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Motorcycle Dealers Insurance

Motorcycle dealers insurance is a specialized insurance policy designed to meet the unique needs of motorcycle dealerships. It provides coverage for a range of risks, such as liability, theft, and property damage.

Who Needs Motorcycle Dealers?

Any business that sells, services, or transports motorcycles needs motorcycle dealers insurance. This includes:

Motorcycle Dealerships

Motorcycle dealerships are the primary users of motorcycle dealers insurance. They require this type of insurance to protect their financial interests in the event of an accident or other mishap.

Motorcycle Repair Shops

Motorcycle repair shops that offer maintenance and repair services to the public also need motorcycle dealers insurance. This type of policy will provide coverage for any accidents that occur on their premises.

Motorcycle Transporters

Motorcycle transporters that move motorcycles from one location to another benefit from this type of coverage as well. This policy protects them from financial loss in the event of an accident during transportation.

Types of Motorcycle Dealers Insurance

There are several types of motorcycle dealers insurance coverage that you can choose from. The most common types include:

Liability Insurance

Liability insurance is the most basic type of insurance that all motorcycle dealerships should have. It provides coverage against claims made by third parties for property damage or bodily injury caused by the dealership’s operations. This type of policy will generally cover legal fees, judgments, and settlements.

Property Insurance

Property insurance provides coverage for the dealership’s physical assets, such as the building, inventory, and equipment. It covers losses due to theft, fire, and other disasters. This type of policy is essential for motorcycle dealerships as they typically have a lot of valuable inventory on their premises.

Dealer Plate Insurance

Dealer plate insurance provides coverage for the dealership’s demo motorcycles that are used for test rides, demonstrations, and transportation. This policy is necessary since these motorcycles are not registered to the dealership and are, therefore, not covered by regular insurance policies.

Garage Liability Insurance

Garage liability insurance offers coverage for the dealership’s operations, including test drives, maintenance, and repairs. Insurance covers the dealership’s legal liability for any accidents that occur on its premises.

Motorcycle Transport Insurance

Last but not least, motorcycle transport insurance secures the transportation of motorcycles from one location to another. This type of policy is necessary for dealerships that transport their motorcycles to other locations for sales or service purposes.

How Much Does Motorcycle Dealers Insurance Cost?

The cost of motorcycle dealers insurance varies depending on several factors, including:

Type of Coverage

The type of coverage you choose will affect the cost of your insurance policy. Liability insurance is typically the most affordable, while property insurance is usually more expensive.


The location of your dealership will also affect the cost of your insurance policy. Dealerships located in areas with high crime rates or high accident rates will typically have higher insurance premiums.

Size of Your Dealership

Larger dealerships with more inventory and employees will typically have higher insurance premiums.

Claim History

If you have a history of making claims, your insurance premiums will be higher.

Motorcycle Dealers Insurance Requirements

The requirements for motorcycle dealers insurance vary by state, but most states require liability insurance at a minimum. Some states may also require additional coverage, such as property insurance or garage liability insurance. It’s essential to check with your state’s insurance regulatory body to determine the specific insurance requirements for your dealership.

Commercial Insurance And Business Industry Classification

  • SIC CODE: 5571 Motorcycle Dealers
  • NAICS CODE: 441228 Motorcycle, ATV, and All Other Motor Vehicle Dealers
  • Suggested ISO General Liability Code(s):
  • Suggested Workers Compensation Code(s): 8380 Automobile – Service or Repair Center & Drivers, 8748 Automobile – Salespersons

Motorcycle Dealers Insurance – The Bottom Line

Motorcycle dealers insurance is crucial for any business that sells, services, or transports motorcycles. It provides coverage for a range of risks, including liability, theft, and property damage. Without motorcycle dealers insurance, dealerships are exposed to significant financial risks that could result in bankruptcy or closure. Therefore, it’s vital to ensure that your dealership has the appropriate insurance coverage to protect your financial interests.

If you are a motorcycle dealer, make sure to get the right insurance coverage for your dealership. Protect your assets and avoid potential financial disaster by getting motorcycle dealers insurance today.

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