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In Virginia and I assume in most states anything 50cc and up needs tags and endorsement and insurance.

We just passed a new law here requiring all scooters (even 49cc) to be tagged with a plate issued through DMV. It begins next summer (2014). I do not believe insurance on the 49cc is required though. I am sure they did this so we could collect personal property tax.

Simple answer is to find out your states laws but I feel quite certain that being a 125cc MC in every state the Grom will be treated as a full size street bike. In stock form, the Grom is 50 state compliant with lights, seat height, tires etc.
 

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I'm pretty sure that if you drive it on the streets it's required to be insured.

They say it will do 65 MPH.

There are pictures out there... this isn't as small as you might think. There are MUCH smaller bikes that are street legal.
 

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Would definitely be street legal here in Missouri. Would require registration, license and insurance plus motorcycle endorsement on your license. Same as any other motorcycle.
 
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