As the name suggests, recreational vehicle insurance protects your recreational vehicle. This insurance covers losses incurred if the vehicle is in an accident, stolen or vandalized among other perils such as fire and flood.
This type of insurance does not cover your primary vehicle – it only covers hobby or “toy” vehicles like a boat or snowmobile.
If the vehicle can move from one point to another on its own, it should be insured.
The central policy used to determine whether you need insurance for your recreational vehicle is whether or not you tow it. A towed vehicle, like a fifth wheel RV, won’t need recreational vehicle insurance.
Some examples of recreational vehicle insurance include:
Anybody who owns hobby or recreational vehicles should purchase recreational vehicle insurance. Off-road vehicle insurance is just as important as insurance for vehicles that drive on the streets.
It may not be a federal law to have recreational vehicle insurance in Canada, but it is still in your best interest to make sure you have coverage to protect your investment.