Before you hit the road to enjoy adventure, you need to have proper insurance coverage on your RV or motorhome.
More than 10 million households in America own an RV, and it’s obvious why. It allows you to vacation more affordably and go anywhere you want without worrying about hotels, airfare, or even restaurants.
An RV park generally costs $50 or less per night, and you don’t need a set itinerary. If you love where you are, stay there awhile. If you decide on a different destination, there’s no need to cancel hotels or make new arrangements. Everything you need for a great vacation is with you, from your favorite coffee mug to a pile of books and games.
What types of insurance can you expect from a standard RV policy? Let’s take a look.
Understanding RV Insurance
When you get a quote on RV insurance coverage, the agent will ask various questions about the vehicle and how you use it. You’ll then decide what coverage you need.
Keep in mind that a tow-behind trailer or pop-up camper will not need the same insurance as a driven motorhome. Make sure your insurance agent is clear on the type of vehicle being insured.
If you have a loan on the RV or camper, you might be required to have additional coverage by the bank issuing the loan. You’ll want to meet these requirements, or the bank will charge you for costly coverage of their own.
Liability Insurance Coverage For a Motorhome
Liability insurance covers the other driver if you were to cause an accident with your vehicle. Driven motorhomes are required to have liability coverage at least at the state minimum level, just like any car or truck.
If you’re insuring a tow-behind trailer, the liability insurance will be on the car or truck that’s towing the camper. You don’t need additional liability.
While you can carry minimum limits, it’s a good idea to carry higher coverage if you can. Injuries and property damage add up quickly, and you can be sued if your insurance doesn’t cover the entire cost.
Why do I need Bodily Injury Liability?
Bodily injury liability helps pay for other people’s injuries if you cause an accident. This can include other drivers and people in your motorhome that are not part of your immediate family.
Bodily injury is listed per person and accident. For instance, you might have a limit of $25,000 per person and $50,000 per accident. That means if multiple people are injured, the insurance will pay no more than $25,000 for an individual and $50,000 altogether.
Because medical bills are only going up, it’s a good idea to get quotes for coverage above the minimum. While you want affordable insurance, motorhomes are very large and can cause a lot of damage to another car. It’s easy for medical costs to skyrocket. You don’t want to be left paying the remainder after insurance has run out!
Property Damage Liability for Your Motorhome
The other thing to keep in mind if you cause an accident in your RV is your damage to other people’s property. Because a motorhome is so large, there could be a lot of damage.
This includes other cars, but it could also include buildings, gas pumps, city signs, bridges, or anything else you hit.
The coverage is listed as a single per-accident amount. The state minimums are often quite low, such as $10,000 or even $5,000. It’s important to get quotes for higher levels of coverage — it may be less expensive than you think to upgrade, and property damage adds up quickly.
Comprehensive Coverage for Your RV
Comprehensive coverage is available for all motorhomes and pull-behind trailers or campers. This pays to repair your RV or camper for a wide range of hazards that may cause damage.
What’s unique about comprehensive insurance coverage is that you don’t need to be in an accident for this insurance to apply. It protects your vehicle from theft, vandalism, rain, fire, hail, and other perils. If you hit an animal with your motorhome or camper, that’s covered under comprehensive as well.
The state does not require comprehensive coverage, but if you have a loan on your RV or camper, the bank will require it. Even without a loan, it’s a good idea because there’s a lot that can happen when you’re out on the road, and it’s important to protect your investment in the RV.
When you purchase comprehensive coverage, you’ll choose a deductible. This is the amount you pay when there is a claim, and the insurance pays the rest. For example, if a deer damages your RV and causes $1,000 in damage, and your deductible is $250, you pay the deductible, and the insurance company pays $750.
Higher deductibles make the insurance cheaper, but make sure it’s something you can afford. You don’t want to be stuck and unable to fix your RV if it’s damaged. Choosing the right insurance for your RV is the same as making sure you are properly covered on your home insurance.
RV or Motorhome Collision Coverage
Collision coverage is another available option. Comprehensive, collision, and liability together are often called “full coverage.” Collision pays to repair your vehicle if you cause an accident.
If you cause an accident, liability coverage helps repair other people’s property, but there’s no RV insurance for repairs to your vehicle unless you have collision coverage. As with comprehensive, you will choose a deductible.
If you have a loan on your RV or camper, the bank will likely require both comprehensive and collision coverage. If you don’t follow through, they will add their own version, and it will be much more expensive, so be sure you follow the requirements!
Are You Ready to Hit the Road in Your Motorhome or RV?
Now that you understand what standard coverage you can expect with motorhome or RV insurance, it’s time to make sure you have proper coverage before your vacation begins.
If you’re driving a motorhome, you’ll need liability insurance at a minimum, and comprehensive and collision are a good idea as well. For a tow-behind trailer or camper, you’ll want to consider comprehensive and collision.