Planning a family vacation for the summer is always exciting.  There are so many places to go and explore right here in the US.  One of the ways in which you can travel is by RV.  Many might be saying, “That’s great, but I don’t have an RV”.  If this happens to be your plan, you can always rent one.  Renting an RV is a fraction of the cost of owning one, and it can enable you to create a memorable experience on the road.

If you choose to rent an RV and take the family on a fun vacation, you may be thinking about some of the costs associated with this, especially insurance.  There are a few things to think about. You will want to check your policy or contact your insurance company to see if an RV rental is covered under your current policy.  Some companies include it, while others will charge a small fee.  If your company happens to charge a fee, you may want to check with the RV rental company to see if they offer extra insurance coverage.  To make sure you are protected, you should compare the two and see if either choice is more affordable.  Try to find the best fit for your price and coverage needs.

This content is offered for educational purposes only and does not represent contractual agreements. The definitions, terms and coverages in a given policy may be different than those suggested here and such policy will be governed by the language contained therein.  No warranty or appropriateness for a specific purpose is expressed or implied.

There are times when an automobile is involved in an accident that is so severe the car is a total loss.  What is a total loss?  How is it determined?  Put simply, a total loss is when the cost to repair the car is greater than the vehicle’s actual cash value.

The longer explanation involves a combination of factors: total loss is when the cost of repairing the automobile, plus its salvage value, plus rental reimbursement expense during repair equals or exceeds its actual cash value.  (Salvage value is the money an auto insurance company would recoup when selling the damaged vehicle through a licensed salvage vendor.)

In general, most auto insurance companies will declare a car to be a total loss if it could not safely or physically be repaired to its pre-accident condition.  Also, a total loss would also occur if the vehicle were stolen and not recovered.

It’s important to note that there are state thresholds that can dictate when a car is considered a total loss and when it’s not.  There are some cases where a vehicle may have sustained damage and the cost to repair doesn’t exceed the state’s threshold.   The threshold varies from state to state.  In order to determine what your state’s threshold is, contact your auto insurance agent for more information.

If a car is declared a total loss, what will the auto insurance company pay for?  This can depend on the individual situation.  The auto insurance agent or insurance company can advise what it is willing to cover and how it determines what constitutes a total loss of a vehicle.

NOTE: The purpose of this article is to provide general information on the law, which is subject to change.  If you have a specific legal problem, you may want to consult your lawyer.  For any auto insurance related questions, you may wish to consult your insurance company or insurance agent.