Is Insurance More Expensive for Motorcycles in NJ?

Figuring out the cost of insurance for your vehicle is complicated.  There are many factors that go into the calculation, such as where you live, how long you’ve been driving, what vehicle you drive, and even your sex and education level.  The question of whether motorcycle insurance is more expensive than car insurance is therefore a very complex question.

In general, motorcycle insurance is not necessarily more expensive than car insurance in NJ.  However, many factors go into this calculation, and it is possible that your motorcycle insurance might be more expensive than car insurance – but there are often ways to save money anyway.

If you were involved in a motorcycle accident in NJ, don’t rely on insurance companies to have your back.  Call NJ motorcycle accident lawyer Jerry Friedman today for a free case review.  Our number is 1-800-529-4464.

Is Motorcycle Insurance More Expensive than Car Insurance in NJ?

Motorcycle insurance and car insurance in New Jersey work under slightly different systems and have different requirements.  This often creates a slight difference in cost, but other factors drastically alter these base calculations.  In general, there is not too much of a difference between car and motorcycle insurance, but your individual situation might make a big difference.

Motorcycle Insurance vs. Car Insurance Requirements in NJ

Car insurance laws in New Jersey require each driver to carry at least $15,000 in injury coverage, $5,000 in property damage coverage, and $15,000 for personal injury protection – more on that in a second.  These minimum insurance policies are typically quite affordable and focus on each driver having first-party PIP benefits that can cover them in case of an injury.  This means that NJ essentially uses a no-fault system where your own PIP coverage pays for your injuries.  Although you can opt in and pay more to guarantee your right to sue with different policies, under a basic policy, you have a limited right to sue.  Drivers can only file a lawsuit against the other driver if they meet certain thresholds for the severity of injuries or cost of damages.

Motorcycle insurance in NJ does not have the same requirements.  Motorcyclists are not required to use the same PIP coverage and can essentially opt out of the limited right to sue system by purchasing liability-only coverage.  This means carrying insurance that will cover other peoples’ damages at a minimum of $15,000 for injuries per person, $30,000 for injuries per accident, and $5,000 per accident for property damage.

Without PIP insurance, your overall insurance bill might be lower for motorcycle insurance.  However, you should speak with a New Brunswick motorcycle accident lawyer about whether this is enough to cover your needs.  Adding on additional coverage might make your policy more worthwhile.  For example, you can add first-party benefits that will cover you in case of an accident.

Factors that Can Make Motorcycle Insurance Cheaper

Most motorcycle riders also have a car and might ride a motorcycle only as a recreational activity, on weekends, or during warmer months.  If you also have a car that you typically use for things like groceries and taking the kids to practice, then you might not be charged as much for motorcycle insurance for a couple of reasons.

First, motorcycle insurance is often based on how much you use the motorcycle.  Riders who ride less often might not be charged as much as riders who take their bike out every day; more riding implies more chances for a crash, so that makes your insurance more expensive.

Second, motorcycle insurance can often be bundled with other insurance.  Car, boat, and home insurance can often be packaged together with many leading insurance companies for a lower overall rate.  Even if you do not use the same insurance company for motorcycle insurance or don’t actually bundle those insurance policies together, the fact that you own a house or have not been in a car accident in the past few years could also help lower your motorcycle insurance rate.

Factors that Increase the Cost of Motorcycle Insurance

Motorcycles are inherently seen as more dangerous than other vehicles.  In the same way that a 2-door sports car might have a higher base insurance rate than a 4-door sedan or a minivan, motorcycles also carry a somewhat inflated insurance rate.

Motorcycle riders are also heavily scrutinized when applying for motorcycle insurance.  Across the board, insurance companies tend to look at factors that really play no part in whether someone is a safe motorcycle rider, but are instead based on statistics.  For example, since men statistically get into accidents more often than women, men – who make up around 81% of motorcycle owners – might be charged more for insurance.  Your income level and education level – also factors that have nothing to do with your actual safety on a bike – could also be used against you to charge higher insurance rates.

It is important to shop around for insurance companies that look at your actual track record on a bike and other factors that show you are a safe rider when making their calculations.  Many times, motorcycle insurance can be found at quite low rates in NJ.  You just might have to look harder to find it if traditional “risk factors” would inflate your insurance rate.

How Much Does Motorcycle Insurance Cost in NJ?

The cost of motorcycle insurance is constantly shifting, and it always depends on your specific case.  The average cost of motorcycle insurance in the U.S. has been reported as $721 for a year of coverage, with the average in NJ sitting a bit lower at $653.

However, this is an average, so it might not be close to what you will pay if you have more extensive coverage or if you bundle your home and car insurance together with your motorcycle coverage.  Other sites have reported availability of insurance as low as $151 per year, so definitely make sure to shop around for the right insurance coverage for you.

Call Our Motorcycle Accident Lawyer for Help

If you were hurt in a motorcycle accident, your insurance might not be enough to help you anyway.  Call Camden motorcycle accident lawyer Jerry Friedman today at 1-800-529-4464 for a free case review.