When the open road beckons, there’s nothing like hitting the trail in your recreational vehicle (RV). But don’t go anywhere unless you have the right insurance to protect your investment!
If you already have auto insurance, many insurance companies can easily cover your RV by endorsing it onto your existing auto policy. However, what you need to know is that there are significant coverage differences between an ordinary auto policy and stand-alone RV insurance that you need to consider.
How is RV insurance different from auto insurance?
Insuring an RV with a typical auto policy can leave you with significant coverage gaps. This is why RVs should be insured with a specialized policy that covers the things an auto insurance would typically miss, such as:
- Higher liability limits — RV insurance policies allow for significantly higher liability limits than auto insurance. Because most RVs are much larger than cars, they have the potential to cause a greater amount of damage if involved in an accident. Higher limits provide you with greater financial protection.
- Full-timer liability — Offers liability coverage similar to homeowner’s insurance when the RV is parked and used as a residence. It protects you against liability in the event someone trips or falls in or around your RV.
- Campsite liability — Similar to full-timer liability, but this coverage is designed for when you take short-term vacations/trips.
- Emergency expenses — Reimburses expenses related to living outside the RV while it is being repaired, as long as the covered loss occurs within a set number of miles from your fixed residence. Common expenses covered are lodging, meals, and travel back home.
- Replacement cost of personal property with higher limit — Auto policies usually cover a limited amount of personal property inside a vehicle. With an RV policy, you have the option to specify a specific dollar amount (whatever that may be) that will cover your personal belongings if they are destroyed or stolen. So if you travel with expensive items such as digital cameras, binoculars, or electronics, having RV insurance means you’ll have enough coverage to replace your belongings at replacement cost value.
- Special equipment coverage — Because RVs often carry special equipment such as refrigerators, generators, water pumps, and awnings, many policies include additional limits for specialized items.
- Suspend collision coverage when in storage — When the RV is in storage, you can suspend portions of the policy that apply only when the RV is moving on the road, such as collision coverage. This is a cost-saving option because you are not paying for unnecessary coverage.
- Total loss replacement — This coverage is applicable to buyers of new RVs in the first five model years. It replaces the RV with a similar unit, even if the replacement costs more than the original. This coverage is good protection against steep RV depreciation in the event of total loss.
Every insurance company is different, and the RV coverage offered may have many variables that take into account some or all of the following:
- RV type and model
- The state in which the policy is issued (insurance laws vary by state)
- Other vehicles in the household
- Driving history of insured parties
You’ve worked hard to enjoy life on the open road. Protect your RV by working with a company that can help you customize an RV package that’s right for you.