Reducing Agreed Value

[Nabco]

Originally Posted by Corley

I had Hagerty for about 15 or more years, so I am pretty familiar with their policies.

You must be talking to a different person than me at both places as to the driving restrictions. Hagerty said club events blah blah blah, and occasional pleasure driving, such as an occasional dinner out. Ncm said club events, blah blah blah, and "pleasure driving", just not regular transportation. With ncm, you also pick the mileage you think you might use, 1000, 3000, or 10,000. Tell Hagerty you plan on 10000 miles of pleasure driving and see what they say. Or, better yet, read your policy. My Hagerty policy stated only occational pleasure driving was permitted. That doesn't sound more liberal to me, and certainly not unlimited, but your money, your policy. It's really a personal choice.

Also, I liked the $489 with ncm for 10 vehicles vs $897 for only 6 with Hagerty. I have several more project vehicles, which are not covered, and never ever driven. With so many vehicles and projects (nicer name than junkers), I often don't drive some of the covered ones in two or three years anyway, so lots of miles is not really an issue for me.

Of course with either, you must have other conventional insurance on your daily driver(s). All collector insurance requires that.

Thanks for the response, I really want to understand the differences, I’m going to give Hagerty a call today to verify and have them point out to me where in the policy this is covered.....I do have a “policy highlights” document that states.

Flexible Usage
Our custom designed policy doesn’t restrict usage to just parades and car shows; we encourage you to drive your classic just for the fun of it.

Now this isn’t the policy it’s just a marketing piece but I’ll check back in after I talk to them....probably going to reach back out to NCM too.

Thanks again,

Nick

[Nabco]

So I talked to two people at Hagerty today including a supervisor, I went through my policy two times and could not find any reference to “usage”. I asked the people at Hagerty to refer me to the place in the policy that’s talks about usage, the answer was it no longer exists, they DO NOT restrict the use of any classic car they insure, they want people to drive their cars, regardless if it is to a parade, a club event, a car show or just for fun, they used the exact words “just for fun”.

Their logic behind this is that people that own classic cars take better car of these cars then probably anything else they own, if they do not restrict usage that will bring more customers to them....makes perfect sense. The only restriction they have is they will not insure a classic car if it is your only vehicle, you must have another vehicle.....again makes perfect sense.

I got busy this afternoon and didn’t have a chance to call NCM but will do that tomorrow and ask the same question.

[Jeff/Illinois]

Originally Posted by Nabco

Their logic behind this is that people that own classic cars take better car of these cars then probably anything else they own,

That's the way they described it to me also. And, it is very true.

Been awhile since I crawled under the everyday driver Ford Escape to wipe down the underside let alone wax any of it!!

[MBI Houston]

That was a great reply Jeff!

[Nabco]

Update:

Just passing on this information as a source of reference for everyone.

Just spoke to NCM and Hagerty again this morning on allowed usage, I asked them both the exact same question.....this is more geared towards driving my Corvette but would be the same on the Model A.

“I’m playing golf tomorrow at my club, would I be covered if I drove my car to the club and parked it there for 4 hours while I played golf”

NCM - they said I WOULD NOT be covered for that kind of usage.

Hagerty - they said that would fall under their pleasure driving and I would absolutely be covered.

Now I would never drive the Model A to the club to play golf, but I would the Corvette.

The woman I spoke to at Hagerty (also mentioned this in an earlier post) said these usage policies were changed at the beginning of this year so their customers could enjoy their cars more...they even have something new called Seasonal Driving that allows you to use your classic car as a daily driver for the summer, adds about $50 per year to the premium cost.

I asked NCM to send me their policy and it does specifically outline how the car can be used, the new policy from Hagerty does not even have a section on usage in their policy.

So for what it’s worth I really think Hagerty is the way I’m going with both cars.

