Trailer Insurance Explained: When You Need It, What It Covers & How Much It Costs
Trailer insurance helps protect your trailer and any stuff you keep in your trailer.
It's typically only required if you have a loan or lease on the trailer. But it's a good idea to buy a policy even if you don't need it.
Without trailer insurance, you'll have to pay to fix or replace your trailer and anything inside if you have an accident. With an average cost of $116 per month, it usually costs less than an expensive repair bill.
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What is trailer insurance?
Trailer insurance pays for damage to your trailer and any belongings you keep inside it.
Trailer insurance usually includes collision and comprehensive coverage, which pay to fix your trailer after an accident or "act of God," such as hail or vandalism.
It can also come with what's called personal property protection, which pays to replace your belongings if they're stolen or damaged in an accident.
You don't always have to get a separate insurance policy for your trailer. Some companies allow you to add your trailer to your auto insurance. Others sell separate trailer insurance or cover trailers as part of RV insurance policies.
Trailer insurance can typically cover:
- Travel trailers, campers, 5th wheels and pop-up trailers used for vacations, camping or as a part-time residence.
- Utility trailers and toy haulers used for hauling equipment, tools or recreational vehicles.
- Horse and livestock trailers for transporting animals.
- Boat trailers used to tow watercraft.
Is trailer insurance different from RV insurance?
Trailer insurance is different from RV insurance because one covers things that can't drive themselves, and the other covers something that can.
Trailer insurance doesn't always include liability coverage, which pays for injuries or damage you cause in an accident. Trailers don't always need liability coverage because your car's liability insurance typically covers anything you tow.
On the other hand, RVs must have their own liability insurance since they're stand-alone vehicles.
Do you have to insure a trailer?
Whether you need insurance for your trailer depends on your auto insurance policy and whether you have a loan on the trailer.
Why trailer insurance matters
Trailer insurance is the only way to avoid a big bill if your trailer is damaged.
Trailers are often a major investment, and they can be expensive to fix or replace. Trailer insurance pays for many types of damage, including accidents, fire, hail, vandalism or theft.
If you're worried about how you'd fix or replace your trailer after an emergency, you should get a trailer insurance policy.
How to decide if you need trailer insurance
Before you decide whether to buy insurance for a camper or trailer, you should understand what's covered by the insurance policies you already have.
Is my trailer covered by auto insurance?
Your car insurance almost always covers damage or injuries caused by your trailer while you're towing it behind an insured car. But it won't protect the trailer itself.
Almost every state requires you to have a certain amount of liability coverage to drive legally. Your car insurance policy should already meet this requirement.
Your liability coverage typically includes:
- Bodily injury liability, which pays for injuries resulting from an accident you cause.
- Property damage liability, which pays for damage you cause to another driver's car or a stationary object, such as a building or pole.
- Collision coverage pays to fix or replace your trailer after an accident, even if it's your fault.
- Comprehensive coverage pays for damage caused by "acts of God," such as hail, vandalism or an accident with a wild animal.
These coverages are typically part of a full coverage policy and are usually required if you have a loan or lease on your trailer.
Is a camper covered under homeowners insurance?
Home and renters insurance often cover some of the belongings in your trailer or camper, but the amount of protection you have is limited. However, neither type of policy covers the camper itself.
Most policies cap coverage for belongings kept outside your home at 10% of your total personal property coverage amount.
For example, if your home insurance policy has $125,000 of personal property coverage, you might have $12,500 of protection for items kept in your trailer.
That could be enough for a pop-up camper filled with a weekend's worth of supplies. But it's probably not enough coverage if you're living in your Airstream four months out of the year.
If you have renters insurance, it's more likely that your coverage will fall short. That's because renters insurance typically has lower limits. For example, a renters insurance policy with $25,000 of personal property coverage only leaves you with around $2,500 of protection for things stored in your camper or trailer.
Check to see whether your business insurance policy covers these items. If not, you'll need a separate trailer insurance policy.
When is separate trailer insurance worth it?
A separate insurance policy is worth it if your trailer or camper:
You have a loan or lease on your trailer
If you took out a loan to buy your trailer or camper, or have a lease, your lender almost always requires you to have trailer insurance. That's because your lender wants to make sure you can afford to fix or replace your trailer after an accident.
Your trailer is worth more than $5,000
Trailer insurance is typically worth it for trailers and campers worth more than $5,000. That's because a policy costs much less than the cost to replace your trailer after a major accident.
