Re: Insurance question '72 Duster
[Re: AndyF]
#2778465
05/26/20 06:52 PM
05/26/20 06:52 PM
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Joined: Feb 2003
Posts: 16,126 Mesa, Arizona
dart4forte
I Live Here
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I Live Here
Joined: Feb 2003
Posts: 16,126
Mesa, Arizona
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I'm pretty sure I know the answer to this question but I'll ask it anyways since there might be a wrinkle I haven't thought of. My '65 Coronet is insured with State Farm on a stated value collector car type of policy and it is fairly reasonable. I think they charge me about $20 a month. My '72 Duster is also insured with State Farm but it is on a normal policy not a stated value. They won't insure it on a stated value policy since it has a roll bar in it. I think the cost for that policy is around $30 a month but they won't tell me what the market value of the car is. They just say that if it is in an accident they'll repair it up to the market value but they claim that they can't tell me what the number is. So I don't know if it is $1500 or $15,000.
I can get a stated value policy from Haggerty for roughly $40 a month so I'm going to do that. I figure the Haggerty insurance is a much better deal than the State Farm time bomb since I'm almost positive if the Duster got hit they would tell me that the car is only worth a few thousand so here is the check and sorry for your loss. Do I have this figured correctly or am I missing something? Here is a picture of the Duster. Andy, You can’t go wrong with Haggerty. With State Farm you can’t trust them to step to the plate should you have exercise a claim on your stated value policy. What is agreed value insurance? Agreed value — sometimes referred to as “guaranteed value” — is an amount you and your insurance company agree a specified item is worth. Unlike most other coverages, if an item is covered at agreed value, you are guaranteed to receive the full amount stated in the policy in the event of a loss. Typically, you and your insurance company will agree on the value of the item before the policy is even issued. Your items will have to be appraised, proving the value to the insurer. You will be able to find this inside your policy, which should directly state that the insurer will cover the item(s) at the “agreed value.” With agreed value coverage, the insured value of your property doesn’t depreciate, at least not over the course of your policy term. However, you will likely have to undergo an appraisal at the beginning of each new policy term. Along with classic or modified cars, agreed value is a popular option for jewelry. For an added premium, you can have high-value jewelry items replaced at the agreed value listed on your policy. Like other agreed value items, you are likely to have to provide a recent appraisal or bill of sale. What is stated value insurance? State value is commonly mistaken for agreed value, though the two vary dramatically in the extent of their coverage. Most commonly used to provide insurance coverage for classic cars, an item’s stated value is determined by the individual, not the insurance company. While you may even have to provide documentation proving such a value, your insurance company will not necessarily pay this amount in full should you suffer a loss. You may value your classic car at $100,000 (and pay the corresponding stated value rates). However, you are not necessarily entitled to that amount should you suffer a total loss of that vehicle. An underwriter for your insurer will determine the market rate for the car and will pay out accordingly. If they find the market value to be $80,000, you could be looking at a payout substantially less than the value you stated. Your policy will typically indicate it covers items at stated value or at actual cash value, whichever is less. In some cases, the ACV may be higher than the amount you stated. This allows you to insure an item for far less than it is actually worth, bringing your premiums way down in the process. However, should you suffer a loss you would still only get the lowest of the two amounts.
Last edited by dart4forte; 05/26/20 06:58 PM.
“So if it’s on the internet it must be true”
Abe Lincoln
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Re: Insurance question '72 Duster
[Re: AndyF]
#2778529
05/26/20 09:39 PM
05/26/20 09:39 PM
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Joined: Dec 2007
Posts: 19,849 Puttin' on the foil in Charles...
not_a_charger
Mr. Big Shot Moparts Moderator
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Mr. Big Shot Moparts Moderator
Joined: Dec 2007
Posts: 19,849
Puttin' on the foil in Charles...
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You appear to be using the terms Stated Value (also known as Stated Amount) and Agreed Value interchangeably, but they are not at all the same. The info posted above by dartforte is correct. SF does not offer Agreed Value coverage in most states. You should check your policy declarations page for the exact wording of the coverage you have.
Stated Value/Stated Amount can only limit your coverage, since you are ALWAYS owed the LESSER of the Actual Cash Value and the Stated Amount in the event of a total loss. The plus side is that such policies usually come with far fewer restrictions than Agreed Value coverage. Collector car insurance is cheap for a reason...the scope of coverage is more limited than what you get with a regular policy, so the risk is lower. If you would rather have fewer coverage/usage restrictions and decide to go with a Stated Amount, pay a few hundred bucks for an independent, PROFESSIONAL appraisal (not one of those guys that pays for an assigned territory from one of those sham appraisal companies) to support your Stated Amount. In the event of a major claim, it will come in very handy.
Earning every penny of that moderator paycheck.
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Re: Insurance question '72 Duster
[Re: Tom_440]
#2778542
05/26/20 10:29 PM
05/26/20 10:29 PM
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Joined: Jan 2003
Posts: 10,525 Freeport IL USA
poorboy
I Live Here
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I Live Here
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Posts: 10,525
Freeport IL USA
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I wouldn't trust any "regular" car insurance company to cover a collectable car (was not State Farm). My son had to call our state Insurance Commissioner 2 times to collect on the agreed value on a car with a "regular" car insurance company that was covered under their "Classic Car Agreed Value coverage". We also found out that company lowered the Agreed Value of the vehicle every year the policy is in effect. That little fact was in the policy we didn't read. In the end, for some reason, they paid out slightly more then the original Agreed Value, and we were able to keep the car (another hard fought battle). We no longer have any insurance with that company, but I suspect all the "regular" car insurance companies would try to pull the same stunt, given a chance.
My 39 is insured with Hagerty, $385/year for $25,000 coverage, no deductible, and includes towing, and that also includes a higher liability coverage. Gene
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Re: Insurance question '72 Duster
[Re: not_a_charger]
#2778575
05/27/20 01:11 AM
05/27/20 01:11 AM
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Joined: Jan 2003
Posts: 30,989 Oregon
AndyF
OP
I Win
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OP
I Win
Joined: Jan 2003
Posts: 30,989
Oregon
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I'll have to follow up with the State Farm agent. She referred to my policy as stated value but the State Farm website calls it an agreed value policy. I don't have the actual policy handy, just the renewal paperwork which lists the value but doesn't provide much else.
My buddy with the RoadRunner has the same policy that I do with State Farm and they have been very good to him. His car got hit in the front and so far the body shop has billed State Farm about $20,000 for the repairs. Last time I talked to him he said that State Farm has paid the claims without any issues. I don't know what his value was on the car, I guess I could ask him next time I see him.
Last edited by AndyF; 05/27/20 01:14 AM.
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Re: Insurance question '72 Duster
[Re: AndyF]
#2778821
05/27/20 05:44 PM
05/27/20 05:44 PM
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Joined: Jan 2003
Posts: 9,105 Tucson, AZ
Ramrod39
My New Title
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My New Title
Joined: Jan 2003
Posts: 9,105
Tucson, AZ
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I'll have to follow up with the State Farm agent. She referred to my policy as stated value but the State Farm website calls it an agreed value policy. I don't have the actual policy handy, just the renewal paperwork which lists the value but doesn't provide much else. A few years ago I had State Farm for my divers and asked about an agreed value policy through State Farm. I was told they only offered stated value policies for collector cars.
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