In theory, no. In practice, I have shipped my Canadian motorcycle into Europe 3 times by air, and each time, when I went to customs to clear the bike, the customs officer asked to see the insurance.

I think that it is reasonable for the customs guys to want to see that the bike is appropriately insured before letting it into the country. They would likely do the same thing (ask to see the insurance) if you entered the country (or, in this case, the EC) at a land border while riding the bike. If it was obvious that you were not importing the bike for the purpose of riding it (for example, if it was all crated up to be transported by truck to a trade fair for exhibit or something like that), you would probably be able to import it without showing insurance coverage. But if it is evident that you plan to ride the thing, you likely will not be allowed to take it out of the bonded warehouse without showing proof of insurance.

Get the insurance ahead of time, because storage fees at bonded warehouses can easily run to $100 a day.

Yes, very much so. It is a 'proof of insurance' document, hence, it shows the VIN and the plate number of the motorcycle. Below is an image of a European green card.

You can obtain the insurance in advance of your arrival in Europe (it can be made effective on any future date you want, this to allow time for the document to be mailed to you in Australia). Here's a link to a post that explains how to get it: Here is where you get the cheap european green card insurance.

Uh, no, I think you would still have plenty of reason to worry. Despite the fact that you might be able to get green card coverage by submitting a driver licence that doesn't authorize you to drive the vehicle, I am certain that the insurance company would refuse to pay out in the event of an accident simply because you are not properly licenced to operate the vehicle.

That presents you with two possible problems: 1) You have an accident, and then find out that the insurance company will refuse to pay because you were not properly licenced. You are now on the hook for whatever damages or injuries you have caused. 2) A policeman stops you at a routine traffic check, and notes that your licence is not valid for the size of moto you are riding. You now get arrested for driving without a licence, your bike gets impounded, and once you get out of jail, you are a pedestrian.

European 'Green Card'