How to Ensure You’re Getting What Your RV’s Worth

We all know that trailers and RVs are not a small investment. Especially if you renovate or restyle your rig before you turn around to sell it. But how do you know you’re getting what it’s worth when you’re ready to hand it over or even worse, how do you know you’re getting enough money back in case of an accident?

For many, getting their RV insured is as easy as calling their current insurance provider and telling them the good news: “I got an RV!” But what most RVers don’t realize is that the insurance they’re receiving isn’t always what they think it is.

There are several kinds of insurance you can find for your rig depending on its age, model, and size. But the most important kind of insurance is the one that gives you the true value of your rig and not just what you bought it for.

Related Read: Choosing RV Insurance for Fulltime RVers

We’ll start with what your standard insurance should cover in case of an accident or theft.

Standard RV Insurance Should Cover…

• Bodily Injury & Property Damage Liability

• Uninsured Motorist Accidents

• Personal Injury Protection

• Limited Property Damage

• Property Protection

• Comprehensive (weather damage, stolen vehicle, damage by animals, vandalism, etc.,)

• Collision or Accident

Learn more about Standard RV Insurance and what you should have covered before you hit the road if your rig is at a high market value upon purchase here.

Actual Cash Value Insurance
But many times, these Standard RV Insurance policies only cover the Actual Cash Value of your rig. This means you may be left to cover some of the expenses or you might only get what the rig was worth at the time of the wreck. Without proper documentation, you could find yourself with thousands of dollars less than what your RV was really worth.

Ouch.

Insurance companies want you to have an Actual Cash Value policy because it means they will pay the minimum instead of the maximum of what your rig is worth. Many companies even state that in case of a wreck, the policy will only cover the Actual Cash Value and not your Stated Value, which is how much you believe your rig to be worth.

Related Read: Top Reasons to Purchase Decent RV Insurance

Actual Cash Value is great if you want to see your RV depreciate over the years. It’s also okay for those who are not worried about money when it comes to replacing the rig. But who wants to lose all of the value of their newest purchase?

And while Standard RV Insurance is great for those who have a newer or slightly used RV, there are some of us who have taken vintage vehicles and turned them into our dream rig that we couldn’t fathom losing money over.

So what do you do when you know the market value for your vintage RV or motorhome is low?

Agreed Upon Value Insurance
Agreed Upon Value insurance is how everyone with a vintage trailer or RV ensures their hard work and renovations are secure. This type of policy allows you and your insurance company to come to an “agreed upon value” of what they will reimburse you for in case of an accident or theft.

Most insurance companies require you to have someone come out and appraise your vehicle, but that’s just to give them a better idea of what it’s really worth. For those who have put in hours of work and loads of cash into their renovations, an Agreed Upon Value policy is the only way to ensure you get exactly what your RV is worth to you in case of theft or accidents.

If you want to learn the difference between Agreed Upon Value and Actual Cash Value in more depth, check out this article to help you learn the nitty-gritty aspects of vehicle insurance.

Things to Remember When Buying Insurance
There are several terms that may get you stuck in a bind if you don’t understand them properly. When you talk to your agent, double check that nothing is based on a “Stated Value” as this is just what you told you told your insurance company your rig is worth. Because there is no “proper” documentation on your RV or trailer, you will most likely not receive the money you are looking for when it comes down to it.

If you are ever in an accident with your RV, you never want your insurance to be able to come back and say that a firm number hasn’t been reached before the fact. When it comes down to it, if you don’t have the proper insurance in place, your insurance company can come back and give you a lower reimbursement on your vehicle depending on how they see it. Not how you see it.

How to Get an Agreed Upon Value Policies

1. Find an Insurance Company

Many of the big name insurance companies like Geico and Progressive will agree to an Agreed Upon Value policy for RVs and trailers up until a certain year. Once your rig is too old for their system, they will no longer have the option to give you an Agreed Upon Value policy.

But you still have other options if your vehicle or trailer is considered “vintage.” Several other, smaller insurance companies specialize in these policies such as RV Advantage.

Find out what you need to do in order to get your RV insured for what it’s worth

2. Find an Appraiser
Not all insurance companies require you to have an appraisal done, but many do. You can find several online appraisal companies and appraisers in your area by doing a little research. Places like Tin Can Tourists and RVLife.com are excellent sources to use when you’re looking for appraisal help.

3. Double Back with Your Insurance Company
Once your rig is appraised and ready, send it back to the insurance company. They will send you information about prices and what exactly your policy will cover. Be sure to double check the language to make sure you are not getting less than your vehicle is worth. Once you determine that you’re okay with the policy, you’ll be set up with insurance for your vehicle.

Voila! Now that you know the inside scoop on what you could be missing out on when it comes to insurance, you can contact your agent and figure out the best way to make sure you’re getting your money’s worth. Don’t let your RV go to waste. Talk to your insurance agent today!