There is a number of motorhome insurance companies in Australia. But what sets one apart from the others? Let me introduce to you a list of motorhome/caravan insurance companies and a comparison of their features.
|Disclaimer:||All information presented here is based on what’s readily available on each insurance company’s website and respective product disclosure statements. Thus, this is not financial advice and are to be used as a guide only. Should you want to know more details, I recommend that you contact the insurance company of your choice.|
List of motorhome insurance companies to be compared
If you Google companies that offer RV insurances in Australia, it’s quite a challenge to find those who offer insurance specifically for both motorhomes and caravans. Further that, most of such companies are part of the Suncorp Network, proving their strong base in the country. That is why I picked only two companies that belong to that network, plus another two that are otherwise.
So here’s our list of motorhome/caravan insurance companies:
- CIL Insurance – Unlike other insurance companies, they have entirely separate packages specifically for camper trailers, 5th wheelers and slide-on RVs too. Moreover, they are a part of the Suncorp network.
- Apia – An insurance company that’s been in the business for over 30 years, and is a part of the Suncorp network too.
- Jayco – Although they are more known as the largest RV manufacturer in Australia, they offer competitive RV insurances too.
- QBE – An insurance company that started in 1886, thus of proven background. They have an established worldwide presence too.
Motorhome Insurance coverages
Note the following:
- All amounts shown in this blog are in Australian dollars.
- Coverages stated here are claimable provided that the incident is within the scope of your policy
|Damages induced by environmental catastrophes (e.g. hail, storm, cyclone, flood, etc.)||Included||Not covered after 72 hours of having your RV signed up for this policy.||Included||Not mentioned|
Theft and attempted theft
Fire and explosion
|Burnout of motor||Not mentioned||≤$1000||Covered in caravans||≤$1000|
|Personal/Legal liability||$20 million||$30 million|
|Authorised repairs||With lifetime guarantee|
|Emergency or temporary repairs||≤$1000||≤$500|
|Replacement of RV||Available only in RVs <2 years old||Covered if RV is ≤2 years old, but no age limit for insured Jayco caravans||Covered only for caravans <2 years old|
|Insurance claims for the contents of the RV||≤$1000 standard but may increase to ≤$3000||≤$1000 per incident||≤$2000 for motorhome
≤$2250 for caravans
|Covered, plus ≤$100 for caravan tools|
RV handling coverages
|Removal, transport and/or storage of your RV after being damaged||Covered, plus ≤$1000 for your essentials to home||≤$3000 per incident||≤$1000 plus ≤$1000 for your essentials to home||≤$3000|
|Towing of damaged RV to the repair shop or other agreed place||Covered||Covered if it’s >100km away from your home, or ≤$3000||≤$1000||Covered|
|Delivery of RV after repair||Covered if it’s >100km away from your home||Included||Covered if it’s >100km away from your home;
≤$1000 for motorhomes
≤$5000 for caravans
|≤$750 if it’s >100km away from your home|
|Benefit for cleaning up of debris after the accident||≤$5000||≤$1000 for caravans|
|Coverage for temporary accommodation||≤$2100 or ≤$4500 if your RV is your usual home||≤$2100 for motorhomes and ≤$2400 for caravans||≤$1000 provided that you’re >150km away from home|
|Transportation expenses to get you home||Applicable when the motorhome is >100km away from home
Hire car for ≤$1500 if stolen and ≤$500 if damaged
Or ≤$3000 travel expenses
|Hire car for ≤21 days if >100km away from home
Or ≤$1000 travel expenses
|Motorhome to be hired at $100/d for ≤5 days if damaged or for ≤15 days if stolen
≤$5000 if you’re unable to drive and are >100km away from home
Hire car for ≤14 days or ≤$1000; and is for insured motorhomes only
|Veterinary expenses for injured domestic pet||≤$500||≤$500 for motorhomes
≤$1000 for caravans
|Food spoilage claimable benefit||≤$500||≤$500 if due to fridge/freezer breakdown||≤$1000 if due to caravan accident|
|Others||≤$1000 cover for your trailer towed by your insured motorhome;
≤$5000 accidental death benefit (if you insured a caravan)
|≤$2000 to tow your undamaged caravan home if the towing vehicle (insured under QBE) is unable to tow;
With discount if you declare that you use your RV for certain months only
A detailed description of benefits
There is so much more to what was shared above, such as:
- Which items, appliances or fixtures in the RV can be repaired or replaced for free if damaged individually
- Your properties inside the RV can get you additional claims or no claim at all. The amounts vary depending on the value of that property. For example, a valuable painting can get you an additional claim but a drone cannot.
- Limitations on the use of the RV. For instance, when you use your RV for business travels or for hire – these aren’t usually included in the policy.
Therefore, check out the product disclosure statement (PDS) of the insurance package you are interested in. The terms stated in the PDS are closely similar to those in the actual policy that you will be receiving after purchasing the insurance package. In the case of the insurance companies being introduced here, these are the links to their respective product disclosure statements:
- CIL – Motorhome PDS; Caravan PDS
- Apia – Motorhome PDS; Caravan PDS
- Jayco – Motorhome PDS; Caravan PDS
- QBE PDS
Note that insurance companies revise their product disclosure statements approximately every year, so ensure that you’re checking out the latest one.
How much do I need to pay to get insured?
Now, this is everybody’s bottom line – costs. However, I won’t be sharing here straightforward costs since the coverage varies per policy. It may be unfair for one company or the other. But to give you a general figure, RV insurance policies range between a couple of thousands of dollars to tens of thousands. A hundred thousand dollars worth of a policy is rare and may apply only to high coverage, high-end big rigs.
What’s more important is that you must learn the factors that determine the cost of an insurance policy. Anyhow, a wise customer balances between cost and benefits when choosing insurance packages. Hence, duly exercise prudence for your own good.
What are the factors that determine the cost of motorhome insurance?
Basically, these factors are similar to that of life insurance. Older, more frequently used and less roadworthy RVs tend to require a higher premium payment. But to emphasize the determining factors for RV insurances, I’ll list them down here:
- The amount for which you are insured
- Type of caravan or motorhome
- The location where you garage your RV
- Driver identity – that is, (usually) age, driving history and claims history
- Optional benefits you added
- Mode at which you choose to pay your premium (i.e. one-time payment vs. instalments)
- Amount of excesses you choose to pay
An excess is an amount you are to shell out for the cost of your claim whenever you avail it under an incident covered by your policy. Naturally, this cost is most affected by the circumstances of your claim.
One effective way to get a good discount on your premium is to ensure that your vehicle is indeed in good condition. Especially if you have yet to buy your RV, you must purchase from legal sellers. I have further tips on this in a separate post about how not to buy a lemon.
There are many entities on the list of motorhome/caravan insurance companies in Australia. They offer almost the same coverages with little variations, especially in claimable amounts. It’s just a matter of how trustworthy the company is, and how they actually handle their customers in times of emergencies and claims.
Furthermore, your insurance premium varies based on the extent of coverage you want. You just have to know what coverages to prioritise and exclude cover for items and circumstances not needed. If you can do this, you won’t be paying for unneeded coverage which will reduce the total premium.