All Terrain Vehicle

All terrain vehicle (ATV) is commonly known as 4-wheeler or Quad. This also includes 3-wheelers.

Many of the insurance companies are hesitant to insure the 3-wheelers as they see the 4-wheeler as much more stable a unit.

The use of the unit can be pleasure or the unit can be used in a commercial manner. If your use is commercial then you need to let your agent or broker know this as it may make a difference to the insurance company.

Many farm policies have ATVs which are used to check the cattle, check the fencing and are used for pleasure as well. These units require PLPD and Accident Benefits coverage if they are to be registered and operated on the public road. SEF 44 is often added as well.

The units are generally rated as light - up to 250 cc and heavy, over 250 cc. The PLPD premium is usually determined by driving record and age of the operator.

If you wish to purchase damage such as All Perils, Comprehensive or Specified Perils the rate is usually determined by list price new. This is dependent on the company's underwriting procedures.

The insurer may require that you sign an SEF 9, SEF 19 and SEF 40 as part of their binding coverage. Discuss the implication of these forms with your insurance adviser.

ATVs require licensing and liability insurance - physical damage is up to you. Some people will not license or insure their ATVs if they are kept on the farm. The farm policy usually picks up liability (and charges a fee for it) because of the exposure of someone causing damage to persons or property while riding an ATV

If the unit is to be used in racing or other such sports-type events then you should speak to your agent or broker to be sure that this type of use is not excluded.