No. According to the Internal Revenue Service, accident settlements and awards involving motorcycle accidents are not considered income and are, therefore, not taxable.
The exception to this rule involves punitive damages. Punitive damages are sometimes awarded in cases where the defendant’s behavior was extremely reckless. The damages are unrelated to the expenses and impacts suffered by the claimant, but rather are awarded in court to punish the defendant and to discourage him or her from displaying such reckless actions in the future. Because these damages are unrelated to the injury itself, they can be considered income and are subject to tax.
Additionally, if you claimed your medical expenses as an exemption and then subsequently received a settlement or award that includes the recovery of medical expenses, you will likely be expected to pay back the portion you previously claimed as an exemption.