State Farm Rejects Mail Forwarding Addresses for RV Insurance Policies

[SMR]

I read on another forum about State Farm canceling insurance if you use a mail forwarding service. I reached out to my insurance agent and this is the response.
I'll be shopping insurance next week.

"State Farm is no longer accepting mail forwarding address to be utilized as a resident address for insurance policies. Right now the larger mail forwarding company addresses are being flagged. I have not received a notice about yours as of yet. When I do receive a notice, I will reach out to make you aware so we can make any necessary updates. State Farm is allowing for insureds to provide a physical South Dakota location address to use on the policies. The location address can be a family member, friend, etc in South Dakota. Your mailing address can remain unchanged, this is just simply the location address that is used to help calculate auto premiums. If you have a South Dakota location address to use, please feel free to email that to me so that I can update your policies. If you have any questions, feel free to let me know."

 

[Jackiemac]

Its becoming increasingly difficult to do things if you don't have a physical address. This seems very unfair to people who travel full time.

 

[Oldgator73]

When we fulltimed we had our mail sent to my parents address. I called the once a week from a pay phone, this was before cell phones, to see if received anything important.

 

[Gary RV_Wizard]

Its becoming increasingly difficult to do things if you don't have a physical address. This seems very unfair to people who travel full time.

To be sure, it's a complication for people without any fixed address, but (as is often the case) it's a restriction intended to reduce fraud. In this case, people using alternate addresses simply to get lower premiums. Regulations like this inevitably inconvenience people outside of the statistical norm in the attempt to make things better for the majority.

If there is no friend or relative with an address you can use, I suggest an arrangement with an attorney's office or a bank's trust dept to act as your legal address. A formal arrangement like that has the air of legitimacy and is unlikely to be challenged.

 

[SMR]

I like that idea Gary.
I'm going to get a quote from Progressive this week. Worst case is I can use my MIL's address in Little Rock, we will be spend 3 to 4 months a year there for several years.

 

[garyb1st]

Auto insurance which includes motorized vehicles licensed for street use is rated based on the garaging location of the vehicle. Rates vary significantly from location to location. The insurance company wants to make sure they are getting an appropriate premium for the risk based on the actual garage location.

This is obviously an issue for full-timers. As mentioned, a company like Progressive, that specializes in RV insurance would likely have addressed this issue and may have a solution. Also look for an insurance agency that specializes in RV insurance. They likely have also addressed the issue and have a solution.

I wouldn't consider this fraud and unless the policy contains specific language addressing the issue with an exclusion for the misrepresentation of facts, which is very unlikely, coverage would apply to any loss. But a notice of cancellation would likely follow in the event of a claim. A cancellation from one company could likely increase the difficulty of finding another insurance company and higher premiums would possibly apply. I recommend any full-timer make sure this issue is addressed when buying insurance.

 

[RV_Lee122]

Try Roamly RV insurance

 

[Gary RV_Wizard]

I wouldn't consider this fraud and unless the policy contains specific language addressing the issue with an exclusion for the misrepresentation of facts,

Fulltime traveling RVers aren't the target of this sort of restriction because they aren't making a fraudulent claim. They really do not have a "principal garage". But a snowbird RVer might if they summer in a northern clime, e.g. New England and winter in South Texas but use a South Dakota address for the RV insurance. That snowbird does in fact have a "principal garage" area but it's is NOT in SD. But I think garyb1st is correct that in that case it would only result in a cancellation if it came to light. Intent matters. But somebody who lives and travels in a high-priced insurance region but uses a SD address to "beat the system" and obtain a reduced rate is knowingly committing fraud on the insurer. That's the sort of thing that insurers will take action to prevent.

 

[Jackiemac]

When we call to put our stuff into storage they ask for the address where it will be stored.

I'm guessing that folks might choose to store in different places, especially if trying to see every state.

 

[Trivet]

I'll be shopping insurance next week.

Last I heard, State Farm has never offered fulltimer insurance, and if that's still true, they're doing you a favor by making you get other insurance.

