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Topic: RV Replacement Cost Insurance (Read 228 times) previous topic - next topic
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RV Replacement Cost Insurance
Another post today got me thinking about this. Several insurers offer this coverage for the first 5 years after the purchase of an RV but then reverts to Actual Cash Value. We originally had it with Progressive Ins and then changed to GMAC which has become National General Insurance. We were able to keep that type of coverage after the switch.

The one thing I liked about NGI is that once the 5 years is up it switches from replacement cost to reimbursement of what you actually paid for the RV when you purchased it. Here is their explanation.

"Optional Full Replacement Cost Coverage and here’s how it works: If your RV is totaled or stolen (and not recovered) in its first five model years it will be replaced with a comparable new RV, even if you’re not the original owner.  After the first five model years, you will receive your full original purchase price — not a depreciated amount — toward the purchase of the replacement RV.  Replacement Cost Coverage must be purchased during the RV’s model year or within the following four years."

As for cost of the coverage we paid $195 in premium for the current year on our 2006.

Jim
Re: RV Replacement Cost Insurance
Reply #1 –
Quote from: Jim & Gayle  - 
Another post today got me thinking about this. Several insurers offer this coverage for the first 5 years after the purchase of an RV but then reverts to Actual Cash Value. We originally had it with Progressive Ins and then changed to GMAC which has become National General Insurance. We were able to keep that type of coverage after the switch.

The Total Loss Replacement insurance we've had on our various RVs always reverted to the price we paid for the rig once the 5 years was up.

One thing I discovered, however, when looking for Total Loss Replacement insurance on our current RV is that not all insurance companies offer total loss replacement for a total of 5 years...one company I was talking to (don't recall now which one it was) only offered it for 18 months!!!

So the moral of the story is:  When shopping for Total Loss Replacement insurance, ASK for what length of time the total loss replacement is good!
Linda Hylton
Re: RV Replacement Cost Insurance
Reply #2 –
Also look at the terms of the Total Loss/Purchase Price coverage regarding total loss payout.  Some policies will only pay that much if you replace the vehicle with similar one of equal or higher value.  If you don't replace the vehicle, many policies revert to actual cash value as a payout.
Re: RV Replacement Cost Insurance
Reply #3 –
Quote from: Michelle C  - 
Also look at the terms of the Total Loss/Purchase Price coverage regarding total loss payout.  Some policies will only pay that much if you replace the vehicle with similar one of equal or higher value.  If you don't replace the vehicle, many policies revert to actual cash value as a payout.

That is true and those that I have seen give you 180 days to replace and collect the replacement cost.

Jim