The cost of insuring caravans and motorhomes has seen a sharp increase, particularly in the United Kingdom where insurance premiums have risen by a third due to escalating thefts and repair costs.
The surge in insurance premiums is not arbitrary but it’s a result of a complex interplay of factors. Theft and repair costs are the primary culprits, according to This is Money.
As more people opt for caravanning holidays, the demand for caravans and motorhomes has surged. This increased demand has unfortunately made these vehicles more attractive targets for theft, contributing to the rise in insurance costs.
Ryan Fulthorpe, a motor insurance expert at GoCompare, expressed concern over the recent rise in caravan thefts, stating that the overall increase in average premiums has mostly come from motorhome policies. These policies are reflecting the increase in car insurance due to factors like increased motor repair costs, supply chain issues, and rising labor costs.
While the UK grapples with soaring insurance costs, the situation is not much better globally. According to Market Watch, the average RV policy costs around $1,500 per year, or about $125 per month. However, this average doesn’t necessarily reflect the true range of the cost of RV insurance.
The rising costs are a significant burden for consumers. While insurance for caravans is not a legal requirement, it is crucial for financial protection against theft, fire, and accidental damage.
Companies like GoCompare and Compass are at the forefront of this issue, providing valuable data and advice to consumers.
Karen Stacey, Compass’s managing director, warned caravan owners to prepare for damage from storms, citing a 16% increase in claims for storm damage to caravans between 2021 and 2022 due to more extreme weather resulting from climate change.
She also said that while caravan parks do their best to protect units on their sites throughout the year, they can’t control damage caused by freak storms. She emphasized the importance for caravan owners to have adequate insurance and to regularly maintain their units to minimize any potential damage.