Car insurance renewal, car value, probably silly question
Discussion
Personal leased car, renewal quote jumped from 570 to near enough £1000. 
Have haggled as far as possible with existing insurer, started out almost £1100. Couple of no fault claims last 5 years.
As we were going through various options to see what reduction question of car value arose.
The declared value was/is 46k which was list at the time, nobody paid that obviously but at the time they were going new for about 36-38k. Clearly have no idea what value is shown on lease company books. Based on the monthly fee, just over £200, guess they got a good deal.
I have ALA Contract Hire plus Gap insurance, which covers any shortfall between insurance company settlement and leasing company early termination amount, ie according to their notes any outstanding rental payments and any other shortfall up to the maximum stated in the schedule.
So the question was what value do we put on the car? Does it genuinely have any effect on premium? So far in the current insurer system appears not much, if any. Yet if you look on Autotrader it's possible to buy exact same vehicle and spec / miles near enough as for 17k. Even a 25 plate with fewer miles for ~19k.
Think with the Gap as backup in case of disaster then covered as insurance only pays out market value regardless so reckon it almost doesn't matter what value I put in as it's not like the agreed value on classic.
Started off on comparison sites and the one tried so far puts in a value very much along with what found on AT. Going to continue playing.
Thoughts?
Aside, it shows how much S/H EVs have dropped, think I'll be looking at used once reached end of lease unless another ridiculous deal like this one available.
Have haggled as far as possible with existing insurer, started out almost £1100. Couple of no fault claims last 5 years.
As we were going through various options to see what reduction question of car value arose.
The declared value was/is 46k which was list at the time, nobody paid that obviously but at the time they were going new for about 36-38k. Clearly have no idea what value is shown on lease company books. Based on the monthly fee, just over £200, guess they got a good deal.
I have ALA Contract Hire plus Gap insurance, which covers any shortfall between insurance company settlement and leasing company early termination amount, ie according to their notes any outstanding rental payments and any other shortfall up to the maximum stated in the schedule.
So the question was what value do we put on the car? Does it genuinely have any effect on premium? So far in the current insurer system appears not much, if any. Yet if you look on Autotrader it's possible to buy exact same vehicle and spec / miles near enough as for 17k. Even a 25 plate with fewer miles for ~19k.
Think with the Gap as backup in case of disaster then covered as insurance only pays out market value regardless so reckon it almost doesn't matter what value I put in as it's not like the agreed value on classic.
Started off on comparison sites and the one tried so far puts in a value very much along with what found on AT. Going to continue playing.
Thoughts?
Aside, it shows how much S/H EVs have dropped, think I'll be looking at used once reached end of lease unless another ridiculous deal like this one available.
Most people will roll over and accept whatever their insurer offers when a car is written off.
The golden ace up our sleeve is the Ombudsman and invoking the Ombudsman will likely cost the Insurer £750 if they are a PAYG member whether you win or not. I've had an insurer offer £2k more on an initial £7k settlement. I produced 3 Autotrader adverts showing no cars priced at £7k within 50 miles, and the only car available was 200 miles away for £9k.
The golden ace up our sleeve is the Ombudsman and invoking the Ombudsman will likely cost the Insurer £750 if they are a PAYG member whether you win or not. I've had an insurer offer £2k more on an initial £7k settlement. I produced 3 Autotrader adverts showing no cars priced at £7k within 50 miles, and the only car available was 200 miles away for £9k.
I assume those 2 non faults weren’t within the last year and there were no other changes so what reason did they give for such a percentage hike given rates have been generally reducing over the past 12 months or so ?
Irrespective market values have always been subject to an interesting debate and it’s not until a total loss occurs does it really start to raise its ugly head.
As Viking has said though a conversation can then usually be had with regard to value as long as you can supply some sort of evidential back up.
Arguing in advance about values will serve no practical purpose.
Obviously and as you say ,agreed value policies save all this hassle but they come at a price if only some additional hassle perhaps in organising although they usually cost more.
They aren’t just for classics although I wouldn’t begin to look at this for a leased car.
I have 5 cars insured under the Chubb masterpiece policy and whatever the agreed value is stated they will pay a further 50% on top in the event of a total loss should the agreed value prove insufficient.
Irrespective market values have always been subject to an interesting debate and it’s not until a total loss occurs does it really start to raise its ugly head.
As Viking has said though a conversation can then usually be had with regard to value as long as you can supply some sort of evidential back up.
Arguing in advance about values will serve no practical purpose.
Obviously and as you say ,agreed value policies save all this hassle but they come at a price if only some additional hassle perhaps in organising although they usually cost more.
They aren’t just for classics although I wouldn’t begin to look at this for a leased car.
I have 5 cars insured under the Chubb masterpiece policy and whatever the agreed value is stated they will pay a further 50% on top in the event of a total loss should the agreed value prove insufficient.
Gassing Station | General Gassing | Top of Page | What's New | My Stuff