For example, trailer insurance on a pop-up camper worth around $11,000 costs an average of $37 per month, or $444 per year. That's much less than the potential repair bill if you get in an accident on the highway or back into a tree on a campsite.
You use your trailer often
If you take your trailer on frequent camping trips, long road trips or use it daily for work, a trailer insurance policy is probably worth it. That's because more time on the road means you're more likely to get in an accident.
For example, a utility trailer used daily by a landscaping business has a much greater risk of getting in an accident than a camper that's in storage most of the year.
You store your trailer in a high-risk area
Trailers parked in storage lots, driveways or areas with high property crime rates are more likely to be vandalised or stolen. Trailer insurance protects against vandalism and theft, so it's a good idea if you park your trailer out in the open.
In addition, you should consider trailer insurance if you live in an area with extreme weather, such as hurricanes, tornadoes or frequent hail. For instance, a camper stored in Tampa, FL, could be completely destroyed by storm surge during a hurricane.
You keep valuable items in your trailer
While your home insurance policy offers some coverage for items in your trailer, it's probably not enough to protect expensive items such as:
- Camping or hunting equipment
- Vehicles like ATVs, Jet Skis, snowmobiles or motorcycles
- Work tools and equipment
A trailer insurance policy offers protection for both the trailer itself and the items in it.
If someone steals your $4,000 ATV out of your toy hauler, it may not be fully covered under homeowners insurance. But a trailer policy would pay to replace your ATV, as long as you have enough personal property coverage.
You use your trailer for long trips or part-time living
Insurance companies usually offer extra coverage options that can add helpful protection to your trailer insurance policy if you take long trips or live in your trailer part-time.
For example, you may be able to add emergency expense coverage, which can help pay for a hotel and meals if your trailer breaks down during a long trip.
People living in their trailer full- or part-time may be able to add extra liability coverage, which can pay the medical bills of any guests hurt in or around your trailer while it's parked.
What does camper insurance cover?
The most basic travel trailer insurance policies cover damage to your trailer or camper and the items you store inside.
Common coverage add-ons
There are lots of ways that you can customize your insurance policy depending on how you use your trailer or camper. Options vary, but many companies offer:
What isn't covered by camper trailer insurance?
While trailer insurance can protect you in a lot of scenarios, there are a few things that it almost never covers.
- Normal wear and tear, such as rust or mold.
- Improper use, including overloading or using your trailer for business if your insurance policy is for personal use.
- Damage while your trailer is being driven by anyone not listed on your policy.
- Certain types of personal property, such as expensive jewelry, firearms or business equipment. However, you may be able to add coverage for these items.
How much is insurance on a camper trailer?
Travel trailer insurance rates can range from $29 per month to over $400 per month.
There are lots of things that affect trailer insurance costs, including the age, type and size of the trailer, where it's stored and your personal driving and insurance history.
For example, an 18-foot pop-up camper costs around $37 per month to insure. The same policy costs $293 per month for a 33-foot Airstream, on average.
Monthly cost of trailer insurance by type
Type | Value | Length | Cost |
|---|---|---|---|
| Pop-up camper | $11,000 | 18 ft. | $37 |
| 5th wheel | $43,000 | 40 ft. | $72 |
| Travel trailer | $23,000 | 29 ft. | $83 |
| Toy hauler | $85,000 | 39 ft. | $96 |
| Airstream | $150,000 | 33 ft. | $293 |
How to get travel camper insurance
Buying trailer insurance is similar to buying a car insurance policy. You'll need to:
- Gather info, including the year, make and model of your trailer, your driver's license number and dates of any tickets or accidents
- Decide on the types and amounts of coverage you need
- Compare quotes from multiple companies
- Choose and pay for a policy
- Notify your lender, if you have a loan or lease
Which companies sell trailer insurance?
Most major auto insurance companies also sell insurance for travel trailers, including Allstate, Geico, Progressive and State Farm.
You can also buy trailer insurance from specialty companies, like Foremost, or midsize companies, like Erie. Some companies offer trailer insurance as its own product, while others cover trailers under their RV insurance policy.
Start by getting a quote from your current auto insurance company. You'll probably get a discount for bundling both policies with the same company. In addition, having both policies with the same company will make your life easier if you have an accident, because you'll only have to deal with one claims department and adjuster.
Then, decide which company offers the right coverage to fit your needs. Most companies don't offer online quotes for trailer insurance, so you'll have to reach out to an agent to compare rates. However, you should start by getting quotes from Progressive and Allstate, which both offer quotes online.
