Heads up re: Good Sam insurance through National General

[SargeW]

This was just reported by a good friend of mine, so first hand experience.  He had recently insured his coach through Good Sams insurance program with National General Insurance Co.  He liked the ability to suspend  his insurance when the coach was stored for a period of time and not in use. My friend lives in Ca. 

Shortly after suspending his policy which removes all coverage's other than comprehensive, he received a letter from the DMV that his MH  registration had been suspended.  Most likely due to the requirement that all vehicles driven in Ca must have liability insurance.  Evidently in Ca, not sure of other states requirements, the insurer is required to notify the DMV when coverage is suspended for any length of time. 

My buddy had to call the DMV and submit a form and pay a small fee to reinstate his vehicle registration, which in turn reinstates his full insurance premium. Just a heads up if you plan on using this type of suspension of coverage clause in your insurance policy. It applies in Ca, and unknown if any other states have the requirement, but it would be a good idea to ask the insurer when buying the policy if that clause applies.

 

[Arch Hoagland]

Yes that's how the law is setup here in California.

I'm surprised his insurance company didn't inform him of that.

 

[HappyWanderer]

Connecticut as well.

 

[kportra]

We used to have that Insurance.  We switched to Geico and they don't allow "storage" but you give them an estimate of the number of days per year that you use your RV and they set their rate accordingly.  It was a slightly lower premium than Good Sam and I don't have to call about storage.

 

[darsben]

I believe it is second hand experience not first hand.

I am not saying the facts you present are  wrong

If it happened to you that would be first hand and reliable; however what you present is second hand experience and not as reliable.

 

[jackiemac]

Happened to us too. $500 fine by Nevada DMV.....  :

We had the option to appeal but Steve thought it would be a hassle and they said you mightget a reduction. We would have had to get others involved because we are in the UK and get stuff notarized so might have cost more than the reduction.

I think we got a warning in our documentation but I didn't read it properly...

First hand and reliable. 

 

[Joezeppy]

We used to have that Insurance.  We switched to Geico and they don't allow "storage" but you give them an estimate of the number of days per year that you use your RV and they set their rate accordingly.  It was a slightly lower premium than Good Sam and I don't have to call about storage.

I have GEICO as well but for trailers it's a different situation. GEICO is rating your physical damage (comprehensive and collision) based on the number of days you use your trailer. With motorhomes the issue is keeping liability coverage on the unit to be in compliance with state regulations. Liability for trailers comes from the vehicle towing it - there is no actual liability charge on the insurance policy.


I believe NY has recently changed to allow winter-time "suspension" of liability coverage for vehicles such as sports cars and motorhomes but I'm not positive.

 

[Arch Hoagland]

I believe it is second hand experience not first hand.

I am not saying the facts you present are  wrong

If it happened to you that would be first hand and reliable; however what you present is second hand experience and not as reliable.

About 40 years ago California made it mandatory to show proof of insurance when you registered a vehicle.

So people would get insurance, register their vehicle, and then cancel the insurance. So the state made it mandatory for the insurance companies to notify DMV when the insurance was cancelled. 

You can register your vehicle as inoperative and then cancel the insurance but you better not get caught driving it on the streets. Hugh fine...

 

[Lou Schneider]

Happened to us too. $500 fine by Nevada DMV..... 

Nevada won't register a vehicle as inoperative and you need valid liability insurance to keep the registration in force.    Their version of CA's non-operative registration is to cancel the registration and have you surrender the plates.  You keep the vehicle's title, then re-register (with proof of insurance) and get new plates if you want to use the vehicle again.

It's legal to keep a vehicle on private property without valid registration, though storage places are free to require current registration for vehicles parked in their facility.

That $500 fine kicks in if you let your insurance lapse by as little as a single day, whether or not the vehicle was actually driven during the lapse.  The very helpful Pahrump DMV agent was careful to point out these fine points of NV law when I registered my CA vehicles there.   

 

[Tom]

[quote author=Arch Hoagland]About 40 years ago California made it mandatory to show proof of insurance when you registered a vehicle.[/quote]

I seem to recall having to submit proof of insurance to the CA DMV with regular registration renewals; The insurance company automatically sent us a "DMV copy" whenever we renewed. Haven't had to submit proof of insurance for many (?) years, and I've wondered what happened to that requirement.

 

[Lou Schneider]

It's now filed electronically with the state, the DMV will tell you to submit proof of insurance at any time if there's a question.

 

[Tom]

Thanks Lou, that explains it.