Oliver Grove, United Kingdom, December 11, 2011 --(PR.com
)-- Before deciding on your first caravan insurance policy or doing your annual renewal, find out what the Caravan Insurance Gurus have to say about the three types of cover and what they mean to you financially.
The three predominant types of caravan insurance are:
1. New for Old
2. Agreed Value
3. Market Value
Each of these are explained below so that you can understand the type of cover you will get and what financial implications this may have.
1.New for Old Caravan Insurance Cover
The term New for Old is one that you may be familiar with from dealing with household insurance. This cover means that if the caravan was to be written off then the insurer would replace it with the same make and model, within an agreed time period.
A couple of points of note:
-You will need an original purchase receipt in order to prove the value of the caravan to the insurer.
-The cover will run from the date that the caravan was manufactured and not from the date when you purchased it.
- This type of cover normally comes with a specified time period, which is generally between 3 and 5 years but it can be more sometimes.
-Are you the first owner of the van? If not be aware that some insurers will only cover the first owner.
2. Agreed Value Cover
If you opt for this type of cover it means that at the outset there will be a value agreed with the insurance company about what would be paid out in the event of you suffering a loss, ie: your caravan being written off.
There can be an element of confusion around this, as to define the value like this is challenging. This type of cover is being used less for this reason.
This cover is used in the situation when there has been more than one owner, but as mentioned can make the final value calculation of the van to be difficult and causes disputes for this reason.
3.Market Value Caravan Insurance Cover
This cover is most often used when the van does not qualify for the other types of cover. The most common way of determining the market value of the caravan is to use the Glass’s Guide to Caravan Values which is issued every few months, at the time of the loss, less a deduction to reflect the condition prior to the accident.
Caravan-Insurance-Gurus.co.uk is a website offering Caravan Insurance advice to members of the caravan world, as well as a range of other useful relevant caravanning advice.
It is a one-stop-shop for Caravan Insurance advice and offers people the opportunity to freely participate on its forum and fully interact with the website.
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