Car Trailer Insurance

Trailer insurance isn't mandatory in Australia. However, it offers financial protection and peace of mind in case of unexpected incidents and can cover you if you cause damage to someone else’s property or for repairs to your trailer due to a covered event.

Many insurance providers can cover personal belongings and contents stored in your trailer up to a certain amount, though this limit varies from provider to provider. Additional cover can often be purchased if the items you are transporting in your trailer or keeping in your caravan are especially valuable.

While trailer insurance can offer valuable protection, there are exclusions that typically aren’t covered. This includes:

• Not sufficiently securing your caravan or trailer
• Wear and tear or poor maintenance
• Mechanical breakdowns
• Intentional damage
• Illegal activities

Just like car modifications, modifications to your car trailer or caravan may impact the coverage provided by your insurer. Some modifications may be covered, while others may result in reduced or voided coverage – for example, some insurers will only recognise changes made by a professional repairer, not any homemade modifications. It's crucial to inform your insurance provider about any modifications made to your trailer or caravan to ensure they’re aware of the changes. You may wish to check before any modifications are made to find out whether they’re able to be covered by your policy.

If your trailer or caravan is covered under your car insurance policy, it may only be covered while it is attached to your car, meaning it may not be covered against damage and theft if parked at home.

If you've taken out insurance for your trailer or caravan, you should be covered whether you're towing it or it’s parked. However, some insurers may distinguish between the two, so it's important to check your policy to see what you're covered for.