The Factors That Affect Your Recreational Vehicles Insurance Rate
There are a lot of factors that influence the insurance premium on your RV. Below, the major factors affecting your rates are discussed, so read on to see how your premium is affected.
Location of your RV – State and Zip Code
Your insurance rate is largely determined by actuarial tables, which examine the probability of a claim and what the repair cost would be. If you reside in an area with a high cost of living, your rates will be higher. Your rates will also be hired if you store your RV in a sector where there is prevalent crime, or there are probable hurricane threats.
If you live in your RV full time, the choice of where you live is incredibly important, as it will determine where the RV is registered, and what address and zip code you use for insurance purposes.
If you use your RV for recreational purposes, it may be better for you to store your RV in a different zip code to where you live, so it’s important that you check all the options before purchasing your RV insurance.
Type of RV
You might not want to change your RV type due to insurance costs, but if you are looking to purchase a camper, this can be a major factor in your decision. Typically, the more expensive the RV, the more expensive the insurance premiums. A Class C camper will have lower insurance premiums than a Class A RV. If the RV is towable, the rates tend to be lower than motorhomes, so be aware of your budget and take the insurance amount into your purchasing decision.
How the RV is Used
Full Timers or people that live in their RV need a different coverage type than those who use their RV occasionally. A full timer will present a higher risk of claims than someone who only uses is during the weekends or holidays. Therefore, people that reside in their RVs will need coverage that resembles a homeowner’s policy, which results in more expensive coverage.
To determine your insurance, your company will determine how many days a year your RV is used. This will possibly allow you to suspend some coverage while your RV is being stored, or adjust your premiums.
Choice of Deductible
Your premium will be lower when your deductible is higher. This applies to all types of insurance, including Recreational Vehicle insurance. It’s important that your deductible is high enough that you are covered financially in the case of an accident. Therefore, choose the highest deductible that you can afford, don’t choose a high deductible in the hope that you won’t be involved in an accident.
RV Driving History
If you have never driven an RV before purchasing insurance, this can negatively affect your premiums. When getting a quote, make sure that you mention any RV driving experience to the insurance agent, as you might end up paying a lower amount.
Even if you do have RV driving experience, insurance companies will review all of your driving records. If your record shows a pattern of claims or accidents, you may present a higher risk to them, and more expensive rates. A clean record will most likely result in cheaper rates, so be careful out there on the road!