Motorcycle Insurance Minimum Requirements in Maine

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If you are a Maine resident who rides a motorcycle registered in the state, you must prove you can cover the cost of damages (either property or injury) in the case of an accident. To show proof that you ensure financial responsibility, you must carry liability motorcycle insurance, uninsured motorists coverage, and medical payments coverage.   Ways to Establish Financial Responsibility Although other states offer a few options to establish financial responsibility, Maine only allows its resident riders to purchase motorcycle insurance. If your specific situation does not afford you the ability to purchase a policy, look into the state’s assigned risk initiative. Read below for the state’s minimum motorcycle insurance requirements; they are no different than what is required for automobiles.   Assigned Risk The Maine Automobile Insurance Plan can assist you if you cannot obtain coverage through regular means. That is because the state requires all insurance companies who sell insurance policies in Maine to contribute to this shared market.   Two-Wheeled Vehicles Defined Not all vehicles must be registered or insured in the state, so if you are not sure whether your vehicle requires registration or insurance coverage, contact the Bureau of Motor Vehicles (BMV) at (207) 624-9000, ext. 52149. Here’s how the state defines motorcycles, mopeds, and motorized scooters: Motorcycle―A motor vehicle with a seat or a saddle to accommodate a rider. It has either an electric motor (not less than 1,500 watts) or an engine with more than 50 cc, and is meant to travel on the ground with only 2 or 3 wheels (10 inches or larger in diameter). Moped―A motorized device with fully operative pedals for human-powered propulsion. It is designed for ground travel using only 2 or 3 wheels (10 inches or larger in diameter), and has either an electric motor (less than 1,500 watts) or a liquid-fuel motor not exceeding 50 cc. For more specifics on mopeds, the Maine Exam Manual. Motorized Scooter―Note that these do not include electric personal assistive mobility devices. Instead they are motor-powered scooters having a maximum piston displacement of less than 25 cc or an electric motor with a capacity not exceeding 750 watts. They travel on the ground using 2 or 3 wheels fewer than 10 inches in diameter.   Maine Insurance Requirements for Motorcycles As stated above you must purchase liability motorcycle insurance, uninsured motorists coverage, and medical payments coverage from an auto insurance provider. Here are the motorcycle minimums to satisfy the financial responsibility law: $50,000 for the injury/death to any one person $100,000 for one accident resulting in injury/death of more than one person $25,000 for property damage As you are getting motorcycle insurance quotes, do some research on the types of coverage that...

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Why Does Your Credit Score Affect What You Pay for Auto Insurance?

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There used to be a time when auto insurance carriers did not consider your credit score when quoting auto insurance rates.  Though for the past 20 years or so, it has become common practice for insurance carriers to pull your credit score as part of the evaluation for providing an auto insurance quote. If you have ever wondered why you are not alone.  Many have asked the question, why does credit score affect the cost of auto insurance?  Here is a brief look into credit scoring and why it affects what you pay.   Credit Score in a Nutshell A credit score is an indicator of your financial wellbeing that falls somewhere between 500 and 900. Financial institutions and companies use this number to determine how likely you are to repay your debts based on past credit history, among other factors. When creditors look at your credit score, they’re assessing whether you are a low-risk or high-risk borrower.  A low-risk borrower is someone who most likely would repay their loans, while a high-risk borrower is someone who most likely will be unable to repay their loans on time.  Traditionally, high-risk borrowers are charged higher interest rates because creditors are taking on a greater risk of losing their money.    Credit Scoring and Auto Insurance  A car insurance carrier considers many factors when evaluating the risk of insuring a new customer that can include: age, gender, location, vehicle type, marital status, accident history, driving record, annual mileage and credit score. Insurance companies have found a statistical correlation between credit score and how likely a driver is to file a claim.  They have found that those with poor credit scores are more likely to file a claim than one with the good or better rating.  Insurance companies also perceive that having a low credit score could be an indication that the person has missed payments or has the habit of making late payments on credit accounts and thus believe that they are more likely to follow this pattern.  In essence, insurance carriers think that a good score reflects a customer’s ability to make on-time payments as well as maintain safe driving habits which can lead to fewer claims in the future.  Because there is a lower risk of claims, the customer is more likely to receive a discounted rate.    Need Insurance Options? Equinox Can Help  Equinox represents a wide variety of insurance carriers which helps us to offer many options for our customers.  As an insurance agency, we don’t set the pricing, claims procedures, underwriting guidelines or discounts.  Each insurance company we work with establishes their own rates and rules for doing business with them.  Equinox works as a trusted advisor...

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