RV Insurance: 3 Facts About Coverage

Owning an RV, (recreational vehicle) can be a fun and exciting way to see the country, but it can also represent a sizable investment and should be recognized as such. Besides the initial buying  and ongoing maintenance costs, you need to consider your RV insurance needs and costs. Here are some factors you should weigh when considering the purchase of RV insurance.

1. There are a variety of different RVs types which are required to be covered by RV insurance and can change from state to state. In North Carolina, basically all types of RVs are required by state law to be covered by at least minimum amounts of insurance protection. These include:

• Class A and Class C motor homes
• Class B camper vans
• Bus conversions
• Truck trailers
• Travel trailers
• Tent trailers
• Fifth wheel trailers
• Toy hauler trailers

2. Similar to car insurance in NC, RVs are required to have a minimum amount of liability protection. This is coverage “for the other guy,” in that it provides benefits to a third party involved in an accident for which you are held responsible. It pays nothing, however, toward your own injuries or property damages. Liability coverage minimum amounts in NC are $30K bodily injury per individual (per accident), $60K total bodily injury for all third party injuries per accident and $25K for property damage per accident. These are mandated minimums. Most experts agree that actual coverage amounts should be several times more than the minimums.

One other type of RV insurance required in the state of NC is uninsured motorist coverage. This is protection for you should you be involved in an accident deemed to be another driver's fault but they don't have the proper amount/type of coverage in force to cover your loss.

Other RV Insurance Options

3. Just as with car insurance, there's a list of additional insurance options available to RV owners, plus some that car owners don't have.

Collision coverage protects you from the financial loss accompanying an accident where your RV is damaged or destroyed, regardless of who is deemed to be at fault.

Comprehensive coverage adds protection against losses without being involved in a collision. This could include things like hail damage, vandalism, theft or fire damage.

Other special RV coverage can protect you from loss of your personal possessions and equipment both inside and outside your RV, such as a satellite dish or bicycle.

Condo Versus Homeowners Insurance: 2 Differences

If you find yourself in the market for condo insurance, you'll be pleased to learn that the cost of condo and townhouse insurance is typically less than what you'd have to pay for a similarly valued single family home. There are a few reasons for this, the main one being the amount of the residence you're required to cover in your policy.

Here are two things that differentiate standard homeowner's insurance from condo insurance:

1. Homeowner's insurance is designed to offer protection from losses occurring to your entire property, including outer structures unattached to the house proper. This could include a garage, shed, well house, fence, etc. Condo insurance is designed to cover your unit only, with the outside land, the building structure itself and common areas covered by a separate insurance policy that's cooperatively owned by all the residents in your facility and paid for by the HOA (homeowner's association).
2. Condo insurance only covers “from the sheet rock inward.” Your personal condo insurance doesn't cover the exterior walls or the roof, for example, which would fall under the coverage of the HOA policy.

Do You Need Insurance?

Just as with a standard homeowner's insurance policy, condo insurance will be required by your mortgage holder as a means of protecting their financial interest in your residence. Even if your condo is owned free and clear, however, there are a number of reasons you should have coverage in force. If a fire were to damage the inside of your residence, for example, your condo coverage would protect you from the financial loss of repairing your dwelling and replacing your personal property and other possessions.

Your condo insurance also provides loss of use benefits, which pays for temporary living facilities for the period of time your home is deemed unlivable. Another important benefit your condo insurance provides is liability coverage in the event that someone is injured or their property is damaged while they are in your home. This coverage not only pays toward medical expenses for dealing with their injuries but also legal aid in the event they take you to court to recover damages.

Finally, your condo insurance will provide you with reimbursement should you suffer a loss through vandalism or theft. This typically even pays for losses of personal property you suffer when you're at a location other than your home, such as when staying at a hotel.

Greensboro Auto Insurance: Rising Rates After an Accident

When it comes to auto insurance, there are three factors that are important in determining your rates:

• Repair costs – if your vehicle is an expensive model to repair, it will be more expensive to insure. 
• Your address – where you live and where you park your car can have a significant effect on your car insurance rates.
• Your driving record – the best way to keep your auto insurance costs in check is to maintain a clean driving record, with no moving violations, to not be involved in any car accidents and to make no vehicle insurance claims.

The Effects of an Accident

Most drivers realize that if they have an accident and make an insurance claim, their premium rates will increase. This is true for most insurance carriers, and the typical timetable for these increased rates is generally three years. During that time period your premium rates should slowly come back down to where they were before your accident, assuming there are no further accidents or claims against your coverage, and your driving record should also be expunged by the end of three years.

What's it Going to Cost?

A recent study reported on the Moneywatch website found that a driver involved in an accident and making one single claim of approximately $2,000 could expect his or her insurance rates to increase by a whopping 41%! Several factors will affect the actual amount of the rate increase, including your previous driving record, who is determined to be at fault for the accident and the severity of the damage and/or injuries. According to the study, those unfortunate enough to make two accident claims may see a price hike for their insurance coverage of as much as 93%.
If the accident is determined to not be your fault, there's a good chance you won't experience a price hike in your insurance premiums. The insurance coverage of the person found at fault for the accident in which you're involved should pay for damages, letting your insurance carrier off the hook.

State by State

The amount that your insurance premium will be increased after an accident is dependent on the state where your coverage was put in force. For some states, such as California or Massachusetts, a single insurance claim could translate into a rate increase of as much as 86%. The average increase in NC was found to be 58%.