limits. What if you’re the cause of the accident and someone is injured and ends up with $100,000 in medical expenses? If you only have the minimum, then you’re responsible for the remaining $70,000.

Optional Coverages

Aside from liability for other people’s injuries and damage to other people’s vehicles, you may also choose to get coverage for your own injuries and for your own motorcycle. After all, even if you’re a very safe motorcycle driver it’s quite obvious that these vehicles tend to get into more accidents. Liability insurance is all about other people’s injuries and vehicles. They’re not about your own injuries and motorcycle.

So here are some of your options:

• Collision: This type of coverage pays for the damage to your own motorcycle if you get into a road accident. If you’re the one at fault, then the other person’s insurance won’t cover the damages. But this one will. However, there are deductibles to consider. If your deductible is $300 and the damage is only worth $280, then you’ll have to pay for that yourself.
• This is for various types of damages that not usually related to an accident involving other vehicles. For example, it may cover theft or vandalism. It may also cover the damage if you even hit a deer crossing the road. You may want to question your agent regarding the precise types of damages that are covered by your policy. You may assume that it covers damage due to flooding, but it may actually not cover such damage at all. Also, keep in mind that there’s a deductible amount as well.
• Medical payments. This helps pay for your medical costs if you’re hurt in the crash and you’re at fault for the accident. Such medical costs can be rather exorbitant, since the lack of a crumple zone doesn’t protect your body. Remember to ask your agent how this policy will work in conjunction with your own health insurance policy.
• Custom or aftermarket equipment. Many motorcycle owners like to install aftermarket accessories on their rides. But your policy may not cover them at all, and perhaps only offer you a stock replacement for your custom parts. However, some policies do cover these aftermarket accessories up to a certain amount.
• Roadside assistance. This pays for services like towing.

Remember that you have to pay for deductibles, and you have to balance the deductible amount with the premium you have to pay. You may choose a low deductible amount, but that will result in higher premiums.