<VV> RE: insurance for antique autos

[Dave Keillor]

As you point out, this is a AGREED value policy.  My Hagerty policies
are similar.  Hagerty didn't ask for an appraisal on my cars given that
they were not big-bucks cars.  

When I was less well-informed, I had a STATED value policy from State
Farm.  In this case I would have had to establish the actual cash value
of the car at the time of a loss had State Farms valuation been less
than the stated value in the policy.  This is where an appraisal would
have been appropriate.  Fortunately, I've never had to file a claim on
any of the "toy" cars.

This one is for Ned the deerslayer.  We've hit a couple of deer with the
daily driver (non-Corvair) cars, but the most damage was the raccoon
that took out the radiator and ac condenser on the Alero.  By the time
the temp light came on, the head was warped -- over $3k in repairs.
Another reason why air-cooled Corvairs are superior. :-)

Dave Keillor

-----Original Message-----
From: J R Read_HML [mailto:hmlinc at sbcglobal.net] 
Sent: Friday, March 17, 2006 12:53 PM
To: Dave Keillor; virtualvairs at corvair.org
Subject: Re: insurance for antique autos

Hi Dave,

 My JCT policy says "We will pay the amount shown for each scheduled
auto 
which is AGREED TO BE THE VALUE of  'your covered auto' in case of a
TOTAL 
LOSS.

We will pay for ALL OTHER LOSSES, the lesser of:
1 the actual cash value at the time of loss or damage
2 the amount necessary to repair or replace
3 the amount of insurance"

The CAPS above are mine, not theirs.

They did not ask for an appraisal in advance - merely pictures.  I think

that they do ask for an appraisal in advance if the amount is over a
certain 
threshold - like $10,000 or so.

On a total, the insured has the right "at his option" to purchase the 
salvage from the company.

There is an arbitration provision and either party (insurance Co or
insured 
person) can request appraisal after the loss.  Each gets an appraiser
and 
they submit their findings to an independent "umpire".  So, even on a 
partial loss there are protections (for both) built into the contract.

In practice, I had no problem collecting on a serious claim with them 
several years ago - and an appropriate settlement was completed in a
timely 
and professional manner even though the repair costs got fairly close to
the 
insured amount.

I think the wording above (or something quite similar) is pretty
standard in 
a "specialty" type policy.  I'm not so sure you would find this wording
if 
you were to just add your antique car to your regular "daily driver"
policy. 
But, as you point out, it is something to be aware of when purchasing
the 
policy in the first place.

Attachments (if any) are scanned with anti-virus software.

Later, JR

----- Original Message ----- 
From: "Dave Keillor" <dkeillor at tconcepts.com>
To: <virtualvairs at corvair.org>
Sent: Friday, March 17, 2006 10:45 AM
Subject: RE: <VV> Re: insurance question (not Corvair specific)


Beware of the difference between "agreed" value and "declared" or
"stated" value.  In the former, you and the insurance company have
agreed on the value of the car in advance.  In the case of a total loss,
that's what you'll get.  Hagerty and other reputable collector car
insurance companies sell agreed value insurance.

"Stated" value means YOU have stated or declared the value of your car
to be a certain amount.  However, in the case of a total loss the
insurance company will pay the lesser of: 1) the actual cash value or 2)
the stated amount.  If you have stated amount insurance, be sure you
have a good appraisal to back up any claim.  It seems to me that the
only purpose of stated value insurance is to raise your premium.

Dave Keillor