Can you confirm that what you have from State Farm includes the coverage that fulltimers must buy that people who own or rent homes have through their homeowner's or renter's insurance? It should be listed on your breakdown as "fulltimer liability" or something like that. If it's there, what is the premium?

And if it's not, then you don't have any coverage for things like people falling on your RV steps. And even if you have an umbrella policy, you still wouldn't be covered for that because umbrellas only increase the coverage and don't create coverage where there is none.

 

[Gary RV_Wizard]

Last I heard, State Farm has never offered fulltimer insurance, and if that's still true, they're doing you a favor by making you get other insurance.

To the best of my knowledge there is no standard insurance policy type called "fulltimer". Some insurers use it to distinguish an active-use time period above a certain number of nights on the road, e.g. more than 100 or 120. Others use that label when they add campsite or personal liability to the package. Nor should fulltimer coverage be conflated with having the RV laid up in storage or not.

I believe that a State Farm RV policy can be written to cover full time use, i.e. 365 days/year, though the base policy is typically less.

 

[Trivet]

I believe that a State Farm RV policy can be written to cover full time use, i.e. 365 days/year, though the base policy is typically less.

But does it include a unique element of a "fulltimer" policy, i.e. the personal liability coverage that people usually have through homeowner/renter insurance, but not through vehicle insurance (car/RV)? If not, then it's introducing exposure to someone who is living in their RV fulltime, without a dwelling that they insure as an owner or renter.

The bottom line is don't rely on the label, and don't rely on what someone says it covers. Look for a line item, with a separate premium, for fulltimer liability.

As I said, last I heard State Farm doesn't offer that. Geico used to not offer it, but apparently does now. That didn't stop them from, several years ago, insisting that what they did sell was appropriate for me because it covered the RV 365 days a year, even when I repeatedly pointed out that I needed personal liability because I didn't have it through a homeowners or renters policy.

And the only reason I even noticed that it didn't have it was because I keep a spreadsheet of my insurance breakdowns, and when I went to fill in the cell for fulltimer liability, there wasn't a number on the breakdown Geico sent me (and I had to fight for that--apparently most people just get a total and act based on that). It hadn't occurred to me that what they were quoting didn't include all the coverage I needed.

 

[markandkim]

USAA wil shut you off too.

 

[Trivet]

USAA wil shut you off too.

I'm not sure what "shut you off" means, but it's my understanding that USAA farms out its RV insurance to Progressive. (It's been many years since I checked, and Progressive through USAA was significantly more than Progressive through the independent broker I ended up using.)

Is Progressive not allowing people to use a mail forwarding address? That would be troubling because Progressive is one of the major players in the fulltimer RV insurance field.

One reason I've always used a broker that specializes in fulltimer insurance is that they understand what it means to be a fulltimer, and that the garaging address is a complete fiction for traveling fulltimers.

 

[Gary RV_Wizard]

But does it include a unique element of a "fulltimer" policy, i.e. the personal liability coverage that people usually have through homeowner/renter insurance, but not through vehicle insurance (car/RV)? If not, then it's introducing exposure to someone who is living in their RV fulltime, without a dwelling that they insure as an owner or renter.

I don't know the answer to that. I merely point out that personal liability is an optional coverage and that there is no insurance industry standard offering named "fulltimer", with or without some extra personal liability coverage. You are assuming that every "fulltimer" lacks personal liability coverage and every "short-timer" already has it, but neither of those is universal.

But your point is well taken. Any RVer is vulnerable to accidents while "on the road" and perhaps especially in and around campsites. Your vehicle liability ends when you park, so if you don't have some form of personal liability insurance, you should consider adding it to your portfolio. Home owner policies near always have it, and often renter policies as well. So-called "umbrella liability" coverage may be included in business or professional insurance. Standalone CPL (Comprehensive Personal Liability" is available from various insurers too, but maybe not from common names like Progressive or Allstate.

 

[Trivet]

You are assuming that every "fulltimer" lacks personal liability coverage and every "short-timer" already has it, but neither of those is universal.

