New Car Insurance - Value of Car?
Discussion
As per title, what is a new car's value, when you take out your first insurance on the car?
Might seem like a strange question, but I've spent the whole morning on comparison sites and I'm now not sure what a new car's value actually is.
My situation:
Car: New C63 AMG Premium.
Full value of car: £65k
Price I paid through CarWow discount: £59k
Value of vehicle estimated by Insurance Comparison sites: £56k
Market value (highest) of car using Parkers etc: 55k
So when taking out insurance, which of the above car values do I use??
It makes a difference in annual premium of around £300 from highest of the above to the lowest, so quite a difference.
I have always insured new cars at full value of the car, but I wonder if I have been incorrect and over-valuing, therefore paying more than I should.
Thoughts appreciated ...
Might seem like a strange question, but I've spent the whole morning on comparison sites and I'm now not sure what a new car's value actually is.
My situation:
Car: New C63 AMG Premium.
Full value of car: £65k
Price I paid through CarWow discount: £59k
Value of vehicle estimated by Insurance Comparison sites: £56k
Market value (highest) of car using Parkers etc: 55k
So when taking out insurance, which of the above car values do I use??
It makes a difference in annual premium of around £300 from highest of the above to the lowest, so quite a difference.
I have always insured new cars at full value of the car, but I wonder if I have been incorrect and over-valuing, therefore paying more than I should.
Thoughts appreciated ...
NFU Mutual Insurance includes gap insurance for first two years.
“If the car is UK specification model and less than two years old from the date of first registration as new and it is:
a) subject to theft and not recovered
b) damaged so that repairs cost more than 60% of the manufacturer’s new car list price, or
c) damaged so that repairs will cost more than the car’s current value (using Glass’s Guide)
then we will pay the cost of replacing the car with a new car of the same make, model and specification. The original car will then belong to us.
If a new car of the same make, model or specification is not available, we will pay you the amount you paid for your car”
It also says ‘market value not exceeding £75,000’ (although list price was much less than that, and paid price was even lower)
“If the car is UK specification model and less than two years old from the date of first registration as new and it is:
a) subject to theft and not recovered
b) damaged so that repairs cost more than 60% of the manufacturer’s new car list price, or
c) damaged so that repairs will cost more than the car’s current value (using Glass’s Guide)
then we will pay the cost of replacing the car with a new car of the same make, model and specification. The original car will then belong to us.
If a new car of the same make, model or specification is not available, we will pay you the amount you paid for your car”
It also says ‘market value not exceeding £75,000’ (although list price was much less than that, and paid price was even lower)
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