Steve, i think your information is correct on the "stated value". As with
any type of insurance, no company is going to pay you more than the product
was worth when destroyed. It seems that it is up to us to be sure that we
document value periodically so as to have evidence in case of an accident or
theft.
>From the insurance company's point of view I can understand it. If a car has
rusted out or fallen apart or been dented up they don't want to pay full
price. If they always paid the full stated price there would be too much
temptation for people to arrange to have their $5,000 Tiger stolen or burned
out to collect the $15,000 stated value. So, it all seems to come back to us
being dillegent and watching our investment and somehow documenting its value
every few years.
This is pretty much the same method that is used for insurance on commercial
real estate, except that the insurance company reviews the value every few
years and you hash it out with them when the policy renews if you disagree on
their value. Mark
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