Caravan Insurance Australia Guide

  • Author: Ted Jones
  • Date: March 16, 2022

Your Ultimate Guide to Caravan Insurance.
Caravan in Australia guide.

Thinking of hitting the road for a holiday, or well-deserved break? Well, a caravan can be a great option to explore around Australia.

However, buying a caravan can be quite a considerable investment with all the upfront costs. Also you’ll have to do registration, maybe do some maintenance, spend on repairs, and other expenses that come with owning one. If you can’t store it at home, you may have to get a storage facility. But what about caravan insurance in Australia?

Now the question is, what financial options do you have that will help keep your family aboard? Or what happens if your caravan gets into an unexpected accident?

The best thing to do is get a caravan insurance cover from a reputable insurance company in Australia. But before you do that, you’ll need to understand several things. Thankfully, this detailed caravan insurance guide has everything you need to have at your fingertips before making any crucial move. Let’s get started.


What is Caravan Insurance in Australia?

Australian caravan insurance. Parked water view campsite.i

Caravan insurance is an individual insurance product dedicated to giving some financial cover if something wrong happens to your caravan or its contents while in Australia.

It may cover risks such as loss or damage due to accident, theft, and legal liability, causing damage to another individual’s property. This entirely depends on the type of insurance policy you choose.

Interestingly, you can apply for an insurance policy to help offer cover to your caravan anytime, anywhere. Whether it is on the road, at a caravan parking site, or in the garage and not in use for a given time, there are no restrictions.

Also, other caravan insurance policies can provide cover for a motorhome, trailer, horse-float, or camper trailer.


Why do you need Caravan Insurance?

Unlike car insurance or CTP (compulsory third-party insurance), caravan insurance is primarily not a must-have requirement in Australia. But, without it, you may end up financially vulnerable in case your caravan gets stolen, damaged by fire, or accident.

Therefore, it is worth investing in a caravan insurance cover as you’ll save a lot of money in case of a risk. Start by doing proper research and finding out if the insurance policy’s cost is suitable for your budget. More importantly, have in mind the possible risks you may encounter without it.

Potential Risks that a Caravan Insurance can cover:
• Accidental damage.
• Attempted theft or theft.
• Fire damage.
• Vandalism by a third party.
• Earthquake.
• Storm and flood.
• Emergency repairs, transport, and accommodation.

It may also cover expenses like:
• Storage.
• Towing.
• Food spoilage in some cases.
• Contents to a particular amount.


Levels and Types of Caravan Insurance

Typically, there are various levels of cover you can get in a caravan insurance policy. But they are generally grouped into two:

1. Comprehensive Insurance: This includes all policies that cover the loss or damage of the caravan alongside its properties. Additionally, it covers damage the caravan may cause to other individual’s property.

2. Third Party: These insurance policies covers only the damage of other person’s or people’s property, in which case the policyholder is at fault. If the owner is at fault, you and the property will not be covered.


What are the types of caravan insurance?

The three main types of caravan insurance include;

  1. Touring Caravan Insurance: It covers caravans that get towed behind your vehicle.
  2. Static caravan insurance: This cover is meant for caravans found in fixed locations like seaside resorts or holiday parks. In case you want to move the caravan to a new spot, this insurance covers the goods inside it against theft, damage, or accident.
  3. Folding and Trailer Tent caravan insurance: Here, the inside contents of the trailer tent and folding caravan tend to be less secure than typical caravans, thus challenging to insure.

An example of these types of policies includes cover for theft and fire damage by default. Depending on the insurer, these incidents may be included as an extra expense.


New for old vs. agreed Market Value.

Basically, the agreed market value is the amount your caravan will be insured basing on its worth. For instance, if you purchased a caravan at $40,000 and get damaged in an accident after three weeks, the insurer will pay you about $40,000.

But if it is about fifteen years old and worth $13,000, then that’s what the insurance company will pay you if it gets stolen. That amount is, however, enough to get another caravan of the same age. As for the new for old cover, the insurance will pay back in full the $40,000 within a certain time frame.

Check the fine print on the time frame at what point they depreciate and what it is covered for after two or more years later.


What is the difference between caravan touring insurance and onsite (static) caravan insurance?

Caravan touring insurance.

Touring caravans refers to mobile vehicles fitted with everything for you to live in comfortably. And, you can easily tow from one destination to another with your car. They are often large, robustly made structures and comes with all the comfort of your home. In other words, you’ll find it with a kitchen, enclosed bathrooms, beds, heating, and air conditioning systems. So, you can get your touring caravan insurance to cover various risks as stated above.

Onsite Caravans on the other side are often small cabin that stays at a spot permanently. In most cases, they can be referred to as static caravans as they are technically immobile. However, the caravanning community and insurance companies consider them vehicles, hence can be covered against potential risks.


