In Reply to: Don't sweat the insurance. posted by Bagusbali on Wednesday, 24. April 2013 at 17:54 Bali Time:
if you have an accident as an unlicensed rider your family members could find themselves re-mortgaging their houses because you will have no insurance cover and medical treatment in Bali comes at a cost, medivac comes at a high price. There are a huge number of accidents in Bali involving motorbikes and in fact a huge number of Indonesians are maimed and killed because they do not have the money for the treatmet they need.
By all means ride a bike if you want but make sure you let your travel insurance know (you do have travel insurance don't you?) and make sure you have an international drivers license or a local license.
You can hire a bike with no licence but why that would be a good idea is beyond me. Let's not even go into a scenario where you injure or kill an Indonesian person.