Did you know that over 14% of Canadian Households own a Recreational Vehicle (RV)? RVs serve as a second home to several travellers. These vehicles are a huge investment and require proper servicing and maintenance.
One of the best ways of keeping your property and investment safe is by getting an adequate RV insurance policy. The right coverage can protect your personal belonging and RV from damage and loss. If you own or are planning to buy an RV, here is what you need to know about choosing RV insurance.
What is RV Insurance?
RV insurance is a policy that can protect your RV and personal items from damages, theft or any other loss. Just RV insurance includes all the benefits of auto insurance and homeowners insurance.
Apart from covering the vehicle, it may also cover your personal belongings. This insurance coverage can protect you from losses that result from:
- Theft or vandalism
- Severe weather damage
- Equipment damage
- Auto accident
- Pest infestation
The insurance can cover different types of campers, including truck campers, pop-up campers, travel coaches, motorhomes, fifth-wheel trailers, and teardrop trailers.
What Basic RV Insurance Covers
The type of coverage you get depends on the insurance company and your insurance needs. Some of the basic minimum insurance coverage you must have include:
1. Liability Insurance
To legally operate your RV in Canada, you must have a third-party liability insurance cover. This policy protects you from financial losses when you cause an accident. The coverage also includes any other parties that are involved in the accident.
Third-party insurance cover includes both bodily injury liability and property damage liability.
2. Uninsured/Under-Insured Motorist Coverage
This insurance cover will protect you and your passengers from damages if you are in an accident with a driver who has no or insufficient insurance. The policy will cover your hospital bills and the cost of repairing or replacing your RV.
3. Collision and Comprehensive Coverage
A collision cover caters to the cost of repairing your RV if you run into a street sign, tree or any other immobile object. On the other hand, the comprehensive coverage covers several issues such as vandalism, falling objects, animal collisions, theft of the RV, weather-related accidents and more.
The coverage will protect you regardless of who is at fault. Note that both collision and comprehensive coverage come with a deductible. For example, if you are claiming $2,000 and you have a $500 deductible, the insurer will only settle $1,500.
4. Medical Payments Coverage
This policy covers all medical bills related to an accident regardless of who is at fault. The cover includes the RV driver and passengers. Medical payments include emergency transportation, all hospital bills, follow-up doctor visits, medical devices and funeral expenses.
Apart from the minimum RV insurance coverage, you may need additional coverage to protect your investment fully. Other policies that you should consider include:
5. RV Full or Total Loss Replacement
If your RV is totalled or stolen, comprehensive insurance will only pay the depreciated value. This means, to recover your RV, you may need to go back to your pocket. To avoid this, consider the full or total loss replacement coverage.
With this coverage, your insurer will pay for the cost of a new RV as per the current market value, even if it costs more. Talk to your insurance provider and learn more about total loss replacement and actual cash value.
6. Pet Injury Coverage
If you travel with your pet, you should consider pet injury coverage. This can cover up to $1,000 in veterinary bills. This will pay all veterinary care, disposal or burial costs if your pet sustains an accident-related injury or fatality.
7. Vacation Liability
RVs act as temporary vacation residences. Like homeowners liability, you may need vacation liability coverage to cover you from damages in case someone sustains an injury while in your RV. This coverage is only applicable if you’ve parked your RV and are using it for recreational purposes.
8. Personal Effects Coverage
Several people travel with family heirlooms, valuable personal items, and more. It may be best to have coverage to cover all your personal effects. This policy will repair or replace damaged or lost personal items such as jewellery, cameras, smartphones, bicycles, etc.
9. Emergency Expense Coverage
This coverage pays a specific limit of temporary living facilities, transportation expenses, and the cost of returning an RV in case it breaks down after specific limits. The cause of the breakdown must be included in existing insurance coverage.
10. Roadside Assistance
This insurance coverage includes gasoline or diesel fuel delivery, help with a flat tyre, extrication services, lockout and locksmith services, and roadside help. Some policies also include towing services.
You may also need full-timer RV insurance if you use your RV as your primary residence or for more than six months a year. When shopping for the best RV insurance, you should consider the minimum coverage requirements, how often you will use the RV, and the RV class.
Classes of Recreational Vehicles
There are different types of RVs that you can buy or rent. The class of your RV will affect the type of insurance you take and the insurance requirements.
Also known as motorhomes, class A RVs are the most common types of RVs. These vehicles have several features and are also very costly. The vehicles look like large buses and are mainly accessible through the main side door.
These RVs are often known as campervans. They are smaller when compared to motorhomes and also have less luxurious interiors. However, they are easier to drive and have a raised roof.
Class B RVs are accessible through a sliding side door that resembles a van.
These RVs are built on a van or truck chassis. The driver sits in a traditional truck cabin. The RV has a raised roof that extends over the driver’s cabin and is used for storage or sleeping.
Class C RVs are bigger than class B and are also easier to drive. Note that you need to have minimum insurance coverage to drive any class of RV.
How Much RV Insurance Cost
As insurance coverage varies, so does the cost. Several factors will affect the price of RV insurance. These factors include:
- How often you will use the vehicle
- Additional policies or bundles
- Vehicle’s value
- The age or sell price of the vehicle
- Prior claims
- Your driving history
To avoid buying policies from different providers, choose an insurance company that offers all the coverage you need. Note that the premium costs of insurance are driven by the value of the RV and not its class.
If your RV has a higher value, expect to pay a higher premium cost. Also, if you choose to have optional coverage, you will pay a higher premium. Class A RVs have the highest insurance costs, especially if they have multiple amenities and are used full-time.
Expect to pay from 1,000 to 5,000 dollars annually for a motorhome. Class B RVs can cost 500 to 1,000 dollars annually and class C RVs can cost an average of 800 to 3,000 dollars a year. Some drivers pay more for class B and C RVs depending on their location.
If you have a tower trailer, you may have to pay an average of 500 to 1000 dollars per year for it. Talk to your insurance provider and get an accurate quote. In case you are renting or leasing an RV, the renter will take care of the insurance.
However, get to know if you need any added insurance coverage to protect your personal effects fully.
Other Factors Affecting the Cost of RV Insurance
Apart from the minimum insurance requirements and how long you will use the RV, several other factors will also determine the coverage you need. The coverage you need will depend on where you will use the RV.
For example, suppose you will be travelling outside Quebec. In that case, you will need to adjust your coverage to meet the needs of the other provinces. Additionally, what you do with the RV during winter will also affect the coverage.
If you store the vehicle during winter, you may get a discount on the annual fee. Do not forget to tell your insurer that you are storing the vehicle during winter. You can also get a discount if you bundle the insurance with your car or home insurance with the same company.
Talk to your insurer, get additional discounts available, and save some money.
Consider This Guide When Choosing RV Insurance
Having RV insurance is mandatory. Whether you use your RV full-time or part-time, you will need at least the minimum RV insurance requirements in your location to legally drive and use an RV. If you are looking for insurance coverage, Bryson Insurance has several RV insurance options that you can choose from.
Contact us and we will ensure that you and your family have the best insurance coverage whenever you use your RV.