How to compare caravan insurance

Do I need caravan insurance?

Caravan insurance isn’t a legal requirement – unless you’ve got a motorhome, which needs specialist cover to be legally driven on UK roads – but it can make a lot of sense to protect your investment. If you fail to have a policy you’ve got no financial fallback should your caravan be damaged or its contents stolen, and if you’ve got a static caravan, many caravan parks will expect you to have a minimum level of liability insurance as well. So, while not a legal requirement, it’s certainly recommended.

Note that you may already be covered by your car insurance if you have a touring caravan, but you’ll need to make your insurer aware that you’ll be towing it. However, this will only cover the cost of any damage caused to a third party, not damage to your own caravan, so you may want to look at additional levels of cover as well.

Types of caravan insurance

There are several types of caravan insurance to consider as well as varying levels of cover, depending on your needs and budget. First of all, you’ll need to choose between touring caravan insurance and static caravan insurance, both of which come with different considerations (remember that motorhome insurance will require a separate policy).

Then you can typically choose between two types of cover:

• New-for-old cover, which will pay out the value of a brand new replacement caravan should yours be stolen or damaged beyond repair. You may be able to include any personal possessions or caravan equipment on this basis as well.
• Market value cover, which will only compensate you for the value of the caravan at the time of the claim. As such, this can be a far cheaper form of cover, particularly if you’ve got an older model.

Touring vs. static caravan

A touring caravan is one that’s towed behind a car or other vehicle. While your car insurance policy will typically include third-party cover for your caravan when it’s on the road, you’ll need a separate caravan insurance policy for complete protection.

A static caravan, meanwhile, is a semi-permanent structure that’s typically sited on a dedicated holiday park or similar. As such, this type of policy is often more akin to home insurance than car insurance. Note that if you’re planning to rent out your caravan when not in use, you’ll need to make sure that your policy includes suitable cover, or you may want to consider a separate holiday let insurance policy if appropriate.

What does caravan insurance cover?

This can depend on the type of caravan insurance policy you have and the level of cover you opt for, but essentially, a policy should be able to cover your caravan should it be damaged, destroyed or stolen. Typically, the best caravan insurance in the UK will include the following:

• Theft of the caravan itself.
• Contents cover, including caravan equipment (your home insurance may also cover some possessions in your caravan, depending on the details of your policy).
• Third-party liability insurance, which covers the cost of any damage or injury caused to a member of the public or their property.
• Internal and external damage, perhaps as a result of a road traffic accident, fire, criminal activity, severe weather or a leak. This includes both when the caravan is parked or being towed.
• Write-offs. If your caravan is written off in an accident, your insurance policy should cover the cost of alternative accommodation or replacement caravan hire. If it’s a touring caravan, it should include moving the caravan to a storage space as well.

From there you may be able to find add-ons that you can include in your policy, such as cover when you’re touring abroad, legal protection, no claims protection, lost keys cover, or cover for your friends and family when using your caravan. Some caravan insurers in the UK will even include these as standard, so always compare the options thoroughly.  

What isn’t covered?

Again, this will depend on the wording of your policy, but typically speaking, most caravan insurance won’t cover the following:

• Usual wear and tear.
• Pest or vermin infestation, or damage caused by mildew or fungus.
• Damage caused by pets.
• Theft or damage should you fail to have taken appropriate security precautions (such as failing to lock windows/doors), or when the caravan isn’t at an insured location.
• Theft of contents when not inside the caravan.
• Any damage as a result of using the caravan for a permanent residence or business purposes.

You should always carefully compare caravan insurance and check the exclusions of any policy before you make your decision.