Riding a moped or scooter can be a great alternative to taking a car. They’re cost-effective, eco-friendly, and they can also be a lot of fun. But what does it take to ride one legally? Depending on a variety of factors, including where you live and how big your vehicle is, you may need insurance before you can take to the road.
Key Points
• Approximately half of U.S. states require moped insurance, with scooters containing engines larger than 50cc or exceeding 30 mph typically requiring coverage
• Coverage options include liability for bodily injury and property damage, collision protection for accidents, comprehensive coverage for theft and natural disasters, and uninsured motorist protection
• Registration typically requires proof of insurance to comply with state financial responsibility laws, making coverage essential for the legal operation of qualifying vehicles.
• Riding without required insurance constitutes a serious offense resulting in fines, license suspension, and vehicle impoundment in most states across the country.
• Standard auto insurance policies typically exclude mopeds and scooters, requiring separate coverage, while low-powered electric scooters under 30 mph rarely need insurance
When Is Insurance Legally Required for a Moped or Scooter?
As we begin, let’s define our terms. A moped is a type of motorized bike that typically also has pedals that can be used to propel it even when the engine isn’t engaged. Mopeds typically have small engines of 50 cc or less.
A scooter, as we’ll define it here, is a type of motorized bike that does not have pedals. They are more powerful than mopeds with an engine size of 50 cc to 250 cc. Scooters differ from motorcycles in large part due to a different frame shape. However, many can go as fast as a motorcycle.
In about half of the U.S. states, you need insurance for a moped. You will also likely need insurance for scooters with engines bigger than 50 cc. Scooter insurance is often the same as motorcycle insurance.
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How Top Speed Affect Insurance Rules
We just covered how engine size may affect the need for insurance. Top speed, which is closely related, may also have an impact. For instance, in some states you may need insurance for a moped or a scooter if its maximum speed exceeds a certain limit, such as 30 miles per hour. Speeds like these are usually associated with engines that are 50cc or larger.
Registration, Licensing, and Insurance: What’s the Difference?
In many states, you’ll need a motorcycle license to legally ride vehicles with engines of 50cc or more. For smaller engines, a standard driver’s license may be sufficient. You do not need to have insurance to become licensed to ride a scooter.
When you register a scooter, you are officially recording ownership with a state agency, usually the Department of Motor Vehicles, which legally allows you to operate it on public roads. Registration typically requires proof of insurance to make sure you comply with state-mandated financial responsibility laws.
What Coverage Might You Need Even If It’s Not Required?
In many ways, scooter insurance works a lot like how auto insurance works. It can consist of state-mandated coverage as well as optional coverage, all of which protects you under different scenarios.
While liability coverage is typically required by law, you may want to consider other types of coverage as well. Whether insuring a car or motorcycle, be sure to look at the terms and conditions carefully before settling on a policy.
Bodily Injury and Property Damage Liability
There are two types of liability coverage: bodily injury coverage and property damage coverage. Both kick in if you cause the accident. Bodily injury coverage helps pay the medical expenses of someone else who is injured, and property damage liability pays for repairs to other people’s property that is damaged.
Coverage for Damage to Your Scooter
If you are in an accident with another vehicle, collision coverage pays for damage to your scooter. It will also protect you if you hit a stationary object, such as a lamppost, tree, or guardrail.
Collision coverage will usually carry a deductible that you’ll have to pay out-of-pocket before your insurance kicks in and pays the rest. For instance, if you have a $500 deductible and you’re in an accident that causes $1,000 worth of damage, you will cover the first $500 personally. Your insurance company will step in and pay the remaining $500.
When you choose coverage, you’ll be able to choose your deductible amount. The higher the deductible you choose, the less risk your insurer takes on, and the lower your monthly payment will be.
Protection Against Theft and Vandalism
Comprehensive coverage protects you if your scooter is damaged outside of a collision or it is stolen. It will typically cover you in case of natural disaster, including fires, floods, hail storms, and falling objects, such as tree limbs.
Uninsured Motorist Coverage
Unfortunately, a lot of drivers out there may not have insurance—even if their state requires it—or they may not carry enough to cover the damage done in an accident.
Underinsured and uninsured motorist coverage can help you pay for things like medical bills, and in some places, repairs to damage done to your scooter when another party involved in an accident doesn’t carry insurance.
Penalties for Riding Without Insurance
In most states, riding without insurance is a serious offense. If you do, you may face fines, your license could be suspended, and your bike could be impounded.
You might also be asked to fill out an SR-22. This is a form that signals that you are a high risk to insurers. As a result, it can be more difficult and expensive to acquire insurance in the future.
It is far better to be properly insured from the outset than it is to face the expense and inconvenience of being caught without insurance.
How Much Moped or Scooter Insurance Costs
Liability coverage for scooters could cost as low as about $75 per year.
Several factors come into play when insurers are setting the price of scooter insurance, including age, location, driving history, type of vehicle, and the amount of coverage that you purchase. Insurance might be higher for a driver under the age of 25, for instance, than for more experienced drivers with a clean driving history.
Engine size is another factor insurers will consider. Vehicles with large engines are more powerful and could have higher insurance costs than vehicles with smaller engines.
Another key factor: How much you drive your scooter. If you drive it frequently, your insurance rates may be higher than if you only use it recreationally once in a while.
Finally, how much your scooter is worth can also have an impact on your premiums. As a result, determining the value of a motorcycle or scooter is important before shopping for coverage.
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The Takeaway
While mopeds and scooters may be small, the risks that come with riding them may not be. The right insurance can help protect you and your vehicle, the people around you, and your finances. Choose a policy that fits how and where you ride to help ensure that you stay safe and your ride is a smooth one.
When you’re ready to shop for auto insurance, SoFi can help. Our online auto insurance comparison tool lets you see quotes from a network of top insurance providers within minutes, saving you time and hassle.
SoFi brings you real rates, with no bait and switch.
FAQ
Are electric scooters subject to the same insurance laws?
Most states do not require that you carry insurance for low-powered electric scooters, especially if they don’t reach speeds above 30 miles per hour.
Can you use auto insurance instead of a separate scooter policy?
Standard auto insurance does not usually cover a scooter or a moped. You’ll typically need a separate policy.
Does insurance cover someone else riding your scooter?
If someone else is in an accident on your scooter, whether or not they are covered will depend on your policy. So policies will cover people you gave permission to ride your scooter, while other policies may require that they be officially listed on the policy.
What happens if you cause an accident without insurance?
If you cause an accident and you’re not insured, you may be personally liable for damage. In addition, you may face fines for being uninsured, your license may be suspended, and your vehicle may be impounded.
Are minors required to carry scooter insurance?
Minors will likely have to carry insurance if the scooter they intend to drive has an engine that is 50 cc or larger.
Photo credit: iStock/ArtistGNDphotography
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