Insurance Limitations??

[Mike and Cha]

Originally Posted by reubenray

When I first bought my coach I had my State Farm agent figure up a quote. They did not know what they was doing. I do have my car and home with State Farm. The quote I got was the highest of them all. I figured I would be wasting my time this time.

Are you saying all you are paying for your motorhome insurance is $285 a year?

My MH premium is $890 for the year, that includes replacement policy based on MSRP for the first 5 years, and all the normal coverage. Then in addition to all my other policies, MH,houses, cars ect, I have the Umbrella Policy which is $285 a year. You should be able to get that where you are living as it is covering you should you be responsible for accident or injury, that goes beyond your normal policy limits. Ours is the 1 mil policy, but you can go higher if you want and it is very reasonable. My agent recommended the 1 mil policy as most people and judges will accept that rather than go after personal assets.

I would look into another Agent who know what they are doing, I have been with State Farm for over 43 years, have everything insured thru them, and have yet to find a company who will beat their price for the combined total of policies I have.

[H. Miller]

Back to the original question!!!
You do not want to purchase a policy with different limits for all the different coverages. Best coverage comes from a CSL (combined single limit) policy...
Ask your agent to explain.

[reubenray]

Originally Posted by Mike and Cha

My MH premium is $890 for the year, that includes replacement policy based on MSRP for the first 5 years, and all the normal coverage. Then in addition to all my other policies, MH,houses, cars ect, I have the Umbrella Policy which is $285 a year. You should be able to get that where you are living as it is covering you should you be responsible for accident or injury, that goes beyond your normal policy limits. Ours is the 1 mil policy, but you can go higher if you want and it is very reasonable. My agent recommended the 1 mil policy as most people and judges will accept that rather than go after personal assets.

I would look into another Agent who know what they are doing, I have been with State Farm for over 43 years, have everything insured thru them, and have yet to find a company who will beat their price for the combined total of policies I have.

When I called my agent she immediately made a comment that she would have to call me back. She had to find the link for figuring it out. Her quote was twice what yours is. I do have my car and home with them. I guess being in Louisiana must have something to do with it. She also did not know what a CSL policy was.

I wish I could find someone that has their motorhome/camper insured with State Farm in Louisiana. I tried to do the online quote, but it immediately takes me to my agent. I may call a few agents to see if they know anything about writing RV policies.

[jeryan59]

There is no simple answer to the original question. One point is what is your net worth? What is your moral responsibility if you are negligent in causing someone else bodily injury or property damage? What if you have an accident with an underinsured or uninsured motorist and you are out of work for an extended period of time and you do not have short or long term disability?

Split limits, the first number is the amount for Bodily Injury per person ($100,000 for any one person); second number is for the accident ($300,000 for the entire accident subject to $100,000 for any one individual); the third number is for property damage ($50,000 for damage to another vehicle or property); 100/300/50.

$50,000 or $100,000 is totally inadequate for most property damage in my opinion, how many other motorhomes, vehicles, tractor trailers, cargo on a tractor trailer would be over $100,000?

A Combined Single Limit (CSL) is what is available for any one accident. If the limit is $300,000, it may be used for either Property Damage or Bodily Injury in the accident. There are circumstances where Split Limits can be more advantageous (Multiple individual injuries in a given accident is one example); but usually CSL is more advantageous, but not always.

Uninsured Motorist/Underinsured Motorist will pay your medical bills and lost wages for the uninsured driver (more often than you believe) and underinsured drivers. I have seen a client who was in a motorcycle accident by a hit and run driver who was a self employed carpenter and his uninsured motorists coverage paid for his hospital bills with no deductible and his lost wages to the policy limit.

You will be surprised how little more the insurance premium is for $500,000 CSL is over split limits. I currently have a quote to increase my liability limits from $250/$500/$100 to $500 CSL is $47.01 per year; to increase it to $1,000,000 CSL is $143.93 per year.

As other pointed out, usually more cost effective to purchase umbrella limits over and beyond your underlying coverages (Auto, Motorhome, Homeowners and even Motorcycle Liability policies). Depending on how many homes, autos, etc you own determines the premium. Most umbrella policies require a minimum of about $250,000 or $300,000 liability limit on ALL of your underlying policies (Auto, Home, etc).

Many people treat insurance as a commodity and don't realize there is a lot more to it than meet the eye. Another example is I am shopping for Motorhome insurance currently (I am an agent but mainly do Commercial) and an Agent for a specialty market who allegedly writes RV Insurance told me I don't need to increase my Personal Property limit on my Motorhome Policy because my Homeowners will cover it. This isn't necessarily accurate. If the items are primarily used for auto use (Hoses, patio rugs, tow bars, receiver hitch just to name a few) I have seen not paid by a Homeowners Policy.

Insurance is a contract, reading and understanding the exclusions at a minimum is important for every consumer.

[Gary RVRoamer]

You were living in the wrong (read: expensive) part of Florida, so good that you moved. Up here in Florida's north-central boonies, away from big city life, rates aren't bad at all.

[Gary RVRoamer]

We use $250/$500k for personal injury and $100k for property damage. Would like to have a bit more, but the dollars only stretch so far. I think it is adequate, though, cause we don't have a lot to lose if we lost a major liability claim.

You need to think about what you have to lose, e.g. investments, home, car, pensions, etc., and whether any of them are shielded from lawsuits (e.g. Social Security or IRAs) and just what that shielding does for you (probably less than you might think). Then decide how much you are willing to devote to insurance.

In some regionss, awards for personal injury claims are sky high. And if you have the misfortune to harm a grandmother walking her toddler grandchild to the park, well, prepare to give up a pound of flesh. Or two. In other areas, juries are not quite so financially vindictive.