Insurance in Jersey

[Ed Rynex, Jr.]

AVAILABILITY of INSURANCE all venues
I am no expert - well hell yes I am - 37 years in the P&C business.
Here is my 2cents on the issue.
Hemmings Motor News has several advertisers who offer collector car insurance nationwide. All of these companies are MGAs (managing general agents) They have fronting contracts(pay to use the insurance companies contract/paper/policy) with the insurance company they "represent". Behind the scene is an off shore(uaually Bermuda) carrier owned and operated by the MGA that carries their risk on a primary basis. Their risk or exposure is then reinsured. The MGAs are in control to the extent allowed by the fronting carrier.
As a result of 9/11 the reinsurance market took a big hit and their losses have found their way back into the primary rate structure. But there has been added to the equation the reluctance of fronting companies to continue in these relationships because of uncertanties of the financial strenth of the MGAs and their(the MGAs) reinsurance treaties. To combat their concerns the insurance companies have tightened the requirements to do business which includes the underwriting standards they impose on the MGAs as well as the cost of the use their paper. This is on top of the increased costs of reinsurance being charged to the MGAs. What does this all mean to us - it equates to tighter underwriting standards(meaning some of us will not qualify for coverage under some programs) and/or the costs of coverage will or has dramatically increased.
You should all become familiar with some of the factors that will effect your chances of obtaining insurance ie. driving record/experience, age of driver(s), value of your vehicle and its horse power and as realestate people say location location location and now even your credit history. Some of these factors you cannot change some you can. Some you can control- be a safe driver. Is it time for that young adult in your home to spread their wings?? it could help your insurability.
Check with the usual speciality car sources for coverage but also consider your current carrier perhaps your agent or broker has an underwriter who may have an appetite for the risk you represent.

As Klayfish points out do not lie or misrepresent information on your application or on any insurance document not only could it effect your coverage but you could be subjected to criminal
prosecution.
On a related insurance issue - auto theft- I have noted over the past year several posts about stolen Cobras. We are a close knit wide spread group. Whether we own a cobra or want to own a cobra at some point we are the victim/customer base of those who would steal a Cobra. We all need to keep our eyes and ears open to prevent the theft of our cars and to help recover stolen Cobras. When you sell, take precautions to get your money and when you buy make sure it is a legitamate title and sale. If it is stolen you do not own it - it will be returned to the rightful owner-you lose your money. Our Cobras are distinctive not just another white VW Jetta in the crowd.
Current insurance situation is not your/our fault. Excuse my ramblings-To much information - Snow, cold and darkness are not good - I should be driving my car.

I am jealous of those of you who are able to drive your cars now. My baby is asleep under its blanket in the garage waiting to be fired to life with the first signs of spring(is the sun out?)
See you all in Carlisle or Columbus or where ever the fair weather takes me. Not a racer or a waxer just a driver.

ERACER