When do I need Recreational Insurance?

With the mention of a Recreational vehicle (RV), what comes to mind is fun and travel. Although this is so, an RV is a large and expensive investment that should be taken care of in every way possible. The 1st American Insurance Agency in Longmont, CO knows how valuable RV’s are, and that’s why we have different recreational insurance policies to suit your needs. Below are instances when you will need recreational insurance.

When Your RV is a motorhome

The law requires all motor homes to have liability insurance whenever they are on the road. You can decide whether or not you want full coverage for you RV depending on its value and the possibility of a loss. People who live in their RVs full-time may want to ensure that their vehicles have additional cover.

When your RV is financed

Financed RVs require full insurance coverage. This is because the financer would not risk losing money in case the RV is lost or involved in an accident. In case you want to avoid taking insurance for your RV, the lender may decide to take it on your behalf, but you will pay for the cost. Therefore, you do not have a choice in the matter considering the premiums will be higher if the policy is taken by the lender, and in most cases, they won’t cover liability.

When your RV is a rental

When you rent an RV, it is your responsibility to take care of it. It is advisable to purchase an insurance coverage for it while it is in your possession. Your auto insurance may cover a rental RV in some cases but you need to confirm this with your auto insurance carrier. If it does not, there are short-time policies that you can purchase for the period you intend to rent the RV.

Whether or not you are required by law to have insurance for your recreational vehicle, it is important to have one to protect your investment. The 1st American Insurance Agency offers this and other types of insurance in Longmont, CO. Visit our website today for more information about recreational insurance.