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If I rent out my RV, will a contract protect me legally?
If I rent out my RV, will a contract protect me legally? I will make sure insurance is in place, but will the ...
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Gambit 3:57 am on September 30, 2009
As owner you are liable for the damages caused by the item owned. The only exception is if the item was stolen and you were not negligent in contributing to it being stolen (i.e. leaving a car running on the street with the doors unlocked may mean you are responsible should it be stolen and causes damages). If the person who rents the RV does not have the financial means to cover the damages done to other’s property, no waiver, contract or paper will protect you from being sued (release of liability waivers are generally useless in court).
Normal insurance for an RV does not allow you to use the vehicle for compensation or hire. So if you were planning to use your regular insurance, forget it. Your claim will be denied faster than a Porsche on the Autobahn. Considering I once quoted a fleet policy for a small taxi company (five vehicles) and they could not make it work with five vehicles, I can’t see how you renting only one vehicle can make it worth it with the proper insurance, unless you going to charge huge rates.
mbrcatz17 3:57 am on September 30, 2009
No, it doesn’t work that way. It can help discourage the contract party from suing, but doesn’t PREVENT them from suing. Also, as an example, if they hit someone, the OWNER of the rv (you) can be held liable in a courtroom by a third party, for damages.
Additionally, YOUR insurance is not going to protect you while you rent out your RV. THEIR insurance isn’t going to cover you, the RV owner, if THEY insure the rv on their policy.
I would NOT rent out the RV – too much risk, IMO. I’d flat out sell it.
MTR 3:57 am on September 30, 2009
No. In most states the owner of the vehicle is still responsible for actions of anyone driving it. Worst yet, you may have an exclusion in the policy stating that if it is rented out, there may be no coverage at all.
Better to leave situations like this to the professionals, but, it is possible there may be a group that rents out your rv for you and carries the insurance on them during the time fo rental (similar to time share). Look into that instead.
blb 3:57 am on September 30, 2009
How are you going to get insurance on an RV that you rent out?? You will have to take out a commercial insurance policy in order to get coverage and you are not going to have an easy time finding someone to do this for you. Also, if you own the RV, yes, you will get pulled into any lawsuit as the owner of the RV.
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