What you need to know about trailer and motorhome insurance
Published on March 21, 2018
Do you own a recreational vehicle, or have you always dreamed of owning one? Before you can really enjoy a sense of freedom on a summer road trip or a drive into the great outdoors, it’s important to make sure you have the right insurance coverage for your trailer or motorhome. Read on for a quick rundown of what you need to know, prepared by L’Unique General Insurance.
1. Basic mandatory coverage: Civil liability insurance
Under the Quebec Automobile Insurance Act, all owners of motorized vehicles and motorhomes are required to hold a minimum of $50,000 of civil liability insurance.
Civil liability covers the following situations :
Regardless of whether you’re driving in your home province or further afield, it’s advisable to choose a $2 million coverage limit. Ask your broker for more information.
- If your vehicle sustains damage as a result of a collision with another vehicle if you are not at fault, if the responsible party has been identified and if the collision occurs in Quebec;
- If you are held liable for bodily injury or accidental damage to someone else’s property following an accident that occurs in Canada or the United States.
2. Optional coverage packages to protect your vehicle against damage
You can choose to add one or two of the following four optional coverage packages to cover potential damage to your vehicle:
- Comprehensive: covers damage caused by all types of risk, except for certain exclusions.
- Collision or upset: covers damage caused by a collision for which you are at fault or damage if you are the victim of a hit-and-run.
- Comprehensive excluding collision or upset: covers damage caused by risks such as fire, theft, vandalism and glass breakage.
- Specified perils: may be selected instead of Comprehensive excluding collision or upset. This is a more affordable option, but it is also more restrictive, since it covers damage caused by fire and theft, but excludes vandalism and glass breakage.
3. Personal property coverage: included with some specialized insurance products
Some insurers such as L’Unique offer specialized insurance products that include comprehensive coverage free of charge for theft or damage to personal property located inside your vehicle or on the site where it is parked. This is an attractive benefit because it can avoid the need to file a home insurance claim in the event of a loss affecting your personal property.
4. Additional coverage options available
Other coverage options can be added to your policy to suit your needs, and some of these may even be included free of charge with your basic coverage.
- The Travel Expenses Endorsement (Q.E.F. No. 20a) covers certain additional expenses incurred to continue with your trip or return home if you are deprived of your vehicle for several days in the event of an accident covered under your policy. For example, it may cover certain additional expenses incurred for meals and accommodation.
- The Insurance for Roadside Assistance Costs Endorsement (Q.E.F. No. 33) covers the cost of roadside assistance if, for example, you run out of gas or get a flat tire.
- The Change to Loss Payment and Waiver of Depreciation endorsements (Q.E.F. No. 43 A and D) are similar to replacement value coverage in that they protect the amount you have invested in your trailer or motorhome.
- In the event of a partial loss, this coverage provides for the use of new parts to replace damaged parts that cannot be repaired.
- In the event of a total loss of the vehicle, this coverage provides a benefit equivalent to either the purchase price of the insured vehicle or the price for which it is possible to purchase a new vehicle with the same features at the time of the loss, whichever is lower.
- Repatriation coverage for trailers is an additional benefit that covers the expenses incurred for getting your trailer home if your towing vehicle is stolen or declared a total loss following an accident.
Your insurance broker is there to help you prevent losses. Feel free to contact him or her!