This 2025 update explains contemporary caravan insurance: replacement/agreed-value options, comprehensive on/off-road cover including electronics, personal and third-party liability, foreign-use considerations, permissive use by family or friends, and common extras like breakdown and legal cover. Key action: read policy wording, confirm agreed vs market value, list aftermarket fittings, and verify foreign-travel rules and security requirements.

Why caravan insurance matters

Caravan insurance protects the value of your caravan and the people using it. Modern policies cover touring caravans, motorhomes, trailer tents and static caravans, and they focus on vehicle damage, contents, liability and travel-related risks.

Common cover types

Replacement / Agreed-value cover

Some insurers offer an agreed-value option that pays a pre-agreed amount if your caravan is a total loss. This is useful for newer or custom-fitted vehicles, but terms vary - always confirm whether your policy is agreed value or market value.

Comprehensive (on- and off-road) cover

Comprehensive policies can include damage from accidents, fire, flood and collisions while towing or parked. Many now explicitly list electronic equipment (alarms, battery systems, solar panels, fixed entertainment systems) and add-on accessories; check limits and exclusions for aftermarket fittings.

Personal accident and third-party liability

Personal accident cover helps with medical or personal injury costs, while third-party liability covers damage you cause to other people or property. Liability limits differ by insurer - confirm the limit suits typical touring and static use.

Foreign / European use

Policies often offer cover for travel abroad, but the duration, countries covered and required documents differ by insurer. Confirm whether you need a Green Card or other post-Brexit documentation, and check the permitted number of days abroad before additional cover or a permit is required.

Use by family and guests; theft cover

Most policies allow named or household drivers; some extend permissive use to friends but may impose higher excesses or require the driver to be over a certain age. Theft and malicious damage cover is common, but insurers usually require approved locks, hitchlocks or approved storage - keep proof of security measures.

Multi-year policies, discounts and extras

Insurers may offer multi-year or multi-trip policies, no-claims discounts, storage discounts, and package tiers (sometimes described as silver/gold). Additional optional covers include breakdown recovery, legal expenses, replacement accommodation and contents cover.

What to check before you buy

  • Confirm whether the policy is agreed value or market value and how claims are settled.
  • Check the list of named drivers and permissive use rules.
  • Verify limits on electronic and aftermarket equipment and total contents sums.
  • Note security and storage conditions required for theft cover.
  • Compare excesses, liability limits and optional extras like breakdown and legal cover.
  • If you travel abroad, verify permitted countries, day limits and paperwork. 1

Bottom line

Caravan insurance in 2025 is flexible and geared to modern equipment and travel patterns, but cover varies. Read the policy wording, list aftermarket fittings, record pre-existing damage, and ask about agreed-value options and foreign-use rules before you buy.
  1. Confirm typical foreign/European-use day limits, country lists and required post-Brexit documentation for caravan policies with major insurers.

FAQs about Caravan Insurance

Does caravan insurance cover contents and personal items?
Many policies include contents cover up to a set limit for items stored in the caravan. High-value items may need to be declared or insured separately - check policy limits and exclusions.
Can friends or family drive or use my caravan?
Policies typically allow named or household drivers. Some extend permissive use to friends but may impose conditions (age limits, higher excess) or require the driver to meet eligibility criteria - confirm with your insurer.
Is my caravan covered when I travel abroad?
Insurers often provide foreign-use cover, but permitted countries, durations and required paperwork vary. Verify the countries covered, how many days you are allowed abroad, and any documentation needed (e.g., vehicle insurance certificates).
What is the difference between agreed value and market value?
Agreed value means you and the insurer set the payout amount in advance for a total loss. Market value means the insurer pays the current resale value at the time of the claim. Agreed value can offer more certainty for newer or modified caravans.
Should I declare aftermarket fittings and electrical systems?
Yes. Solar panels, upgraded batteries, awnings and fixed entertainment systems often require declaration to be covered fully. Insurers may apply limits or offer endorsements for such fittings.