I didn't understand many things either. In case of transfer vehicle's owner rights to another person I normally recommend to arrange a new insurance with the cheapest rates https://www.general.com/articles/compare-car-insurance-quotes but in your case I don't even know what to say. I agree that the info is unclear. The guy transfers the rights for the bike to your wife and the owner name changes. But when you want to change the name, for some reason his conscent is required. Why? You said it had already been done?! Or is he still the owner? Talk to a lawyer. It is illegal to report the bike is stolen that hasn't actually been stolen. Please provide clearer details on what happened.