Dazzler - What is the specific reason why your caravan insurance won't pay out?
1400KG is clearly not overweight for a V70 - UNLESS Volvo have responded believing your car is a 2.0 petrol OR they have responded believing the caravan was unbraked.
Additionally - even the V50 is rated at being able to tow 1500KG.
Your situation seems to be very odd indeed.
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