Rhode Island Motorcycle Insurance Requirements

Rhode Island has what’s called a “tort system” for settling claims arising from vehicle accidents which means that whoever is judged to be at fault for the accident is legally responsible for the costs of the accident. What this means to you as a motorcycle owner is that not only do you need liability insurance, but you should carefully investigate your options for additional insurance to protect yourself from expensive lawsuits.

Is Motorcycle Insurance Required in Rhode Island?

Rhode Island requires proof of financial responsibility for registered vehicles, including motorcycles. The most common and practical way to satisfy the financial responsibility requirement is through a prescribed form of motorcycle liability insurance.

What is Proof of Financial Responsibility?

Under Rhode Island law, proof of financial responsibility is proof of your ability to pay damages, up to certain minimum amounts, when you are liable due to an accident involving your motorcycle. The minimum amounts are:

• $25,000 bodily injury or death one person one accident
• $50,000 bodily injury or death more than one person one accident
• $25,000 property damage or destruction or $75,000 combined liability per accident

Another option to the above is a $75,000 combined single limit policy.

How Do I Show Proof of Financial Responsibility for My Motorcycle?

The most common way is through motorcycle insurance from an insurance carrier authorized to do business in Rhode Island. The insurance company will normally give you an identification card as well as a copy of the policy and a declarations page or certificate.

Rhode Island law requires the insurance company to state the coverage the policy the offers, the premium charged for the policy period, the limits of liability and an endorsement that attests that the coverage conforms with Rhode Island law regarding financial responsibility.

Are There Other Ways to Show Proof of Financial Responsibility?

You can get a bond from a surety company or a bond with at least one other person which is backed by equity in Rhode Island real estate worth at least twice as much as the bond. The bond would then be used to pay claims up to the same limits as a minimum liability policy. You would file the bond with the DMV. If you got a real estate bond and didn’t pay a judgment against you, the creditor could foreclose on your property.

If you don’t have any outstanding judgments against you, you can also deposit $60,000 with the state’s general treasurer. The deposit can be in cash or cash equivalent securities.

What Are The Penalties for Not Having Proof of Responsibility?

If your insurance is canceled or terminated and not replaced, you are supposed to surrender your license and registration to the DMV. If you don’t, the DMV can send an officer to confiscate these items. You can also be fined up to $500 and/or sent to jail for 30 days.

There is also a harsh penalty for falsely claiming that you have motorcycle insurance (or other proof). The penalty is a fine of up to $1,000 and/or a year in jail.

What If I Can’t Get Motorcycle Insurance?

You should be able to get motorcycle insurance unless you are a high-risk rider, as motorcycle insurance is widely available. Many companies offer the ability to get quotes online or you can call an insurance agent or broker. In some cases, you can also get multiple quotes online.

However, if you cannot get insurance through normal channels, Rhode Island has an assigned risk plan. Under an assigned risk plan, high-risk riders get high-limit liability coverage for bodily injury (250/500). You can contact the state insurance commissioner’s office if you have questions about applying for an assigned risk plan.

Do I Need Other Motorcycle Insurance Besides Liability Insurance?

Rhode Island law doesn’t require you to get any type of motorcycle insurance beyond liability insurance. You may, however, decide that you need additional coverage since accidents in a state that uses a tort system can be expensive if you don’t have enough insurance. Ask an agent or broker about the following types of coverage: additional liability protection, medical payments coverage, uninsured motorist coverage and collision and/or comprehensive coverage.

Other Things to Know:

The Rhode Island Insurance Commissioner offers a guide to auto insurance that explains what factors affect your premiums and how you can compare premium quotes from different companies. It also explains what the different types of insurance cover. Much of the information applies to motorcycle insurance as well, and you can use the guide to organize your quotes.