Insurance company for a teardrop

[noseoil]

I'm in the process of going around & around with my insurance company (State Farm) on getting coverage for the trailer. They're still not sure about an actual binder yet, but they're saying the total value for the build would be the cost of materials for about $125 a year. This sounds a bit steep to me, since they're saying my build is worth just the parts & no labor is considered as a value. Part of that is based on it being a home-build, which I understand but don't necessarily agree with.

Does anyone have a better company to do business with out there for their trailer? I'm wondering about AARP (much as I dislike their politics) and their carrier at this point (Hartford). Seems to me that there should be a better way to do business, with all the retirees & RV's on the road now. There must be a better company catering to this market.

Thanks, tim

[daveesl77]

We use Geico and I set a replacement amount of $5,000 on mine, cost is about $10 per month, but we only need to activate it when using it. When at home it is covered under the homeowners policy. So, my tow insurance is about the same, but covers what I consider a fair value.

dave

[noseoil]

Our homeowners policy won't cover it. Go figure?

[Graniterich]

I have usaa $5000.00 coverage cost $9 every six months, unbelievable deal in my opinion

[raysuf]

We have a Little Guy 5 wide and use State Farm. We have a stated value policy, I believe that is what it's called, for the invoice amount. Costs us $109 a year.

We'll probably revisit this in a couple of months when the loan is paid off. Please don't judge, the teardrop, was impulsed after the wife complained about the packing hassles of car camping and a bad night in a cheap hotel.

I'm sure having it appraised and insuring that amount would be an equitable solution or insuring it for the amount of documented receipts for a home build since time spent during construction is hard to prove.

Do you have so much time and money in this that you need full coverage?

I wish I had the space and skills to to build my own. Would have saved me, at least, a couple of hundred dollars, been custom to my needs and repairs could be bank rolled out of pocket.

[mustangcats]

Be sure to read your policy carefully before assuming it is covered by your homeowners policy. There may be some coverage but it usually only applies while the trailer is parked at your home, and even then there is usually a sub-limit of around $1500 for trailers. Also, if you declare a value when you insure your trailer, ask if the policy is an agreed value policy. An agreed value policy will pay the amount it is insured for in the event of a total loss, minus any deductible. It is most likely that you have an actual cash value policy (most are) and all you are doing is giving the insurance company a dollar amount (stated amount) to charge for. They will "insure" your trailer for that stated amount, ie $5000 and the premium will be determined by that figure and that is the most they will pay...but it is not guaranteed. In the event of a claim, their adjustor will determine the actual cash value and you will be paid according to what they come up with. Homemade trailers are going to be hard to determine a value, and you can almost be certain that there will be a lot of depreciation factored into the homemade trailer. The issue of insurance has been discussed many times on this forum and most people don't really understand how it works.

[tony.latham]

Does anyone have a better company to do business with out there for their trailer? I'm wondering about AARP (much as I dislike their politics) and their carrier at this point (Hartford). Seems to me that there should be a better way to do business, with all the retirees & RV's on the road now. There must be a better company catering to this market.

Tim:

I use Hartford (AARP associated). When i called them up, I told her it was "custom built," she asked if I was the builder and handed me off to a supervisor, he asked if I had built other trailers, I looked down at the floor and said, "a yeah." No problem. $40 a year or so. They asked for a stated value and I said $12,000. Not sure what that figure means if it gets hit by a big meteorite.

T

[gudmund]

mine is though State Farm for about $70 per year covering the replacement value of $7500 - $9000. I did have to show/prove the replacement value with build estimates from the builder of my trailer. Was able to get their trailer costs from their website showing the costs of a new one with my options.

[mustangcats]

They asked for a stated value and I said $12,000. Not sure what that figure means if it gets hit by a big meteorite.

T

If it is totaled, the insurance adjustor will try to determine what the current value is; not what you have in it or what it would take to build one just like it. He is trying to determine the actual cash value, which is close to what a person would have actually paid for the trailer before it was destroyed. The $12,000 insured amount is the most they would pay, but it most likely would be a lot less. If the $12,000 figure is what it cost to build, then right out of the gate it would have depreciated by let's say 25%. And before long it will have depreciated at least 50%...just like a car.

[azgreg]

Does anyone have a better company to do business with out there for their trailer? I'm wondering about AARP (much as I dislike their politics) and their carrier at this point (Hartford). Seems to me that there should be a better way to do business, with all the retirees & RV's on the road now. There must be a better company catering to this market.

Tim:

I use Hartford (AARP associated). When i called them up, I told her it was "custom built," she asked if I was the builder and handed me off to a supervisor, he asked if I had built other trailers, I looked down at the floor and said, "a yeah." No problem. $40 a year or so. They asked for a stated value and I said $12,000. Not sure what that figure means if it gets hit by a big meteorite.

T

That's not enough. You won't be able to replace a meteorite for just $12,000.