ATV Insurance Basics

You may not think that having ATV insurance is necessary. Alternately, you may think that your homeowner's insurance policy covers personal property such as your ATV. However, your homeowner's policy only covers the ATV as long as it remains on your private property. If the ATV goes off your property, it is no longer covered for any property damage or personal injury that it may cause. This can result in you being held personally liable for extensive property damage and/or medical costs if your ATV is involved in a collision.

Most insurance companies offer policies for ATVs and other small vehicles such as snowmobiles, jet skis, golf carts, dune buggies and motorcycles. Your insurance rate will usually be determined by your driving history and by the number of claims you have filed. If the ATV has a higher displacement, a high number of claims for its make or model, or is considered a more "aggressive" machine, your insurance rate could be higher. Your driving experience, which is defined as the number of years you have been driving, is also calculated when determining your insurance rate.

If you wish to lower your ATV insurance rate, consider taking an ATV safety course. Such a course not only teaches you about ATV safety but also provides valuable tips on handling, unloading and storing of the ATV. Completion of such a course will usually qualify you for a policy discount. Owning your own home, being part of a riding association, having more than one policy with the same insurance company, and having a radio or GPS theft recovery device installed on your ATV can also lower insurance costs.

When obtaining ATV insurance, find out if the policy covers custom equipment and upgrades that might be added to the ATV at a later time. Having such coverage protects you in case of vehicle theft and/or vandalism. Also, be sure to ask if the policy will cover lodging, transportation and meals in case your ATV breaks down or is involved in a collision. Finally, determine if your insurance quote includes coverage for personal protective equipment such as your helmet, gloves and boots, all of which may need to be replaced after you are involved in a collision.

If you intend to drive your ATV on paved roads, find out if you need to make modifications to your vehicle in order to make it "street legal;" otherwise, you could void your insurance policy. "Street legal" modifications include installing items such as a windshield, turn signals, mirrors and DOT-approved tires. You may also need additional licensing from the DMV.