RV Replacement Cost

I wanted to quickly post some information regarding Total Loss Replacement Cost and Purchase Price Guarantee coverage. This mostly is going to refer to National Interstate/Triumphe and GMAC clients.

The common explanation for Total Loss Replacement Cost coverage is that if you have a total loss during the first 5 model years, the company will replace the RV with a new one of like kind and quality. OK, that seems simple enough. However, one of my clients who always keeps me on my toes pointed out that if they elect not to replace the RV, then the settlement is based upon Actual Cash Value of the RV at the time of the claim. She is correct and I think this is important to understand.

Likewise, Purchase Price Guarantee coverage which takes over after the 5 model years states that if you have a total loss and replace your RV with one that cost equal to or more than the one you lost then they will give you back the purchase price of the RV that was lost. If you elect not to replace the RV, then once again the settlement is Actual Cash Value.

Finally, let's be sure to understand that 5 model years means current year plus the next 4 model years. For example a 2008 model would have the Total Replacement Coverage for the current model year of 2008, then 2009, 2010, 2011 and through the end of 2012.

Expanding My Horizons.......

Those of you who are my clients or follow the blog understand my committment to the RV business. When we started this agency, my focus was on transferring my existing clients over from the old agency and to continue to develop new clients.

Now we are coming up to our 2 year anniversary!! I have transferred most of my clients and have met many absolutely fantastic new clients. I was so lucky to have many of them stop by for a face to face meeting which is just so much fun!

However, with the national exposure that I have attained through this blog and several other wonderful people passing on my name through different forums, I have also had to turn away some nice full-timers who aren't domiciling in SD at this time. Also, I have had several long-time clients settle down in AZ, TX, and FL and that forced them to change agents since we do not have a license to write insurance in those states.

It's not a difficult process for us to get licensed in other states. All of my companies are willing to jump on board with me to do this. Most of the big RV insurance agencies have licenses in all 50 states. Obviously, if I do start working with other states, I would have to do some heavy national advertising otherwise who would know I even did it??

So in the interest of working smarter and not harder, I want your opinions on this matter. Are you currently a full-timer residing in another state? Do you buy through one of the big RV agencies? Do you feel like a number and would you rather have a genuine business relationship with an agent that you know is going to make sure you are taken care of? In your opinion, what states would be the best option to move into? Do you care where your agent is located as long as you can reach them anytime? Shoot me a comment to help me decide where to go from here.