Trailer Vs RV: Which Costs More to Insure?

Canadian roads aren't just home to cars and trucks; they are also full of trailers and recreational vehicles (usually shortened to RV).

If you're thinking about purchasing a trailer or RV for your next adventure, you most likely have some questions about the insurance.

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Trailer vs RV — what's the difference between the two?

Even though the terms get used interchangeably, there are some differences that you should be aware of before making a big decision. Check also this post about motorhome insurance.

What is a trailer?

Unlike a car or truck, trailers don't have engines to propel them. This means they have to be towed by a truck, SUV or another large vehicle with a hitch and towing capabilities.

There are several different types of trailers. Some common examples of trailers you'll see on the road include:

• Utility trailers - these trailers are generally used to carry cargo or bulky objects that don't fit in a vehicle.
• Travel trailer - generally used by families for camping and road trips. Travel trailers range in size but are usually around 33 ft long.
• Fifth wheel trailer - A larger, steadier style of trailer that is easier to maneuver. Fifth-wheel models tend to be heavier, so they require a vehicle with lots of towing power.
• Pop-up trailers - Pop-up trailers are very compact, as they generally offer folding parts. This makes them ideal for people who plan on using their trailer occasionally.
• Truck camper - Truck campers are the lightest and most affordable style on the list. However, because they ride on a pick-up truck bed, they are relatively small.

Because travel trailers are the most common, we'll be focusing on them throughout the article.

What is an RV?

Unlike trailers, RVs do have an engine. Thanks to this powerful engine, you don't need to own a vehicle with towing capabilities, making them more accessible than trailers.

There are several different types of RVs that you can choose from:

• Class A - Class A RVs are ideal for families that don't want to sacrifice comfort on the open road. These RVs are quite large and can generally accommodate more than four travelers comfortably. Class A RVs feature amenities like kitchens, bathrooms, storage space and a cockpit for drivers.
• Class B - Class B RVs are relatively similar to Class A motorhomes; however, they offer less storage space. Because of the size difference, Class B RVs are best for groups of two to four people.
• Class C - Class C RVs are a hybrid of the previously listed styles. Drivers can choose from a variety of sizes, allowing them to accommodate different numbers of riders.

So, when it comes to the travel trailer vs RV debate, you can see that there's no clear winner because both are used for different types of adventures.

Common questions about travel trailer insurance

Here's a list of some of the questions we are asked the most about travel trailer insurance:

How much does travel trailer insurance cost in Canada?

Unfortunately, there's no black-and-white answer to your question.

There are several variables that we use to determine the price of travel trailer insurance. Additionally, the pricing tends to vary from province to province, making it even more difficult to give you a cut-and-dry answer.

However, we can tell you that the price of your travel trailer will significantly influence the cost of your rates, along with your driving record and the type of coverage you require.

Is travel trailer insurance required in Canada?

In short, no, travel trailer insurance isn't required by law, but we suggest that you consider it. Your auto insurance policy likely provides third-party liability insurance for your trailer. However, we suggest that you double-check with your insurance provider to see if your auto insurance policy offers third-party liability coverage.

What does travel trailer insurance cover?

Aside from third-party liability coverage (which covers you in the event of injury or death of which you aren't at fault), travel trailer insurance also offers accident benefits and direct compensation property damage (DCPD).

• Accident benefits - Provides loss of income and medical coverage in the event of an accident.
• Direct compensation property damage - Covers damage to the trailer and its contents.

Common questions about RV insurance

Here's a list of some of the questions that drivers ask us about RV insurance:

How much does RV insurance cost in Canada?

Once again, it's difficult to give you an exact number, as the coverage and pricing systems range from province to province. 

However, we can say that you Canadians can expect to pay somewhere between $500 and $2000 annually. Additionally, the price can change drastically depending on the type of RV insurance you purchase.

What are the common types of RV insurance?

Three primary types of RV insurance in Canada:

• Live-in insurance - Meant for people that intend on living in their RV full-time.
• Seasonal insurance - Intended for people that want to use their RV during a particular season (usually summer).
• Temporary insurance - Used by people who only want to use their RV for a short period.

Is RV insurance required in Canada?

Yes, RVs need to have insurance because they are motorized vehicles that can drive independently.

What is the mandatory protection for RV insurance?

The mandatory protection for RV insurance is quite similar to travel trailer insurance; however, it also generally includes uninsured and unidentified automobile coverage.

For those unfamiliar, uninsured and unidentified automobile coverage applies to drivers who suffer an injury or death due to an uninsured vehicle or an unidentified automobile that is not present when the authorities arrive (also known as a hit-and-run or evading a crime scene).

Trailer or RV: which one is the right choice for you?

In all honesty, we don't feel that there is a cut-and-dry answer to the RV vs travel trailer debate; both are fantastic options made for specific types of trips or events.

Travel trailers are excellent for drivers that want to go on an impromptu camping trip or travel to a distant city in style. On the other hand, RVs are perfect for groups or families that intend on travelling long distances together. At the end of the day, we feel like it comes down to preference. Which option do you prefer?