RV dealerships face tough competition and a variety of exposures that can make staying in business a challenge. An adverse event can occur at any time, and RV dealers must invest in business insurance in order to protect their assets and keep the doors open for the long term.
RV dealerships are unique businesses for a variety of reasons. RV dealers – like all motor vehicle dealers – must insure their businesses to address typical business risks (fire, weather, slips and falls, etc.) as well as all of the risks associated with their product – recreational vehicles.
The inventory on an RV lot is highly valuable and vulnerable to the elements. In addition, your product will be frequently driven on public roads by your customers as well as tested, touched and manipulated in any number of ways.
What’s more, you probably have vehicles that belong to others on your business property for purposes of repair or storage. All of these concerns must be addressed with RV business insurance.
Like most businesses, RV dealers likely have a building and contents that need to be protected with insurance. In addition, you face property risks associated with your inventory and your interaction with the general public.
Property damage to your inventory can occur in any number of ways, from windstorms and hail to vandalism and customers simply touching and testing the vehicles on your lot. Weather is one of the more serious concerns for your inventory. If one vehicle is damaged in a hailstorm, chances are every vehicle on your lot has sustained damage.
Consider the costs of weather events in terms of property damage:
Having the general public on your lot is how you sell your product, and unfortunately a great deal of risk comes with the territory. Customers want to look at the RVs, touch and test the equipment, and go for test drives. There is an endless number of ways in which the RVs on your lot can be damaged by your customers or others.
RV dealers also face a variety of unique liability risks associated with the following activities that take place at your business and with your product:
The insurance industry has developed a special set of policies, or packaged policies, that are designed for RV dealers. These policies cover your inventory, work on RVs in your possession, negligent or faulty work on vehicles, liability for vehicles out on the road and much more.
RV dealers looking to find appropriate business insurance coverage must work with a knowledgeable agent who specializes in their line of work. The right agent can find individual and packaged RV dealer insurance policies that will address the various forms of property and liability risk inherent in your business.
The following are some basic business insurance policies that you will likely need in addition to specialty policies and endorsements tailored to RV dealers.
You will also likely need the following types of coverage and others depending on your needs and the specifics of your business:
No two RV dealers are alike, and your insurance needs are not alike, either. RV dealers need a customized mix of auto, property and liability protection to ensure that there are no gaps in coverage.
With the help of an experienced independent agent who specializes in RV dealerships, you can find a comprehensive RV dealer business insurance plan that is tailored to:
Your agent should provide you with multiple proposals from reputable insurance companies who specialize in RV business insurance. Contact a local Independent Insurance Agent today.