If you’re an avid ATV rider or thinking about getting into it, one thing you may not have thought about is insurance. Insurance is not something that’s fun to deal with, and realizing you’ll have to cough up some extra dough for something that may not even happen is hard to accept. Unless you’re a multi-millionaire, insurance is a much-needed tool to help manage your financial and liability risks.
ATV riding is an inherently risky activity, so follow along as we explain why you might need ATV insurance, what it covers, and how much it’s going to cost.
Is ATV Insurance Required?
The short answer is maybe. Some states or local municipalities may require ATVs to be insured, but this generally isn’t the case.
If you fully own an ATV (not leased or financed), you most likely won’t be required to have insurance for it. The decision is up to you, but not having it will put you at greater risk and limit where you can ride it.
Leasing or financing an ATV will almost always require you to purchase an insurance policy. The leasing or financing company will want to limit their risks, so part of the deal for allowing you to finance the ATV is the stipulation that it be insured.
In addition, many state parks and other ATV riding areas may require ATV insurance. If you want to take your ATV to public riding areas, odds are insurance is a requirement and just a good idea overall.
Why Do I Need ATV Insurance?
Sure, if you’re willing to take on the risk, you may be able to go without insurance and save yourself some cash. However, this may not be realistic for most people.
For one thing, ATV riding is an inherently dangerous activity. You could do everything right and be safe and careful, but accidents still happen.
In addition, ATV accidents or claims are not usually covered by other forms of insurance such as homeowners and automobile insurance policies.
Here are some of the most basic reasons why having an ATV insurance policy is worthwhile:
Injuries
ATV accidents can result in some serious bodily injuries to you, or others involved. Even if you have health insurance, most health plans won’t cover injuries related to ATV accidents because they exclude them as a voluntary “hazardous activity.”
If someone else is injured by riding your ATV (with or without your permission) or another individual is injured by your ATV, coverage with insurance can help pay for the liability associated with their medical bills. This is known as bodily injury liability.
Property damage and liability
ATV insurance can also help with the liability associated with property damage caused by you and your ATV. If you have an accident that involves damaging someone’s property, vehicle, or ATV, insurance can help reduce your financial burden.
Theft and vandalism
ATVs are a favorite target of thieves because they can be easy to steal and difficult to track down. Should you choose to add comprehensive coverage, you may be able to recuperate some, or all the money lost from a stolen or vandalized ATV.
What does ATV Insurance cover?
What ATV insurance covers will all depend on the specific coverages you select. Depending on your budget and what coverages you want, this type of insurance can be basic or have more enhanced coverage.
At its most basic level, ATV insurance will have standard coverage for:
- Bodily injury liability – liability coverage in the event an ATV accident causes bodily injury to others, regardless of fault.
- Property damage liability – liability coverage in the event an ATV accident causes damage to someone’s property.
Depending on your location and the insurance company, liability coverage will be standard and represents the cheapest and most basic ATV coverage.
Other optional coverages you can add to your policy that you may want to consider are:
Collision – coverage to help recover costs from damage to your ATV after a collision with another ATV, object, or vehicle,
Comprehensive – coverage for theft, vandalism, or natural disasters
Uninsured motorist – additional coverage if you have an accident with someone without insurance.
Underinsured motorist – additional coverage if you get into an accident with someone with limited insurance coverage.
Medical payments – coverage to help you pay for medical bills if injured from an ATV accident.
Along with what the insurance will cover, there are certain things it will not cover. These are called coverage exclusions and each insurance company may have different ones, but in general accidents excluded because of the following include:
- Riding on public roads or highways
- Operating under the influence of drugs or alcohol
- Operating an ATV while engaging in illegal activities (most commonly trespassing)
How Much Does It Cost?
ATV insurance rates are not the same for everybody, so it’s difficult to put a number on how much it will cost.
As a broad generalization, the average monthly cost for ATV insurance in the United States is $100. Expect to pay anywhere from $40-$100 per month for basic coverage, and $70-$140 per month for more enhanced coverage, which will depend on the insurance company and a variety of other factors.
In general, the more coverage and higher coverage limits you select, the more the insurance will cost you. Insurance rates, a.k.a. premiums, can be paid monthly or annually. Some insurance companies may offer quarterly or bi-annual payments as well.
Insurance premiums depend on a variety of factors such as:
- Driving record
- Vehicle type and condition
- Location
- State minimum coverage requirements
- Coverage options and limits
- Insurance company
Overall, ATV insurance premiums depend mostly on coverage options and location. Obviously, the more coverage you have, the more the premium will be. However, one thing that’s out of your control for the most part is location.
Insurance companies have different rates depending on the state because of state insurance laws, risk history, and the overall cost of doing business in that state.
For example, for the same exact coverage for someone in Texas, the premium may look vastly different for someone in California.
How Can I Save Money on ATV Insurance?
For the most part, the rates are the rates and there is little you can do to change it. However, there are a few ways to save money on ATV insurance.
First, make sure to select the appropriate amount of coverage. You can go with basic coverage for the most savings, but don’t always go for the cheapest thing. Figure out what coverage makes the most sense for you so you can properly manage your financial risk.
Second, make sure to compare rates and policies from several different insurance companies. See what insurance providers in your area offer the best value, but make sure to go with a reputable company.
Lastly, combining your ATV insurance with your home, auto, or other types of property and casualty insurance can save you a lot of money. Most insurance companies offer significant discounts for bundling multiple policies.
Conclusion
While ATV riding is an incredibly fun outdoor activity, it does not come without its share of risks. Not only is your body at risk, but also your finances if you experience a serious accident.
ATV insurance can help protect you from the obvious risks of ATV riding, so take some time to seriously consider getting a policy. Even if you don’t think you’ll ever be in an ATV accident, no one can foresee the future, so it’s better to be safe than sorry.
If you thought this article on ATV insurance was helpful, check out our other blog posts on ATVs here.