How to get the best cover from the insurance providers.

One of the best ways to get the most from your caravan insurance cover is to qualify for discounts. This may depend on various factors like storage location and security features. Besides that, you can install a tracker on your caravan and secure it pretty well. Consider choosing a cover that offers an option for a repairer.


What exclusions should I be aware of?

An insurance provider may reject your claim for theft, damage, and accidents on your caravan due to:

Failure to secure your caravan well.
• Reckless using of the caravan or using it for unapproved activities.
• Failure to maintain and service your caravan properly or leaving it in an unsecured place.
• Using the caravan instead of storing it.
• Depreciation, deterioration, corrosion, mould, rust, wear and tear of the caravan.
• An intentional act committed by you, a family member, or an individual with permission to use the caravan.
• Damaged windshield or punctured tire while on the road.
• If the caravan has a faulty design, structural or mechanical failure.
• Event of certain weather conditions.


Glossary of insurance terms used:

1.Sum insured: This is the maximum amount of money to expect from an insurer to replace your caravan in a risk event.

2. Premium: It is the sum of money you pay on a given time basis to cater for your caravan insurance. (The amount you pay for the policy.)

3. Excess: the excess acts as a contribution you need to pay towards a claim made on the caravan insurance policy.

4. Damages: A damage involves the reward given if you suffer a loss or damage on your caravan. It is often in money form and meant to act as compensation for the specific loss suffered.

5. Insurance claim: This is a formal request made by the insured to the insurer for compensation for a covered loss or a policy event.


Frequently asked questions about caravan insurance.

Here are some questions you can ask the insurance provider and some information to be aware of.


Does the policy include fire, theft, flood, etc.?

Yes, most policies covers risks like fire, accident, and flood damage, provided they are unexpected. But double check with your provider.


Does the insurance include liability insurance?

Yes. Caravan insurance often includes liability insurance meant to cover for the damage your caravan may cause to a third party while on the road. Check to what extent it covers.


Is the policy agreed or market value?

This will depend on your preference and the insurer. As stated earlier, a market value is an amount you can be paid similar to the retail value of your caravan. If you wish, you can agree with your insurer to replace the caravan with the same design and model or almost it’s equivalent.


Is the annex or awning included in the policy?

Not all caravan insurance providers cover the caravan’s Annex. But if yours provide it, then you’re lucky. It is a kind of cover that caters for vinyl or canvas materials covering the roof, walls, window, and over the top of a caravan. So, it is worth checking out when looking for insurance cover for your caravan.


Do you get a choice of repairer?

In most cases it will depend on the insurer. You can get a policy that allows you to choose your desired and trusted repairer if you shop around for insurance.


How to make a claim?

Filing for a claim in the event of damage is always easy. If you have your insurer’s contacts and you’re not tech-savvy, you can make a claim by giving them a call. Or you can fill in the details on their website to make a claim.

Remember to take some photos and take some notes to help substantiate the claim of what happened.

How long will a standard claim take to process, could be a question to ask. Otherwise you might be out of pocket for a while.


Does the insurance include cover for roadside assistance or towing the caravan to a repair place?

As we all know, travelling with your caravan increases the chances of break-down. There are caravan insurance covers that will offer road assistance and tow your vehicle and the caravan to a repair place. The thing is, you need to have the right plan, so check the fine print.


Does the caravan insurer provide a multi-policy discount?

Most bigger Australian insurers provide multiple policy discounts. If you have other policies with the provider, such as car and house insurance, you might get a good discount or rebate for you caravan insurance.


Does the policy include temporary accommodation until things get fixed?

Absolutely, yes most will cater for that. The policy can cater for temporary accommodation for the caravan, giving you enough time to work things out.


Does the policy include TV and satellite mounts?

The caravan insurance can cover the expenses for mounting TV and satellite dishes and antennas, but again will depend on the provider.


What caravan insurance provider are there?

There are dozens of caravan insurance companies in Australia. Here is just a few companies: NRMA Caravan Insurance, GIO Caravan Insurance, RACV Caravan Insurance, CIL Caravan Insurance, Australian Caravan Insurance, National Seniors Caravan Insurance and YOUI Caravan Insurance.



Owning a caravan allows you to stay comfortably in many places across the country. Besides, you can travel at your pace and as per your terms and it gives you choices.

Many people go for an interstate destination for a longer holiday. Or go for a weekend away to their favourite campsite site or caravan park, just a couple of hours drive away. But to make sure the adventure goes as hassle free and for peace of mind, caravan insurance is vital to have.

Remember to shop around and ask plenty of questions, to make sure you select the best caravan insurance for you.