jan.eyerman@usa.net writes:
<< Stated value means that they will give you the stated value if the car is
stolen, destroyed, etc. It also includes coverage for spare parts. >>
Jan,
That is true: it is what your Insurance Company states the value of the
insured car is, but it does NOT reflect the actual replacement value of your
car. You lose.
STATED value insurance is what your insurance Company agrees to pay you after
a loss. The comparative example given by my insurance agent (Stark Shelby,
PTC Member and Sunbeam Tiger Vintage racer) follows:
You bought a classic Corvette for $35,000 during the summer and it is wrecked
during the winter. Corvettes are traditionally less expensive to buy during
non-sunny months, so the insurance Company uses this fact to pay you it's
CURRENT replacement value...say $29,500. You paid for stated value coverage.
AGREED value insurance is a contract between you and your Insurance Company
whereas you come to an agreement of your cars' value and you pay the premium
accordingly: if it is damaged or destroyed, there is no question to the value
of your car, and the claim is paid upon the exact number of your agreed
contract.
I have full coverage Haggerty AGREED VALUE Insurance on my Tiger and my
Minx: when I added the Minx to the policy, the premium jumped by (almost) a
whopping $13.00. Haggerty believes you can only drive one car at a time, so
they don't nail you for having numerous Classic cars. Compared to Snake Farm
"stated value" insurance, I saved almost $400 over the first insured period.
Jim Leach Pacific Tiger Club Seattle
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