Cost of raising the value of your coupe for insurance purposes

[Bmachine]

I've had my car insured with Hagerty since the beginning. I had modestly set its value at $60k. Since its restoration is 90% done and I am actually driving it now, I thought it was time to upgrade its insured value since I have spent considerably more than $60k on it.

So I went online to my Hagerty account and asked to up the value to $100k. The reply was ok, your annual cost will go from $465 to $700. Yikes. But that seems more or less proportional, so, understandable.

Then I get a phone call from them and they need to ask a few questions before putting it in effect:
- Has the engine been changed? Yes
- What is the new horsepower? The engine builder says it's 240 but that has not been verified
- Has it been repainted? Yes
- Did the repaint cost more than $10k? Yes
- Have the wheels been changed? Yes. From 14" to 16"

"Ok, so it looks like the car would now be rated as "Modified". So you new premium will actually be $1,100 a year."
"Whaaaat? The web site said it was going to be $700."
"Yes but if the new horsepower is more than 50hp over stock, and if the new paint is over $10k and if the wheel are now larger, it is a modified, which is more expensive."

Anyone else run into that?

 

[HB Chris]

Never, time to change

 

[Thomas76]

I would be upset and feel the need to shop around for comparison.
I have hagerty and don't currently have a problem with them, but they were recently bought out so it wouldn't surprise me to see new profit tactics.

 

[Bmachine]

Just so I know how this compares, what are people paying for their coupe insurance? (Plz include the company and the insured value)

 

[rsporsche]

totally agree on time to change. i'm with Heacock and have been for some time (which means the insurance is American Modern). there is also Grundy - i've heard good things. right now my coupe is only insured for 60k, it will go up once its back on the road. i pay around 400 / year (i think slightly less)

so now we know, if you have Hagerty, the answer is stock rebuild. the second thing to remember is what the actual cost of the paint is - not the cost to disassemble or reassemble. when i started with Hagerty, i was never asked about the wheels ... that's when you tell them that those were the wheels they originally insured (you didn't change them)

 

[JMinPDX]

That’s no bueno. I have been with Hagerty over 20 years with no issues, but if they did that to me I’d be shopping around.

 

[Bmachine]

To make it simple, what Hagerty is asking me is basically 1% of declared value per year.

 

[Dan Wood]

To make it simple, what Hagerty is asking me is basically 1% of declared value per year.

I am paying close to 1% of declared value for my vehicles through Hagerty.

 

[adawil2002]

Had one BMW with Hagerty & it was too expensive. Had to be flat bedded in Germany & submitted the receipt for the expense. I was informed the $1400 premium for 1 month in Europe didn't cover towing. So after shelling out an additional €1,300 for all the expenses for the repair caused by the shipper. so over the course of 1 year I had spent close to $3,000 for useless insurance. Cancelled Hagerty with a quickness.

 

[bluecoupe30!]

Some story Bo. Seems like an individual Hagerty agent has just set up his own criteria for moving forward with your increase in value. I cannot believe what they would do with the information that the engine has been changed, I mean what does that really mean to them? I saw the escalating values of our beloved Coupes and last year applied to increase my agreed value. I mean, if something happened to my car how would I ever replace it if I still had 2016 values attached to it? Plus, I had just had the floors ground down, treated, painted and many other upgrades. I know I am in another country, but the Hagerty people here just wanted my "drivers abstract" to show that I am not a frequent speeder, and to NOT have been in regular MVAs and so on. Once they received that, they processed my update, and of course billed me for the extra premium. If this were me, I would get some clarification from Hagerty. Best of luck! Mike

 

[Stevehose]

WIth Heacock/American Modern I pay $808 for 100k agreed value, 6k miles per year pleasure driving. It will vary based on your state of course. I switched from Hagerty a few years ago.

 

[Bert Poliakoff]

totally agree on time to change. i'm with Heacock and have been for some time (which means the insurance is American Modern). there is also Grundy - i've heard good things. right now my coupe is only insured for 60k, it will go up once its back on the road. i pay around 400 / year (i think slightly less)

so now we know, if you have Hagerty, the answer is stock rebuild. the second thing to remember is what the actual cost of the paint is - not the cost to disassemble or reassemble. when i started with Hagerty, i was never asked about the wheels ... that's when you tell them that those were the wheels they originally insured (you didn't change them)

Used Grundy, a company that's been around forever, to insure my 635. Haggerty was close to $800 with a declared value of $30K. Than I remembered Grundy. A declared value of $35K no mileage restrictions except can't be used to run errands or to go to store and has to be garaged. Pleasure and event driving is fine. No questions about being modified in anyway. All for $275 a year totally full coverage. They wanted to know my driving record and if I had had any claims within a certain period but I don't remember what it was.

 

[Dick Steinkamp]

First of all, I would not describe a car differently than what I was actually insuring in order to get a lower rate. Besides the fact that it is dishonest, there is a good chance, especially with an expensive car, that the insurance company may investigate the description of the insured car vs the actual car involved in the accident and deny coverage if they differ.

Second, Hagerty is clearly the leader in collector car insurance. Many (most) collector car owners insure with Hagerty without checking alternatives. They have a great reputation. Given that, they are in a position to charge a premium.

Another company to check is American Collectors (especially if you are a USAA member). I'm with them now. One of my cars is a V8 powered MGB. They did not ask if the car was stock or modified. When I got the rate quote I told them the car had a V8 engine in place of the 4 cylinder. The agent said that didn't make any difference.

 

[DTS]

I had “American Modern” for many years without issue.

 

[Sven]

Hagerty. Increased to $175k. They asked no questions about modifications. $1,500 premium

 

[wkohler]

I have been with American Collectors since 2010. I have 8 cars on my policy. I am happy with them but I’ve never had a claim. I got a little pushback on value adding the coupe (which I didn’t expect at all) but that appeared to be an inexperienced agent as the next day it was “oh no problem at all.”

 

[adawil2002]

J.C. Taylor is another collector car insurer. I have been a client since 1994 with the 1914 KisselKar & 1933 Packard Twelve. When we moved from Connecticut to Maine the premium increased by 10% to $480.

Only had 1 claim in 1996 when returning from a show, the Packard Twelves's Right headlight lense was hit by something & broke it. I submitted a claim for a new Right lens which were/are NLA so bought a Left for ~$475 which they paid quickly.

 

[E9Wayne]

I considered Hagerty several years ago after a good friend of mine took an executive level job there. Even with a discount, that insurance was too much. I've been with American Collectors for several years now. My annual premium for $95K assesed value is $600 per year as a show car, like Steve's coverage. A towing package adds another $49 per year. Overall, I've been happy but I've never had to make a claim either.

 

[deQuincey]

WIth Heacock/American Modern I pay $808 for 100k agreed value, 6k miles per year pleasure driving. It will vary based on your state of course. I switched from Hagerty a few years ago.

steve can you live with 6k miles per year ?

 

[Stevehose]

steve can you live with 6k miles per year ?

I've put 60,000 miles on my car in 12 years so that theoretically covers it.