The average motorcycle rider pays about $150 to $200 a year for liability insurance on a motorcycle in Oregon. The average car driver pays about 5 times that much per year. Why is it so much cheaper to insure a motorcycle?
First, Oregon allows you to reject or exclude medical coverage for the driver and passenger on a motorcycle policy. An auto insurance policy requires that you include medical coverage for the driver and each of the passengers. With the rising cost of medical expenses if you must go to the hospital, that makes a huge difference in how much the insurance company would have to pay if you are in an accident. Since you can reject that coverage on a motorcycle policy, the insurance company would not pay for any medical expenses should you get hurt in a motorcycle accident. We would assume you have a good health insurance policy through a private carrier or the Oregon Health Plan (OHP).
Next, chances are you are going to do less damage to the property of others with a motorcycle than you would if you hit someone with a car. The sheer size difference between a car or truck and a motorcycle says the motorcycle is going to suffer more damage. So, the amount of property damage the insurance company is going to have to pay on average is less than if you were driving a car.
The same goes for the injury you may cause riding a motorcycle. If you hit a car, the injury the passengers will sustain in that car will be very little to no injury at all. The rider will be more likely to be the one injured as there is very little metal protecting him.
Where motorcycle insurance can get expensive in a hurry is if you choose to put physical damage coverage on your sport bike or choose to include medical coverage because you have no health insurance. Then prices can range anywhere from $500 to $10,000 a year depending on the bike and the driving record of the insured.