How did you handle your modified 911 with insurance values?

[JonT]

I have a fresh 3.6 and 915 transmission in my 1980 SC targa and need to update the value with State Farm - or go to another company.

How do the modifications affect the replacement value? Do I need some type of appraisal?

[Otter74]

I've been insured with State Farm for decades but I live in Illinois and State Farm doesn't do agreed-value insurance in IL, so I put my 911 and other old cars on classic policies with American Collectors. With them, I simply described what my car was like (it's modified, but not as much as yours is) and gave them the value I wanted it insured for. They thought that was a little low and suggested I add $5k. They appear to be working off of a value guide - I also have my BMW E12 insured with them (it's also modified) and they wouldn't go above what I paid for it.

I'd probably start with figuring out what you think the replacement cost would be - e.g. buying another one like it - and giving them that info based on comps.

[Jjm4life]

Agreed value policy with Grundy. Sent them pics and invoices after my engine build. they upped the value of the policy to number I wanted, and my premium reflects it. Super simple. I wouldn’t want my car under normal policy. My one experience with a claim years ago on another car on a collector policy made me realize it was the right move. They paid out no questions asked.

[TeeJayHoward]

I just fooled around with Hagerty's tool until I discovered what the max they would do agreed-value on was without inspecting the car themselves, and then put that in as the value. It ended up being about $20K less than I've spent on the car, but also probably more than the car's current private-party resale value. If a tree falls on my car, it's enough to buy a replacement chassis with at least. Nobody ever got rich off a car hobby.

If you don't have agreed value insurance, expect your insurance company to low-ball you come payout time. Then you need to spend thousands on a lawyer and have every receipt and notarized statements from professionals in the industry to get even a portion of your car's value back... And you still might lose.

"I put $100K into my SC. Full rotisserie restoration, all-new engine, G50 tranny swap, etc."
"Yeah, but you can get a rusted/trashed cabriolet at auction in BFE, GA for $20K, so that's what you're getting from us."

[EC900]

Be sure and maintain photos, and all receipts - every nickel and dime, keep policy up with appreciation values too.
A proactive agent is gold but the fine print (underwriting) is the final say when it comes to payouts, which is why I like to stay away from brokerages when possible that are sales driven and less involved with claim adjusting. You are referred to another rep for that.

For instance - Let’s say the car is stolen and recovered with the specialty engine missing.
A basic replacement book value for a standard 3.0L could be only $10k just to get it back to running condition. It’s good to know and have in writing what they will pay for each component, though the could “total” out the car and payout a flat settlement amount and they keep the title.

Diligence and comparative shopping can be daunting for many reasons and companies know this.
Each has its own little sweetener to attract and retain policyholders and have a low expectation of loyalty to a particular carrier.
It’s not that insurance companies are sharks, but they’re in it for profit not loss.

Collector car insurance…?
Wait until Medicare advantage kicks in.

[PeteKz]

Likewise, no way I would insure a classic car without an agreed value that would pay enough to replace it a reasonably equivalent car. Too many insurance company clauses and shenanigans otherwise. I pay the extra premium for the peace of mind and less hassle if it ever happens.

[gus91326]

You can also get the car appraised and use that for the valuation with the insurance company.

[booyah911]

Hagerty agreed-value policy. Haven't pushed back once on any of the valuations I put on my vehicles and I reevaluate the agreed value yearly. I'm sure they enjoy the extra premiums. Happy to pay for it to avoid future issues.

[plexiform]

I use Hagerty for my 75 911S restomod. I told them how much it needs to be insured for. They request a bunch of pictures of the car and all its mods. They agree to my price. Anytime I add more value to my car I call and request an update to the price. They are reasonable and have never pushed back. They aren't the cheapest insurance out there but they are fair. I've used them for over a decade to insure my 2 911s and 10 motorcycles. I use Liberty Mutual for my daily driving cars.

[Bucketlist]

Originally Posted by booyah911

Hagerty agreed-value policy. Haven't pushed back once on any of the valuations I put on my vehicles and I reevaluate the agreed value yearly. I'm sure they enjoy the extra premiums. Happy to pay for it to avoid future issues.

^^^^ I have always set my own value and the insurance co sets the premium, was this way with Leland West before they bailed and sent their business to Hagerty and has been consistent with them. If I wanted more coverage they would just ask for more money. Currently at 80k for 728 in Texas.

[Showdown]

Haggerty- just declare a value and that’s it, no pushback, no questions.

[thetorch]

Like @plexiform, Hagerty wanted photos to justify the increased value, but agreed to it without an issue.

[Cairo94507]

I have Grudy. I sent them high quality photos of the entire car and asked for a stated value and they agreed. By the way, Grundy was about 30% less than Hagerty.

[Bucketlist]

Originally Posted by Cairo94507

I have Grudy. I sent them high quality photos of the entire car and asked for a stated value and they agreed. By the way, Grundy was about 30% less than Hagerty.

Agreed value vs. stated value insurance
Agreed value insurance sets the maximum coverage at the agreed-on number between the insurance company and the insured person. Stated value insurance covers whichever is lower: the agreed value (which is also sometimes called stated value) or the actual cash value. The actual cash value is the cost to replace the item in its current condition (the depreciated value) and is sometimes called the market value.

[PeteKz]

"Actual cash value" is a very flexible term, in my experience. Insurers will typically use the value that one car dealer sells to another for cash, i.e., "wholesale." As any car valuation guide will show, that is substantially less than the price you would have to pay for a replacement car of equal make model, year, mileage, etc. as an individual retail buyer.

Whatever you choose for insurance, make damn sure you read the fine print and know what you will get if the car is declared a total loss. You want that to be enough to buy a replacement car of like kind in the retail market. Unless you are willing to accept some lower payout for a reduction in premium price.

[trentwat]

The main insurance carriers like State Farm or Allstate won’t cover the replacement cost of a classic car…modified or not…call them…talk directly to an agent…I went through this with Travelers years ago…stated value is the only way I know to ensure you’re covered…as someone mentioned, keep good records…pics, repair receipts, etc.