What does caravan insurance cover?

Caravan insurance is specifically designed to protect your home on wheels so that you can enjoy your adventures worry-free. But what does caravan insurance cover? What do most policies include and what do they exclude? Are you likely to need any add-ons?

Here, we dive into the details, so that you know exactly what to expect.

Firstly, do you have to insure a caravan?

No, caravan insurance isn’t mandatory. You can tow a caravan or a trailer under your standard car insurance. But — and it’s a big but — your car insurance won’t cover your caravan if anything goes wrong. Without dedicated caravan insurance in place, you’ll be out of pocket if you have to repair or replace your caravan if it’s damaged in an accident or stolen. 

Depending on your policy, it’s likely that your car insurance will cover you for third-party towing risks. This means that if your caravan injures someone or causes damage to their property, you won’t have to cover these costs yourself. But you have to have caravan insurance in place if you want to cover any damage to your own caravan and its contents.

Do I need to tell my car insurance if I’m towing a caravan?

As a rule of thumb, it’s always best to overcommunicate with your insurer. Be sure to inform them if you’re towing a caravan. They’ll be able to explain exactly what your particular policy covers you for and guide you on what should do if anything unexpected happens.

They’ll also be able to talk you through your caravan insurance options in case you decide that having the extra protection is the right choice for you.

What is covered by caravan insurance?

OK, let’s get into the details of what caravan insurance covers. Most caravan insurance policies will typically offer you financial protection for the following:

• Theft: Caravan insurance will pay you out if your caravan is stolen. This is especially important given the rise in caravan and campervan theft in recent years. As far as possible, always try to park your caravan in a safe and secure place, and consider installing additional security features like an alarm, immobiliser, or tracking device.

• Accidental damage: If your caravan is involved in an accident, your caravan insurance will pay for the repairs. This applies to both external and internal damage. Caravan insurance typically covers additional caravan-related equipment, such as awnings and tow bars.

• Third-party liability and public liability: This means that you are covered if your caravan accidentally injures anyone or damages their property. Again, this is sometimes covered by your car insurance policy, but always check the fine print to be sure. You might not be covered if you don’t have comprehensive insurance that specifically includes third-party caravan cover.

• Fires, flooding or weather damage: Caravan insurance should cover you for any damage caused by major weather-related events, like fires or floods.

• Burglary or vandalism: If your caravan is broken into or vandalised in some way, your caravan insurance should cover the cost of any repairs that need to be done. 

Depending on your policy, your caravan insurance might also cover you if you need a place to stay because your caravan has been damaged by an insured event. For example, if a fire runs through a campsite, you might be given accommodation at a nearby hotel.

Does caravan insurance cover contents?

Whether your caravan will cover the contents of your insurance will depend on your policy. Most caravan insurance policies offer some level of contents coverage, but it's important to understand the details:

• Basic coverage: Many standard policies include a limited amount of contents cover, typically for items that you keep in your caravan permanently.
• Varying limits: The amount of coverage can vary significantly between insurers and policy types. Some may offer as little as £1,000, while others might go up to £5,000 or more.
• High-value items: Expensive items like electronics or jewellery often have individual item limits and may need to be declared separately.
• Optional extras: Some insurers offer enhanced contents coverage as an add-on to their basic policies.
• Personal belongings: Items you bring in and out of the caravan (like clothes or sports equipment) might not be automatically covered and could require additional protection.
• New for old: Some policies offer “new for old” replacement on contents, which means they’ll replace your stolen or damaged item with a newer version.

Rather than take anything for granted when it comes to the contents of your caravan, be sure to speak to your insurer or review your policy documents carefully.

What isn't included in caravan insurance?

Caravan insurance policies usually have some exclusions, too. Here are some of the most common ones you can expect to find:

• Lack of forced entry: Your insurance might not pay out if there aren’t any signs of forced entry. For example, if your caravan was stolen because you left it unlocked, this might void your insurance.

• Registered location: Usually, your caravan has to be stored at its registered storage location in order for your caravan insurance to be valid. 

• Hire: Any damage that takes place because you hire out your caravan without having the required coverage in place might cause problems when you claim.

• Other use: You might not be covered if your caravan is being used for something other than holiday use.

• Wear and tear: Loss or damage caused by wear and tear, depreciation, dampness, dryness, wet or dry rot, mould or frost, damage by vermin or pets, mechanical breakdown or malfunction, general maintenance costs or faulty workmanship usually isn’t covered.

• Further exclusions: Other, less likely, exclusion clauses include damage caused by war, radioactive contamination, nuclear contamination, sonic bangs, seizure or confiscation by customs or other authorities, data breaches, computer viruses, infectious diseases, riots and civil commotion.

What are some optional add-ons?

Interested in covering your caravan as comprehensively as possible? You might want to include an extra add-on or two. Speak to your insurer or an experienced broker if you’re interested in any of the following:

• Caravan legal expenses cover: This covers the legal fees involved in pursuing or defending a claim related to your caravan, such as disputes over repairs or accidents.

• Cover to use and tow your caravan in Europe: If you’re planning on taking your caravan to Europe, this add-on will extend your coverage to various countries across the continent.

• Cover for friends to use and tow your caravan: This add-on permits named friends and family members to use and tow your caravan, ensuring they're protected under your policy.

• Road risks cover to be excluded for caravans that aren’t towed on the road: For static caravans or caravans that aren’t used on public roads, this add-on removes unnecessary road coverage. It can help to reduce your premiums.

• Cover for multiple named storage locations: This add-on allows you to specify multiple secure locations where you might store your caravan, ensuring it's protected wherever it's kept.

• Cover to insure your awning when your caravan isn’t being continuously used for holiday use: This add-on protects your awning even when left attached to your caravan for extended periods. It helps to address potential damage when you're not actively using it.

How much is caravan insurance?

So, what can you expect to pay for caravan insurance? Like other forms of insurance, there isn’t a standard cost for caravan insurance. 

Your caravan insurance provider will weigh up the likelihood that they will have to cover the cost of anything happening to your caravan, and quote you accordingly. Prices ultimately depend on how much an insurer believes their policy is worth. Generally, premiums are usually based on:

• Your insurance history
• Your insurance age
• Your caravan’s make and model
• Your caravan’s contents
• Where your caravan is parked
• Your caravan’s security features, such as alarms, wheel locks, and trackers
• The length of the policy
• The level of cover you choose
• The policy’s excess amount

Be sure to shop around if you’re looking for caravan insurance. Different providers offer different policies at different prices. Assess what’s most important to you and discuss your needs with your insurer or broker before making a final decision. 

Read more: How much is campervan insurance in the UK?

Quickfire summary

While caravan insurance isn’t a legal requirement, it’s the only way to ensure that you’ll be compensated in the event that something happens to your caravan.

Caravan insurance covers you if your caravan is stolen, accidentally damaged, injures someone or causes any damage to their property, is damaged by fires or floods, or is burgled or vandalised. While it sometimes includes contents insurance, this isn’t always the case. If you would like your contents to be covered, you might need to purchase it as an optional add-on. There are also other add-ons you can consider if you would like to have more comprehensive coverage.

If you have any additional caravan insurance-related questions, speak to the team at Howden. We’re here to help you ensure that your home on wheels is properly protected.

Also read:

• What insurance do I need to rent out my campervan?
• Does a caravan need an MOT? Your questions answered
• Top ten caravan towing cars

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