classic car insurance

[John Palmer]

I tried getting Hagrety when I was first insuring my car. They told me no since I drive it when ever I want and they are basically a "show car" insurance company. I was floored by that since they advertise all over the car show tv programs.

So I just called my State Farm guy and got a pay off policy of $8,000. Which for now is a hair above cars worth. I can raise it when I do more. But they wont repair. $12 a month.

It sounds like you purchased a Stated Value (aka Actual Cash Value) policy.  You will be very disappointed if you ever have the need to make a serious claim.  An Agreed Value policy with the amount of $10K, could not be more than $150/year, or about what you now paying.

The key to obtaining an "vintage vehicle" Agreed Value policy is the vehicle must be secured in a lockable garage when parked at your house, and you have to show other "insured late model" vehicles that can be used as daily drivers.  You can still drive your vintage vehicle "whenever you want".

[sprink88]

why would I be dissapointed? I keep checking "replacement" cars, and what I can buy if something should happen to mine. Right now I am comfortable with a $8000 57 Ford replacement. I drive drivers. I dont want anything to do with show cars. \

Or am I missing something?

[RICH MUISE]

I think what they are saying, Chris, is YOU stated the value was 8K, and you may find out in the case of an accident or theft that they think it was worth less and will pay accordingly.... and it won't matter that you paid a premium based on that 8K value.

[sprink88]

I should check it out.   I have asked them multiple times on it when I was signing up.    They said payout would be the amount.   But I don't trust any ins company at all.   

[57tudor]

Hi Guys,

Thought I would chime in on this topic. I'm with Infinity Classic & Collectors Car Ins. Co. I have an agreed value of 75K with full coverage, 2,500 miles per year limit and I do keep in garaged. Runs me $441.00 per year. I only rack up around 800 miles per year going to shows and car hops. My biggest concern is now that the DMV here in California is passing out drivers licenses to illegals that are most likely NOT to be insured and still drive like they own the streets and have no respect for you and your classic car, I must be extra cautious when I'm out in my 57. I'm very happy with Infinity over the other Ins. Co's that I have had in the past.

As some of you may know and have been following Bob Lee's thread here, his car is still in the car hospital, he too is insured by the same company and is very happy with them.

Rick
57 Tudor

[John Palmer]

I should check it out.   I have asked them multiple times on it when I was signing up.    They said payout would be the amount.   But I don't trust any ins company at all.

Chris, I would agree that this topic is very confusing, but it's also very important to fully understand how the insurance company will adjust your claim with a Stated Value (aka ACV) policy.  The value amount you originally stated, and the premium you are now paying will have no bearing in the amount they will reimburse if you experience a total loss.  I would like to think that the insurance agents are not "knowingly" lying, but they do not fully understand the different kinds of policies, and when the different policies are best applied for their customer.

The insurance company will find "in their opinion" a like replacement vehicle listed on CL or eBay for say $1500, and that will be the amount on their settlement check.  The entire process will fall on your shoulders to find "your supporting documentation" as to why your vehicle should have a higher than a $1500 value because it was not completely rusted out like their CL example.  It's a nightmare that can be completely avoided if you choose to buy an Agreed Value policy.  The argument over value is then done "up front" (with an appraisal), and you will not have any costly surprises.

This is the reason that many older (not classic/vintage) daily driver vehicles just insure with liability and property damage.  They drop the comp portion because the vehicle value drops to about two years worth of insurance premiums.

[KYBlueOval]

Chris, John Palmer has said it very well. At the end of the day...........you stated the value, but the insurance company didn't agree to it. The only thing they agreed to do was take your premium based on your valuation. Like I stated earlier...... if your policy says ACV or Actual Cash Value.........you are guaranteed to have problem if you make a claim expecting to be covered up to the $8000.00 you stated. It is just the way it works..........I didn't say it was fair. Another aspect of the stated value insurance that I find extremely irritating is that the willingly take your premium dollars based on your stated value, but will not refund any of the premium dollars if they pay out less than that stated amount. Get an agreed value policy and you'll sleep better.
John

[geraldchainsaw]

i have to add my 2 cents worth.   i just called Hagerty insurance,  if my car was totaled,  whats it worth,  she said,  what i have it insured for!!!!!!!!!!!!!!!!!!!!!!!,  and 2nd,  can i go for a ride when i feel like it,  no shows to go to etc,  just a plain ride,  she said,  of course,.  so maybe i pay a little more,  seems like its worth it to me, i pay around 6 a year,  and i have extra special towing svc,  which i can get a tow for up to 125 miles and also use it on my other cars,  like i said ,   just my 2 cents worth.   jerry

[BP57CUSTOM]

I have had J.C. Taylor since about 1990 on my 65 Mustang , when I got my 57 I added it on. I don't have the invoice in front of me right now but it is approx. $150. each per year for $15k each ,it includes towing. I am required to keep in a lockable garage and not use as a daily driver. I had a claim on the Mustang once when a tree limb fell on it. I was satisfied with the settlement I got to repair it. So I am staying with them.
Barry