Hail! Trailer is a write off

[Howie3]

After a torrential hailstorm in August, the insurance assessor has the verdict: the trailer is a write-off.
I can either:
A) receive the original value of $16K and give up the trailer
B) receive the salvage value of $12K and keep the trailer (with no insurance, of course)
As it is just the exterior that is pockmarked and otherwise in good condition, I see no reason not to take option B. We will eventually buy something a bit larger but not until we move into a house that has a larger parking pad (we are at max length for storage at home). That is about 5 years away. DW and I haven't found a floor plan we prefer over our existing trailer if we were to replace it anyway. Trailer is 6 years old.

Am I missing anything or does it make the most sense to keep it and invest the salvage value as a downpayment for a replacement in the future?

Howie

[Bionic_Man]

I agree with others who say to keep it.

But I would also try to beat up the insurance company a little to get more than $12k. But that is just me.

[westend]

To allay any fears of significant damage, you could do a pressurized leak test on the rig to make sure there is no water intrusion spots. This isn't a bad idea, even if a user doesn't have any hail damage.

[Peg_Leg]

I kept mine. A couple of years later I bought a 5th wheel. I sold a 18 yr old Dutchmen classic for $2700. I disclosed the damage and sold it in 12 hrs on Craigslist. It was clean and had no other problems. That was 3 yrs ago and they still have it. I warned the guy that I always hit my head on the slide and he was taller than me.

We were ready to take a trip in a week when I bought the 5er. Actually had 4 full days to get ready. Fast switch and we were gone, of course we couldn't find anything in the new rig.

[nomad297]

Howie3 wrote:

Howie3 wrote:

nomad297 wrote:
They totaled it for a reason. I wouldn't want it.

Bruce

I'm not selling it. My options were either replacing it or using it.

Howie

Sorry Bruce. I get what you mean now. If it were you, you wouldn't take the risk of keeping it. Thanks for your input.

Howie

Yup, that's what I meant. I see how it could be taken either way. Sorry wasn't clearer.

Bruce

[katysdad]

The roof could have tiny pinholes that you are not able to see but will let water under the membrane. If you keep it you may want to use one of the latex coatings that are used on older roofs to prevent possible problems. We have a trailer in the shop now, same scenario severe hail storm and insurance has agreed to paint the roof just in case it has unseen damage.

[dadmomh]

Strictly guessing here, but I would think that the insurability would apply only to something like additional damage, maybe theft of the trailer, etc. The trailer is insured with the auto policy when it's being towed. Just sitting, it's on its own. Hail damage should have no effect on liability while on the road. Now would be a good time to contact his insurance agent and also the title office in his state or county.

[opnspaces]

Howie, do you know that you can't insure it or that your current insurer said they won't insure it. It might be worth a few phone calls to find out.

Call your current adjuster and ask them if the $12,000 gives you a salvage title. If so will they insure it for anything at all?

Then depending on the answers call a few insurance companies and say you have a salvage trailer (or not depending on your adjuster) and will they insure it.

[Francesca_Knowl]

Howie3 wrote:

B) receive the salvage value of $12K and keep the trailer (with no insurance, of course)

Howie

I'm with those who believe that this is a good option, but that "no insurance" thing would give me pause.

Does that mean it would be totally uninsurable, even for liability coverage and/or with another company?

[Old-Biscuit]

Take the $12K and the salvaged titled trailer.
Enjoy using it for next 4-5 yrs.
Then sell it or keep using it......you are ahead of the game either way.

[wanderingbob]

Be sure that the state will sell you a tag /plate with the title that you end up with . Every state is different . There are two salvage titles in my state , one of which can not be put on the road !

[NiasWagn]

I was in the same shoes as you recently. I opted for a new trailer for three reasons.
1) I was already eyeballing another trailer that I wanted to get because it had a little more room and the floor plan was a little more towards my needs.
2) I didn't want the hassle of selling a salvaged trailer at any later time.
3) There was damage on the trailer that I would have to fix soon (like the A/C on top and the bathroom vent). It was beat up very well.

[bradyk]

Yes lots of hail damaged units in this area after the nasty hail storms this summer. Lots of hail damaged units still on lots too and from what I have heard some can't get rid of them. Saying that I bet they are not giving them away either.

[n7bsn]

If the damage is as described I'd certainly keep the trailer.

The insurance company looks at cost to repair vrs scraping, and takes which ever is the cheapest route. They look at expenses only, not utility or future value.

The reality is, costs to repair a trailer, as a function of value, is much higher then a car.

[carjocky]

opnspaces wrote:
I'd be on that 12,000 without a hesitation. At that point you have a $4,000 trailer that looks and performs like a $16,000 trailer.

Bingo... What hidden damage could hail cause that you wouldn't want to use this 16k trailer for 4K for 4 years. And that is assuming that you don't get at least 2-4k out of it. Heck it may not cost you a dime to own it for the next 5 years. Keeping it and 12k is a no brainer.

[dadmomh]

I'd be $12,000 ahead on this. You said that the hail damage was not terribly noticeable and that the roof appeared good. So, how much would it cost you to take it to a dealer/service place and have them check it out just to be sure. You could certainly consider investing about $300 or so in an Adco cover for the time you're not using it and definitely during the winter...pretty cheap roof insurance. I have no idea what the cost would be to replace the roof, but could it have some repair done to get you through the time you plan to keep it? It may be that there is not a thing wrong with it. My thought is that insurance was looking at having to replace the entire side that's pock marked and that would be pricey. All windows ok?

I'd hazard a guess that most of us are driving vehicles around with parking lot dings and maybe a few other bumps and bruises and don't feel like we have to dump the vehicle for that reason. If the damage doesn't stick out like a sore thumb, suggest you go for the $12,000 and be happy in the trailer you said you like.