Insurance on homemade teardrops

[ivanjarnold]

Can anyone tell me where to go to get insurance on a homemade teardrop trailer?

[Kevin & Sandy]

I talked to my auto insurance person, have a number in mind for what you think the value is!

[b.bodemer]

Allstate insured my home built teardrop. I gave them the value and they added the policy.

When I sold the td I now insure the cargo trailer. These were on a separate policy. Allstate does not cover it if it is stored elsewhere.

Barb

[Carol Reed]

AAA
I believe that it is a rider on my auto policy.

[caseydog]

Mine is not worth enough to have it's own policy. As for liability, my tow vehicle has that, which extends to the things attached to it.

CD

[dreadcptflint]

Depends on where you are at and when are you looking to insure it. I am headed out tonight, to (fingers crossed) finish my insurance exams in Washington State.


Matt

[ivanjarnold]

We insured it with our auto insurance carrier, American Family, in the past, but we thought the premium of $225 per year was high for the submitted value of $6,000. How does this compare with what some of the rest of you are paying?

I tend to agree with slowcowboy, and may just take my chances by going uninsured. Liability is covered by our auto policy, but we'd take a chance of losing the trailer if something happened (fire, tornado [we're only about 80 miles from Joplin!], theft, etc.

[Woodbutcher]

Remember the trailer is only covered by the tow vehicle if it's attached to it. So anything that happens to it otherwise is at your own risk. My experience has been just over a 100 bucks with a stated value of 6000.00 from my first carrier. We changed companies and now I pay 125.00 for 10,000.00 stated value. The first company would only insure it for my material cost. Second one did not care so I wanted something for my labor.

[48Rob]

We were discussing vintage trailer insurance on another board, and though slightly different from a homemade trailer, the theory is the same.

While connected to your insured tow vehicle, the trailer is covered...the misunderstanding though is that the trailer is NOT insured for any particular value, it is covered only for liability.

If your trailer causes damage to other property or vehicles, your insurance company will pay for the damages it causes.
It will NOT pay a penny for the trailer.

If your trailer, sitting in the driveway not connected to your tow vehicle, rolls down the driveway and crashes into a car, you have no coverage.
If you want protection for your trailer, connected to a vehicle or not, you must buy a separate policy.

In addition, it does little good to tell your agent you want to insure it for "X" amount.
They will gladly sell you a policy for whatever amount you specify, but if damaged or destroyed, they will use information of their choosing to determine the "actual" value of your trailer.
If most are valued at $400, they aren't going to pay you more...

A "stated value" policy is just that, stated...as in the above example.
Stated by who? The owner.
Are you the owner an expert in homemade trailer values with documentation to back it up?

Stated value policies are better than nothing, but not as good as an agreed value policy.

An agreed value policy is important in that you and the company agree in writing, up front, with appraisals and photos to back up the agreed value.
Then if totaled, those documents determine the "actual" value.

I have an agreed value policy on my current homebuild, and have had them on previous trailers.
The insurance company may still try to reduce the amount they would have to pay in the event of a claim, but so far I haven't found a better option.

Rob

[TheBizMan]

I insured both of my teardrops with State Farm. I told SF the last one was worth $8000 and it cost me $140 a year for full coverage.

[ivanjarnold]

I have checked with several Insurance Companies on line that insure RVs; as of now I have received replies back from most of them saying that they do not insure homemade trailers. It looks like if I want to keep it insured, I do not currently have a choice but to stay with American Family, who insures my other vehicles and home, and who want $225 premium for $6,000 coverage. I guess I could decrease the value I gave to them, but I tried to set it at a level where I could buy some kind of factory-built teardrop as a replacement if something happened to my trailer. l am not currently up to building a replacement, due to my health.
Ivan

[dreadcptflint]

Insurance can be a tricky thing. But here are some things that a person should know.

1. Trailer in the driveway, if you have home owners then you might be covered. Check your policy.

2. Trailer stolen out of the drive way look for a limited theft endorsement on your home owners. In WA state $1500.

3. Most insurance is designed around indemnity. Fair Value, this means replacement cost minus depreciation. By design insurance is not to reward you, it allows you to break even at best. Take a second look at the value and see how the company determines value at a loss. It is better to be shocked before you need it.

4. Talk to your agent and walk through a couple of scenarios. They should be able to explain what happens.

I wish that I would have learned about insurance back in high school as it can really do some cool stuff to help with loss. Take the time and really talk with your agent. If you can not talk with your agent then find a new agent.

[caseydog]

We insured it with our auto insurance carrier, American Family, in the past, but we thought the premium of $225 per year was high for the submitted value of $6,000. How does this compare with what some of the rest of you are paying?

I tend to agree with slowcowboy, and may just take my chances by going uninsured. Liability is covered by our auto policy, but we'd take a chance of losing the trailer if something happened (fire, tornado [we're only about 80 miles from Joplin!], theft, etc.

My TD is only worth about $2,500, and I store it in the garage. If the garage is destroyed by fire or natural disaster, my homeowner's insurance should cover it.

It is also only out on the road about 20 days in a year.

CD