Quote:
Originally Posted by danc30
Agreed value is what you and the insurer "agree" the value is. With Robbin, send him copies of the large purchases, engine, kit, tranny, and tell him what you plan to do or have already done like paint, mods etc. You and he will then agree on what it should be.
Midwest also automatically raises the agreed value each year for inflation.
If my car is totaled or stolen or something else, and it's a total loss, I get the Agreed value. Not what they think I should get.
Not sure, but I think stated value is what the market will bear at the time of the incident for other like cars.
Stick with agreed value and take Midwest into consideration. Robbin is very easy to work with.
He was in London last year.
Dan
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Actually, "agreed value" and "stated value" are nearly synonymous terms. The type of coverage you're referring to is called "ACV" as stated above. Actual cash value is garbage for classic vehicle because there's a depreciation factor involved and really isnt even offered on any classic car policies that I know of. Both agreed and stated value is where you inform the insurance company how much the vehicle is worth in your opinion and it becomes the value you're given if something should happen.
Actual cash value is what most normal auto policies have, which is where the company gives you what the car is worth minus depreciation for mileage and usage. That's not at all something that applies to a classic car policy. The whole point of a classic car policy is that each vehicle is unique in it's build and parts and it is therefore "stated" or "agreed" that the value is X dollar amount based on the unique modifications and upgrades that each owner decided to use. While sometimes stated value policies can account for depreciation, this is hardly the case for classic vehicles that tend to see an appreciation with age and care of the vehicle.
Show me 5 1967 Cobras and I'll show you 5 extremely unique vehicles that each need their own customised insurance policy. Each owner decides to upgrade their vehicle in different ways and these companies understand that. And yes, they do need a list and valid photos of all modifications in order to properly replace the vehicle should a total loss occur.
I have much knowledge on this and many other insurance related topics, I would be glad to help clear up any confusion. Just feel free to ask me. And when I said that Hagerty gives stated value, that was a misnomer. They offer only agreed value, I just ran a quote for a gentleman with an agreed value policy and zero deductibles and the premium was amazing. Just wanted to apologize for my mistake and to make that correction. Happy hunting, everyone.