By Mike Mercer
“What is Vacation Liability Insurance, and why do I need it?”
Vacation Liability Insurance, also referred to as “Campsite Liability Insurance,” is coverage designed to protect the insured in the event someone, other than a family member, gets hurt inside or at the immediate campsite where an RV is parked and being used as a temporary vacation residence. Vacation Liability Insurance is important coverage to have in case of unforeseen accidents and injuries that can sometimes happen at a recreational vehicle campsite.
What if someone trips, falls and gets hurt at your campsite? What if your pet gets loose and injures someone? Even if you didn’t do anything wrong, you may still be held responsible for the costs that are often associated with campsite injuries, such as medical treatments, legal defense, compensation for pain and suffering, and reimbursement for lost wages. All of these expenses can accumulate into rather large sums that, without proper insurance coverage, could potentially cause financial devastation for many people.
“What if I’m already paying for Third Party Liability coverage?”
The Third Party Liability insurance, for Bodily Injuries and Property Damage, which we are all quite accustomed to seeing on our auto insurance policies, does not apply to recreational vehicles that are parked at a campsite. Third Party Liability insurance is coverage that will ONLY apply to motorhomes that are on the road, being driven, or in motion. For travel trailers, fifth wheels, toy haulers, and other towed units, since the third party liability insurance coverage is always extended to the towed unit from the insurance policy of the vehicle that is doing the towing, the coverage only applies while the units are in-tow and still physically connected to the tow vehicle.
“What amount, should I select, for the limit of Vacation Liability coverage?
In general, whenever we are considering any kind of liability coverage, we also need to consider some important financial factors. Not only should one consider the ever increasing costs for medical treatment and legal defense, but also what financial assets one might have, along with present and future income streams. Ideally, your limit of liability coverage should be no less than the amount of all your combined assets and incomes. The idea is, that the insurance should provide sufficient coverage, so the insured will not be forced to sell off assets or have income streams garnished in order to pay for the costs associated with the damages or injuries. Unfortunately, there are many people who tend to overlook or play down the importance of this critical coverage item. Too often, people will automatically select the minimum amount of coverage that is available, typically only $10,000.00, which really doesn’t go very far in today’s economy. Do the costs of treating a broken arm or ankle decrease, because you are on vacation? Do lawyers charge less for their services when an accident happens inside a motorhome? Of course they don’t! So, choosing a coverage amount that is obviously insufficient, really makes no sense. Especially, when the cost to increase the limit of coverage from $10,000.00, up to $300,000.00, or even $500,000.00, is often less than $20.00 per year.
Don’t let a little accident turn your recreational vehicle dream vacation into a financial nightmare.
Be sure to purchase a recreational vehicle insurance policy that includes Vacation Liability coverage. If you are offered a policy that does not include any option for vacation liability, than it is likely a policy that is specifically designed and better suited to insure a regular auto, truck or SUV, instead of a recreational vehicle. Also, be sure the limit of Vacation Liability insurance coverage is sufficient to protect you financially in case something ever goes wrong.
If you are looking for comparative insurance quotes for your motorhome or travel trailer, you can visit the RV Insurance Professionals. If you have additional questions about Vacation Liability insurance, or need help in determining what your limit of coverage should be, please call the RV Insurance Professionals at 877-784-6787, to speak with a qualified RV insurance specialist.