I don't assume they don't have it, but I'm operating on the knowledge that personal liability coverage is generally part of a homeowner or renter policy, and fulltimers by definition don't live anywhere other than their RV, so they won't have a homeowner or renter policy.

I just know that Geico was trying its best to sell me something that would have left me exposed, and I'm glad I had my spreadsheet to tip me off what they were selling me was not a direct substitute for the policy I had from another company. Even I didn't realize it when talking to them, and I'm obviously aware of the differences.

And I'm curious about whether State Farm includes personal liability coverage in their RV policies for fulltimers. As I said, a few years back they didn't. Maybe that's changed, or maybe people are getting the kind of policy Geico was going to sell me, which isn't what a person who lives only in an RV with no other dwelling needs unless they somehow have personal liability coverage from another source.

So-called "umbrella liability" coverage may be included in business or professional insurance.

I'm familiar with umbrella policies, but not "umbrella liability" coverage. What is it?

 

[Ken & Sheila]

Progressive has always offered Full-timers an option to add personal liability. We carried that for many years and as I remember it wasn't expensive.
ken

 

[Joezeppy]

I'm familiar with umbrella policies, but not "umbrella liability" coverage. What is it?

Same thing - just terminology. By definition, an umbrella is a liability policy.

 

[Trivet]

Same thing - just terminology. By definition, an umbrella is a liability policy.

An umbrella increases existing insurance coverage/policy limits, but isn't its own coverage. (Except sometimes for slander or false arrest, but that's not what we're talking about here.)

If you're a fulltimer who doesn't have personal liability coverage (common, because people usually have it through homeowner or renter policies), an umbrella isn't going to "create" that coverage. All the umbrella does is increase your policy limit on insurance you have.

That's why to get an umbrella policy, you're required to carry a pretty hefty amount of underlying insurance. So you can't just have $30,000 in auto liability coverage and buy an umbrella policy that will increase your coverage to $1,000,000.

And if you let your auto insurance lapse and cause an accident, the umbrella policy won't cover any claims against you.

In fact, in some states an umbrella doesn't apply to uninsured motorist coverage you do have, and you have to specifically buy (and pay more for) an umbrella that does increase your limits on uninsured motorist coverage.

But back to the original question: Does State Farm sell policies that fully protect a fulltime RVer who doesn't have personal liability coverage because they used to have it through their homeowner or renter policy, but no long have a dwelling to insure?

I don't know why State Farm is coming down on mail service people, but it does indicate to me that they insure a lot of fulltimers, and those fulltimers may not have and may not know they should have personal liability coverage with the RV insurance.

 

[garyb1st]

An umbrella increases existing insurance coverage/policy limits, but isn't its own coverage. (Except sometimes for slander or false arrest, but that's not what we're talking about here.)

Are you a licensed insurance agent or broker? Your comments suggest you have a background in insurance. Just curious since I believe some of the comments made in this thread are misleading.

Example, Excess Liability insurance and Personal Umbrella Liability Insurance are similar but not the same policies. The Excess Liability policy provides additional liability coverage beyond the limits of the auto and homeowners policy. A Personal Umbrella Liability policy also includes those, but includes coverage after a minor deductible for things not covered by the basic auto or homeowners policy. By way of example, my Personal Umbrella Liability policy covers claims for $1,000,000 over my auto and homeowners limits both of which covers claims up to $500,000. It also covers $1,000,000 over a nominal $250 deductible for claims not covered by my auto or homeowners policies.

I have not seen the Progressive Full Timers insurance coverage. However, I have to believe it is based on a standard Comprehensive Personal Liability policy which is exactly what every homeowners and condo owners policy includes. If it does not, then there is a significant gap in protection.

Example, the coverage as described by Progressive advertisements says it covers claims occurring in or near the the RV. If so, that would suggest they do not cover claims arising out of personal activities away from the RV. For example, accidentally shooting someone while hunting. While I would expect that the Progressive policy would cover such an incident, I would want to make sure.