Aussies love to get away in the van or camper – in 2018, there were over 53 million trips (of over 12 nights each) alone! That’s a lot of caravans and campers on the road and out in the wild. With the average price in 2017 of a new caravan sitting just under $50,000, it’s important to make sure your insurance is right for you and the way you use your van.
Caravan Insurance is not compulsory in Australia, however you want to make sure you’re financially protected if damage or loss occurs, or if you cause damage to others property or injure someone.
What does Caravan Insurance cover?
Caravan Insurance is a little like a motor insurance policy, in that it generally covers the van or camper for comprehensive market value or agreed value, which provides cover for damage to your van or camper as a result of accidental damage or loss, theft or insured peril (like storm, fire and hail etc). It also covers your legal liability if you cause damage to another person’s property or injury to another person.
There are usually a number of additional benefits built into Caravan Insurance policies, that will provide cover for things like towing after accident, choice of repairer, emergency accommodation etc, and most policies will allow you to cover your contents that you take in the caravan for certain insurable events also (although you should chat with your broker as your home and contents insurance may provide better cover here).
Most caravan insurers offer a Comprehensive Agreed Value cover as their standard option, however some insurers can do a Third Party Fire & Theft or Third Party option on older vans.
Types of Caravan Insurance
There are two main types of cover; On-Site cover and Australia-Wide (or touring) cover.
If you’ve got a permanent site and your van stays put, you can insure it for its static risk. It means the policy won’t cover the van away from the site, however this is usually an economic option for site-vans and relocatable homes that cover your property including annexes and their contents (assuming you’ve selected this) for accidental damage and loss, theft and insurable perils.
If your van is on the road and seeing the sights, you need an Australia-Wide cover that will cover it (not surprisingly) Australia wide! You want to know if you have an accident while you’re on the other side of the country, that you can get the damage fixed and be back on the road with as little inconvenience as possible. A comprehensive Caravan Insurance will do this.
Home and Contents Insurance doesn’t have to be complicated, but it pays to know the basics and make sure you understand that not all insurance companies and policies are the same, despite what some might tell you!
“Do I really need special insurance for my rental property, or will the usual home insurance do the job?”
Do you live on a property larger than 5 acres? You may need to consider a few extra aspects to your insurance than you would with a standard home and contents policy.