Many newcomers to the caravanning holiday will be insufficiently insured this year, according to one provider.
An unlikely new victim of the credit crunch has emerged - the caravan insurance sector.
Specialist cover provider Saga, which concentrates on the over-50s demographic, said that many caravanners will travel this summer without being fully insured. As a result, the firm is advocating travellers to undertake thorough checks of their cover before they set off.
Figures from Saga show that the credit crunch has boosted the popularity of low-cost caravan holidays. Around a third (32 percent) of over-50s were revealed to be considering going on such a trip, with many of this number passing up on their planned overseas jaunts for being too expensive.
It is these newcomers who are likely to cause the biggest insurance headache for providers - as many will be unaware that caravans are not covered by most car and home insurance policies. For example, the common perception that a caravan counts as part of car cover as the vehicle it is attached to a car is untrue.
Andrew Goodsell, chief executive of Saga Group, commented: "It is important that caravan owners fully understand what their insurance policies cover. Separate caravan insurance is vital when using your caravan, and ensures that even if the holiday takes a turn for the worst, you won't be left out of pocket."
Official statistics reveal that sales of caravans have gone up by up to 15 percent in the UK this year.
