Power Sports Insurance

Gearing Up for Protection on the Road and Off

Powersports insurance, also known as recreational vehicle insurance, is a specialized type of insurance designed to protect individuals who own and operate ATVs, UTVs, personal watercraft (jet skis), snowmobiles, and other recreational vehicles. Compared to standard auto insurance, it caters to the unique risks and needs associated with these powerful and often off-road machines.

How does it work?

Powersports insurance functions similarly to auto insurance, offering both liability and comprehensive coverage. Liability protects you from financial responsibility if you injure someone or damage their property while operating your powersports vehicle. Comprehensive coverage ensures financial compensation for damage or theft of your own vehicle, regardless of fault.

Coverage Scope:

• Liability Only: Usually mandated in each state. Provides protection to the other vehicle when you are in an at-fault accident, but does not cover your vehicle or injuries to people in your vehicles including you. In some states, you may also receive Personal Injury Protection (PIP) as well.
• Full Coverage: Necessary if you have a loan. In addition to liability coverage, this generally includes Comprehensive and Collision coverages to protect damage to your vehicle. It also allows you to add additional coverages like Uninsured/Underinsured Motorist coverages too.

Core Coverages

• Liability: This is the most basic type of vehicle insurance coverage required by law in most states, protecting you from financial responsibility if you cause an accident and injure others or damage their property. It's often divided into two main parts:
  • Bodily Injury Liability: This covers medical expenses, lost wages, and other costs associated with injuries sustained by others in an accident you cause. It also covers legal fees if you are sued due to the accident.
  • Property Damage Liability: This covers the cost of repairing or replacing someone else's property (e.g., another vehicle, fence, trailer, or building) that is damaged in an accident you cause.

Common Optional Coverages

• Comprehensive: This coverage protects your vehicle from non-collision-related damages, such as theft, vandalism, fire, natural disasters, falling objects, and collisions with animals. Often required by lenders if you have a loan.
• Collision: This coverage pays for damage to your vehicle resulting from a collision with another object, such as another vehicle, tree, or guardrail. It can also cover damages from a single-vehicle accident, such as rolling over or hitting a pothole. Often required by lenders if you have a loan.
• Uninsured Motorist: Protects you financially if you're in an accident caused by a driver who has no insurance. Covers medical expenses, lost wages, property damage, and pain and suffering resulting from the accident. This is great for added protection against hit and run collisions.
• Under Insured Motorist: Protects you financially if you're in an accident caused by a driver who has insufficient insurance to cover your damages. Covers medical expenses, lost wages, property damage, and pain and suffering resulting from the accident.
• Medical Payments: Regardless of who is at fault in an accident, Medpay covers reasonable medical bills for injuries sustained in an accident.
• Collision: This coverage pays for damage to your vehicle resulting from a collision with another object, such as another car, tree, or guardrail. It can also cover damages from a single-car accident, such as rolling over or hitting a pothole. Often required by lenders if you have a financed car.
• Personal property: Covers your gear and accessories on the vehicle, like helmets, goggles, or fishing equipment.

Optional Coverages to Consider:

• Umbrella Insurance: Offers extra liability protection, usually starting at $1,000,000 in coverage, above and beyond the standard limits of your home and auto policies. Depending on the carrier and state laws, this typically includes your motorcycle, RV, boat, ATV, snowmobile and your other vehicles too.

Consulting with an insurance professional can help you assess your specific needs and risks, compare different policy options, and choose the coverage that best protects you and your powersports investment. Enjoy the thrill of your adventures with the peace of mind that comes with adequate powersports insurance!