Having trouble finding the right specialty auto insurance

Posted: Wed Oct 24, 2007 08:34 am Post Subject: Considered window shopping !

Hi there...

Now I'd like to ask you one simple question at this juncture!
Its truly interesting to know that you've come across an option that you think is the closest option for you right now. But I truly didn't get the reason why you're considering this one as the lender of the last resort. Did you already go through enough of window shopping!

Regards,
Fatman

Posted: Wed Oct 24, 2007 10:09 am Post Subject:

Agreed value: $25,000

Posted: Wed Oct 24, 2007 10:51 am Post Subject:

Agreed value insurance is available for the car if it qualifies for the collector's car status. Go through the policy leaflet to see the benefits are offered to you. If you have any problem in understanding the lingoes ask the agent to explain it to you.

Posted: Wed Oct 24, 2007 12:13 pm Post Subject:

good morning and welcome!

Where did this come from?

Agreed value: $25,000

Looking for: Agreed Value or some providision to cover my modifications.

with a decent bit of customizations

regular policy with Progressive and up to $5000 in customizations. That doesn't quite reach the value of the car.

Posted: Wed Oct 24, 2007 12:18 pm Post Subject:

One more thing I just thought of, (that most folks don't know) in my state (anyway, and the neighboring ones) a 'stated amount policy' does not mean that you will 'automatcially' get that amount in the event of a total loss, (except a total unrecovered theft). It does mean that you have insured the vehicle for 'up to' that amount. In other words, lets say you get a vehicle insured for a stated amount of 20k, many years go by and the vehicle deteriorates, for whatever reason, been in a barn for years whatever. After inspections/appraisals etc, it is deteremined the ACV of this vehicle is now 5k, (due to deterioration again or whatever) that 5k is what you are getting NOT 20k. This is a common misconception and worth you finding out, and 'reading the small print' before you get a stated amount policy should you chose to go that route.

Posted: Wed Oct 24, 2007 02:39 pm Post Subject:

Hi all, thanks for the replies. Let me try to clarify on these questions:

Fatman, when I say this is my last resort, I'm not implying that I've given up but it seems to be the only feasible option right now. Most collector car insurance companies require a minimum age of 25, low annual mileage, the car absolutely cannot be driven to work or errands and you must have another car to daily drive (I have a motorcycle that I commute 2 miles to my office on).

Paula (et al), regarding the valuation of "$25,000" I'm referring to what the car would actually go for on the market. Now, I most certainly have an appraisal to back that up (getting that in tonight) from an appraiser who specializes in low production, modified Japanese sports cars. $25,000 is not necessarily the value of the sum of the money that was invested in the car. Normally, the appraiser (whom I've used before) provides two valuations in the appraisal: Cost to replicate the exact car as is and market value.

Here's a breakdown of the car's value as I look at it objectively:

The car itself, low mile (53k original miles, mint, original paint) 93 RX7 would typically sell for $15-18k through the private owner market based on my very thorough experience buying and selling in this market. The total amount in modifications is somewhere around $13,551 not including labor (of course). So that $25,000 isn't a reflection of what has been invested into this "collector" car but a reflection of what the car would sell for in its current state on the market (and thus approximately what I'm paying).

Modifications don't typically add value to a car for some cars and some people, but this is all based on demand. The car specifically has the drive train from a 2002 Camaro SS (LS1 engine, T56 transmission) and the necessary kit parts to fit it. This has become a popular thing with these cars, and I think most people in this market would agree that buying a pristine car with the transformation completed for less than the cost to build it yourself, is a no brainer. Hence, the reason for the market value.

Look at 93-97 Toyota Supra Turbo. To the unbeknownst, this is a Toyota, what's the big deal? Nothing, except that the market is readily moving these cars from $10-25k over blue book. All day long. Proving what people are actually willing to pay in these markets is so easy.

Now, back to some other question to help clarify my inquiry:
Regarding ACV, and modifications not increasing this except by allotted amount. This is the whole reason I'm searching for a vehicle insurance company that recognizes the “market” value of the car. The amount it would cost me to turn around and purchase a very similar car in the event of a total loss. This point is obviously true if you are in a policy that is based on ACV, however, this won't fairly put you back into the position you were in before a total loss. Please don't take this the wrong way, but if I wanted “no peace of mind” I would just insure her with a run of the mill insurance company and in the event of a total loss, I'd be subject to ACV and the claims adjuster.

Hopefully this clarifies everything. I think one of the main problems is that there doesn't seem to be a solution for people in this market (in terms of those who want less restrictions on driving their “pride and joy” and for folks under age 25).

Thanks again for the help and looking forward to more responses!

-Daniel

Posted: Wed Oct 24, 2007 02:47 pm Post Subject:

And let me add:

My basic goal here is to find an insurance company who can meet my needs by letting me establish up front what the car is and why it should be insured for a certain amount.

I'm never in this thinking I'll "spring one" on the claims adjuster when they come looking for a car that they assumed was 100% from the factory.

So in other words, I'm looking to pay premiums based on what I have specifically, no need to hide anything from the insurance company.

Hence, a collector car policy, or some policy with provisions to add extra coverage to "fill in this gap".

Thanks,

Daniel

Posted: Thu Oct 25, 2007 12:25 am Post Subject:

Thank you Daniel for the clarification! That really did help A LOT !!

Well, as you set now, (the coverage you now have) is just the regular policy correct? I'd be afraid to take it out of the garage! I'm only half kidding. :wink: I honestly don't know what to tell you Daniel, I'll do some checking around (I'm an adjuster not an agent, but know several) I have had 'street rods' (cars that I showed in street rod rallys) but they were NOT drivers. And therefore were insured as classics. Nor did I have your 'age' problem (but would LOVE to ! :lol: )...Are you a member of a RX or Mazda club? I know many folks that are members of various clubs, (jeep, vet etc) and they generally have a lot of 'speciality' information like this.

I'll do some checking and hopefully some one else will be of more assistance...sorry I couldn't help much......

Posted: Thu Oct 25, 2007 12:35 am Post Subject:

Lori, no problem :)

As for club information, I'm a member of many automotive forums (many of which I joined while owning Supras and other cars along these lines). I've done some very very detailed searching on this topic and what I've found is that some people either get collector car insurance (if they are of age) and plan on driving in a very restricted ways to meet the policy. But most people, leave without answers and don't respond with the choice they ended up making. This leads me to believe that the options for someone like me are slim to none. But, progressive admittadly seems to have the closest solution. You can even so far as stated (maybe even agreed) with progressive, but the premiums are almost 50% higher.

Also, note that I haven't picked the car up yet from the current owner. I fly out on Monday, so trying to clear up the insurance before I'm in it and driving back home.

-Daniel

Posted: Thu Oct 25, 2007 12:46 am Post Subject:

Here's one thought. Do you have a mom or dad, (would have to be someone you could soooooooooo trust) that could be a co-owner on title, thereby getting the policy in their names, and you as a listed driver?