Publication: IA magazine
Date: April 29, 2019
Brook McGuire, strategy lead for specialty products at Safeco, talks to IA magazine about the impact of tiny homes and the sharing economy on RV insurance.
Especially as Gen Xers and millennials continue to change the demographics of the RVing community, “we’re hearing more and more about the desire for sharing economy solutions,” McGuire says. “RVs lend themselves well to that type of market because they’re often just sitting at home or in a storage lot, depreciating and developing leaks. It’s a growing demand among consumers, and it’s on our list of program updates to make.”
Unlike in the home-sharing space, there are no coverage solutions currently available to cover RV sharing, with the exception of the limited insurance options provided by the sharing companies themselves. That coverage tends to include “property damage for the RV while it’s being rented,” McGuire says, “but I would think an even bigger concern would be around liability. Who provides that liability coverage? The traditional RV policy would not respond because it’s being used commercially at that point. A lot of customers may not have contemplated the potential liability risk there.”
Eventually, McGuire expects RV carriers to follow the lead of homeowners insurers in developing endorsements that cover the commercial exposure of RV sharing—for an additional premium, of course. “On the liability side, it’s a fair amount of risk you’re taking on,” she points out.
Read the full article: Alternative Routes: Tiny Homes, Sharing Economy Drive Change for RV Industry