Maryland Personal Injury Lawyers
Buying a motorcycle is a significant investment. One question Maryland motorcyclists have is whether they need motorcycle insurance when they already have car insurance and what insurance rates are in Maryland.
What Is a Motorcycle?
According to the Transportation Article of the Maryland Code, a motorcycle is defined as a motor vehicle meeting the following criteria:
- Possessing motive power
- Equipped with a seat or saddle for the rider
- Designed to travel on no more than three wheels and capable of speeds exceeding 35 miles per hour
- Required to adhere to federal safety standards applicable to motorcycles
Furthermore, the definition of a motorcycle encompasses autocycles, which are vehicles featuring two front wheels and one rear wheel. Autocycles must also include a steering wheel, permanent seats, and foot pedals and comply with federal motorcycle safety standards.
Do I Need Motorcycle Insurance in Maryland?
Yes. Maryland law requires all motorcycles to be registered and carry the mandatory minimum amount of liability insurance.
Motorcycles are defined as any 2-wheeled or 3-wheeled vehicle with an engine larger than 70 ccs. The mandatory minimum amounts of motorcycle liability insurance in Maryland are:
- $30,000 bodily injury for an individual
- $60,000 bodily injury for two or more people
- $15,000 for property damage
Most auto insurance companies also provide motorcycle insurance policies.
A motorcycle is not a moped. A motorcycle is designed to travel at “speeds exceeding 35 miles per hour” and is “of a type required to comply with all motor vehicle safety standards applicable to motorcycles under federal law.” Md. Transp. Art. § 11-136(a).
PIP Not Mandatory for Motorcycles
Personal injury protection (PIP) is a component of auto insurance coverage that applies on a no-fault basis. It provides the insured driver with first-party coverage for medical expenses and lost income from an accident, regardless of who was at fault.
Under Maryland law, all auto insurance policies must offer $2,500 of personal injury protection coverage. PIP can be declined by the insured.
Different PIP Rules for Motorcycles in Maryland
Declining PIP coverage in Maryland requires a special waiver form. Most policies are issued with the minimum PIP. The PIP rules are different for motorcycle coverage.
Personal injury protection coverage is not mandatory for motorcycle policies. As a result, it is rarely offered, and most motorcycle insurance policies do not have PIP coverage.
You Want PIP Insurance on Your Bike
You want PIP coverage on your bike. PIP coverage protects you from injuries in a motorcycle accident, even if the crash is your fault. It is relatively cheap, and that small investment pays big dividends if you get into a crash.
More generally, few motorcyclists in Maryland carry enough insurance. Everyone focuses on paying less and is not focused enough on what happens if a crash occurs. If there is a motorcycle accident, you want to be protected, and with the coverage most motorcycle insurance policies give, you trust that the at-fault driver has a great deal of insurance coverage (and that the at-fault driver is not you).
What Are the Penalties for Not Having Motorcycle Insurance in Maryland?
The rules and penalties in Maryland for not having motorcycle insurance are the same as for cars. In Maryland, you must show proof of insurance to register a motorcycle. So without proper insurance, you won’t even be able to get Maryland license plates for your bike.
If you terminate your motorcycle insurance, you must surrender your tags to the Maryland Motor Vehicles Administration (MVA) before the coverage ends. Insurance companies will automatically notify the MVA if your insurance is canceled or lapses due to non-payment. The fines and penalties for driving without insurance are significant:
- $150 fine for the first month – then $7 per day (max of $2,500 per year)
- Individuals who provide false evidence of vehicle insurance may face penalties, including a fine of up to $1,000 and/or imprisonment for up to one year.
- Registration is automatically suspended. Driving with a suspended registration can result in separate penalties, and your motorcycle can be impounded.
If you don’t pay your MVA fines after a certain amount of time, the amount due is treated as debt and gets transferred to the Maryland Central Collections Unit (CCU). Once this happens, collection charges of 17% get tacked on, and CCU will intercept any tax refunds you might get to satisfy the debt. You will also be prohibited from registering new vehicles with MVA until these fines are paid.
Is Motorcycle Insurance More Expensive Than Car Insurance?
In general, motorcycle insurance tends to be less expensive than car insurance for basic coverage. This is because motorcycles are typically less expensive than cars and are considered less risky in terms of potential damage in accidents.
However, motorcycle insurance can sometimes be more expensive than car insurance with similar coverage levels. This is because of the higher risk associated with riding a motorcycle, as motorcyclists are more vulnerable to accidents and injuries on the road.
The reason for this is very simple. Riding a motorcycle is much more dangerous and poses a higher risk of an accident than driving a car. If you’re on a motorcycle, your chance of getting in an accident is much greater. For starters, people who choose to ride motorcycles tend to be risk-takers and generally less conservative drivers.
But even a cautious motorcycle rider can’t avoid the fact that motorcycles are harder to control than cars. A momentary slip or lapse of concentration on a motorcycle can easily and quickly result in an accident.
Motorcycle accidents also have a very high rate of fatalities, for pretty obvious reasons, not the least of which is too many motorcyclists drive too fast. If you are a responsible motorcyclist, this may not be true. But you are paying for all the irresponsible motorcyclists when you pay your premium every month.
Another Reason Why Motorcycle Insurance Tends to Be Less
Despite higher rates, the bottom line cost of your motorcycle insurance will probably be less than your car insurance. The reason for this is that most people don’t use their motorcycles as their primary transportation.
In other words, if you have a motorcycle, you’re probably not using it to commute to work five days a week. You are also not riding it in the rain, snow, or other bad weather conditions. Most motorcycles sit in the garage and only come out occasionally for recreation when the weather is good. You also can’t have three passengers on your motorcycle with you either.
Watch the Policy Language
Many motorcycle policies have single-rider limitations. For these reasons, motorcycle insurance policies are usually less expensive than the policy for your everyday vehicle.
Rate increases for motorcycle insurance policies are generally based on the same factors as car insurance – driving history, location, etc. However, with motorcycle insurance, the type of bike can have a very noticeable impact on insurance rates. The slower, safer motorcycles are cheaper to insure than the racing bikes.
Full Coverage for a Motorcycle Accident Means… Nothing
Our lawyers consistently hear from motorcycle accident victims that they had “full coverage” on their motorcycles. Full coverage usually means that you have insurance coverage for property damage, uninsured motorist, collision, PIP, and bodily injury. But too many people assume full coverage means you must have a lot of coverage. So “full coverage” does not explicitly specify all types of coverage included in a policy. Different insurance companies may offer different packages under the label of “full coverage,” and these packages may vary widely in terms of the level and scope of protection they provide.
As a result, individuals who purchase what they believe to be “full coverage” without fully understanding what it includes may find themselves underinsured in certain situations, leading to unexpected costs and complications in the event of an accident or other covered incident.
Make sure you read the policy terms before you agree to coverage. Often, full coverage means minimal coverage.
Motorcycle Accidents and Personal Injury Claims
The public perception of motorcycles and road safety is generally negative. However, a large percentage of accidents involving motorcycles are not the fault of the motorcycle rider. Cars and truck drivers rarely notice motorcycles on the road and fail to yield when they should.
If you have been injured in an accident on your motorcycle, contact the personal injury lawyers at Miller & Zois to find out if you might be entitled to legal compensation. Call us at 1.800.553.8082 or submit a request for a free consultation.