Where to buy trailer insurance
Company | Policy type | Online quotes? | Coverage extras? | Discounts? |
|---|---|---|---|---|
| Progressive | RV insurance | |||
| Allstate | Trailer insurance 5th wheel insurance Full-timer insurance | |||
| USAA | Travel trailer insurance through Foremost | |||
| Geico | RV insurance | |||
| Farmers | Travel trailer insurance 5th wheel insurance |
Company | Online quotes? | Coverage extras? | Discounts? |
|---|---|---|---|
| Progressive | |||
| Allstate | |||
| USAA | |||
| Geico | |||
| Farmers |
Which company has the best insurance for camper trailers?
Progressive has the best trailer insurance for most people.
It offers more coverage extras and discounts than other major companies. You can also get online quotes from Progressive, which makes it easy to compare rates and buy a policy quickly.
Progressive insures lots of different types of trailers through its RV insurance policy, including:
- Travel trailers
- 5th wheels
- Horse trailers
- Campers and pop-up campers
- Utility and cargo trailers
Tips for saving money on trailer insurance
When shopping for trailer insurance, you can lower your rates by qualifying for discounts or adjusting your coverage.
Many insurance companies offer discounts on trailer insurance if you bundle with another insurance policy, pay your entire bill up front or take an RV safety course. You may also get a discount if you belong to an RV association, like Good Sam or the Family Motor Coach Association.
Keep in mind, trailer insurance typically isn't very expensive, so any one discount won't likely make a big impact on your rates. Instead, focus on finding a company that offers multiple discounts you qualify for.
You can also adjust your coverage to find lower rates. For example, if you only keep $3,000 of camping equipment in your camper, check to see whether your home insurance policy will cover it. You may also be able to forgo roadside assistance if you have AAA or your credit card provides emergency roadside coverage.
If your trailer insurance is still too expensive, consider storing it in a secure garage or a storage lot with security guards. This could help lower your rate if you're currently parking your trailer in your driveway or in an area with a lot of property crime.
Frequently asked questions
How much does insurance cost on a trailer?
Trailer insurance costs around $116 per month, on average. However, rates vary depending on the age, size and type of trailer you own, the type and amount of coverage you choose, where you live and your driving history.
What insurance do I need for my trailer?
It's not typically required by law for you to buy trailer insurance because the liability portion of your car insurance policy typically extends to cover your trailer while it's being towed. However, it's a good idea to buy a separate trailer insurance policy because your car insurance won't cover damage to your trailer. And you may be required to buy a policy if you have a loan or lease on the trailer.
Do I need to tell my insurance if I tow a trailer?
It's always a good idea to tell your insurance company if you plan to tow a trailer, even if it's not always required. Each company treats trailers differently, and letting them know beforehand will help you understand whether your car's liability coverage will protect you if your trailer hurts someone or damages their property.
Methodology
To find the average cost of trailer insurance, ValuePenguin editors compare quotes for five different makes, models and styles of trailers across five cities. Rates are for married drivers of varied ages with a clean driving record.
Quotes include:
- Collision and comprehensive coverage: $500 deductible
- Personal property coverage: $3,000
- Vacation liability coverage: $10,000
Lindsay Bishop
Senior Writer
Lindsay Bishop is a Senior Writer at ValuePenguin, where she educates readers about home, auto, renters, flood and motorcycle insurance.
Lindsay began her career in the insurance and financial industry in 2010. She was a licensed auto, home, life and health insurance agent and held Series 6 and 63 financial licenses.
After a hiatus from the financial sector, Lindsay returned to the industry as a content writer for ValuePenguin in 2021. She enjoys having the opportunity to help readers make smart decisions about their insurance so they can be prepared for anything life throws their way.
When Lindsay isn't writing about insurance, you can find her spending time with family, enjoying the outdoors on Sunday long runs or riding her Peloton.
How insurance helped Lindsay
As a homeowner for 15 years located in South Carolina, Lindsay has plenty of experience navigating the coastal insurance market and managing the claims process. That includes successfully negotiating a full roof replacement claim.
Expertise
- Home insurance
- Car insurance
- Flood insurance
- Renters insurance
- Motorcycle insurance
Referenced by
- CNBC
- Yahoo Finance
- Miami Herald
Education
- BS/BA Economics, University of Nevada Las Vegas
Editorial Note: The content of this article is based on the author's opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.
