The Ins and Outs of Recreational Vehicle Insurance
Article revised on 17 March 2021
Whether you’re owning a trailer or a motorhome, here’s what you need to know about recreational vehicle insurance coverages.
What does recreational vehicle insurance cover?
The travel trailer or motorhome insurance
The Quebec Automobile Insurance Act requires all owners of motorized vehicles and motorhomes to hold a minimum of $50,000 of civil liability insurance.
Insurers generally suggest $1M of coverage. You can increase this coverage, especially if you’re a driver travelling outside Quebec. If you do, it is recommended that you increase your coverage amount to $2M.
Civil liability insurance covers you for:
- Damage to your RV in the event of a collision if you are not at fault and the responsible party has been identified.
- Bodily injury or property damage caused to a third party for which you are liable in the event of an accident occurring in Canada or the United States.
Insurers also offer the following coverage options for damage your RV may sustain:
- Collision or upset protection, which covers damage caused by a collision for which you are at fault or when you are the victim of a hit-and-run.
- Comprehensive, which covers damage such as fire, theft, vandalism and glass breakage.
- Specified perils, which is a more affordable alternative to Comprehensive coverage. However, the coverage provided is less extensive and does not include vandalism and glass breakage, among other things.
Personal property insurance
Some specialized insurers like La Capitale include comprehensive coverage for the personal property inside your RV and on your RV site. The advantage of having this coverage included in your RV insurance is that, in the event of a loss, you will not have to file a home insurance claim for items damaged or stolen in your RV.
Additional coverage options
Based on your needs, certain additional benefits may prove worthwhile. Insurers may even automatically include some of these benefits in their standard coverage.
Q.E.F. No. 20A Loss of Use Extension Endorsement (included free of charge at La Capitale if you opt for comprehensive coverage)
Following an accident covered under your policy that deprives you of your recreational vehicle for several days, this benefit enables you to obtain compensation for the additional expenses you incur to continue your trip or return home. If necessary, this benefit includes the expenses you incur:
- For food and lodging, if you are far from home
- To get around, if you must use another means of transportation
- To transport your personal effects
- To recover the vehicle from the repair shop and take it home.
Q.E.F. No. 33 Insurance for Roadside Assistance Costs (included free of charge at La Capitale)
This coverage typically provides reimbursement for roadside assistance expenses. It can be very helpful in situations where your vehicle gets stuck or has a flat tire. At La Capitale, a proper roadside assistance service valid throughout Canada and the U.S. is included free of charge with the RVs insurance policies. This service covers up to four service calls per year.
Q.E.F. No. 43 A and D Change to Loss Payment Endorsement or Waiver of Depreciation
If you have a recent recreational vehicle, you might want to protect your investment by adding this coverage, which is similar to Replacement Value, to your contract.
This coverage will allow you to obtain a waiver of depreciation in the event of the total loss of your vehicle. In the event of a partial loss, the insurer will use new parts to replace damaged parts that cannot be repaired. In the event of a total loss, your indemnity will correspond to least of the following amounts:
- the purchase cost of the insured vehicle
- the price for which the insurer may, on the date of the loss, purchase a new vehicle with specifications or equipment and accessories similar to those of the insured vehicle.
- Additional coverage for repatriation of travel trailers (included free of charge at La Capitale)
If the vehicle towing your trailer is stolen or involved in a total loss accident, how would you get your trailer back home? This coverage would enable you to obtain compensation so that you could pay someone to return your trailer home.
What does the SAAQ cover? What is its role?
One of the missions of the Société de l’assurance automobile du Québec (SAAQ) is to administer Quebec’s public automobile insurance plan. Its role is therefore to compensate road accident victims by means of insurance contribution, which are collected from driver’s licence and vehicle registration payments.
The SAAQ therefore covers injuries that you or one of your family members sustain in a road accident, wherever you are travelling in the world (for trips up to six months).
Outside the province of Quebec, the SAAQ covers your injuries, but not those you may have caused to others. Instead, it’s your auto insurance – and the civil liability coverage it provides – that compensates any person who sustains bodily injuries for which you are held liable.
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