[Corley]

Sponsored Links (Register now to hide all advertisements)

Nabco Update! After reading your post on your calls to both Hagerty and NCM, I made those same calls myself, and I got VERY different answers! Hagerty said that if you plan to drive your collector car more than 1-2000 miles a year, they don't consider you a good fit, and would likely reject you. I asked about the golfing outing, and the answer was that they don't want you to do that, because golf parking lots are high risk areas. The more questions that I asked, the more restrictions they mentioned. As to a new policy encouraging you to drive your collector car more, there is no such policy, and nothing new as of this year. After about 20 minutes on the phone with them, the guy finally said that NCM is more tolerant to number of miles, and to newer vehicles than they are, but about the same on everything else. They wondered who you talked to, as you seemed to have gotten some wrong answers.

The NCM person also said that golf course parking lots are a high risk place, so not encouraged as a regular thing. Basically exactly the same as Hagerty. All the other restrictions seemed about the same to me, except as mentioned, NCM has higher miles allowance if you specify it, and they are more tolerant to newer vehicles.

So, in the final analysis, all collector car insurance seems to be about the same coverage, price seems to be the biggest difference. One thing that was obvious, Hagerty did not want to be nailed down on specifics and waffled a lot. NCM was more black and white on things.

[Nabco]

Originally Posted by Corley

Nabco Update! After reading your post on your calls to both Hagerty and NCM, I made those same calls myself, and I got VERY different answers! Hagerty said that if you plan to drive your collector car more than 1-2000 miles a year, they don't consider you a good fit, and would likely reject you. I asked about the golfing outing, and the answer was that they don't want you to do that, because golf parking lots are high risk areas. The more questions that I asked, the more restrictions they mentioned. As to a new policy encouraging you to drive your collector car more, there is no such policy, and nothing new as of this year. After about 20 minutes on the phone with them, the guy finally said that NCM is more tolerant to number of miles, and to newer vehicles than they are, but about the same on everything else. They wondered who you talked to, as you seemed to have gotten some wrong answers.

The NCM person also said that golf course parking lots are a high risk place, so not encouraged as a regular thing. Basically exactly the same as Hagerty. All the other restrictions seemed about the same to me, except as mentioned, NCM has higher miles allowance if you specify it, and they are more tolerant to newer vehicles.

So, in the final analysis, all collector car insurance seems to be about the same coverage, price seems to be the biggest difference. One thing that was obvious, Hagerty did not want to be nailed down on specifics and waffled a lot. NCM was more black and white on things.

Ok I guess you’re right and I’m wrong....you win, I’m done 👏

[WHN]

No ones uses J. C. Taylor?

[Jeff/Illinois]

Corley sounds like you called United HealthCare. You get a different story depending upon whom you spoke to and what time of day you called

Yeah you're covered go ahead and have that $20K CAT scan,,, call back next day somebody else says 'no way' unless you want to pay out-of-pocket you're not pre-approved. We won't pay.

Call again and somebody else says 'oh you don't need to be pre-approved. We'll cover it don't worry.'

Doctor's office calls and gets somebody else, 'No we won't pay but will put him on a fast track for pre-approval wait for our call.'

SIX WEEKS later 'OK go ahead.

I'd hate to be in an auto accident and wait 6 weeks for these guys to say 'go ahead'.

Maybe that is what has happened with these insurance companies. Outsourced their work to low paid people who don't know what they are talking about.

[Corley]

I think you hit the nail on the head, it's all in who you talk to and what you ask, plus the phase of the moon. Horribly confusing, and the worst part is, you will never really know until you use it. CRAP I say, just CRAP! I'm also done, and will just keep on keeping on.

[tackle51]

Brent, thanks so much for the explanation of how the insurance works. I've insured one or two drivable antiques since 1979 and had no idea about this.

[tackle51]

Brent, thanks so much for the explanation of how the insurance works. I've insured one or two drivable antiques since 1979 and had no idea about this.

[31Cabriolet68-C]

Do any of those outfits mentioned above deal with the salvage/buy-back problem. I'd want my car back even if some 'adjuster' doesn't know an A from an Accord.....

[Hoop]

When deciding on the AGREED VALUE, keep this example in mind.

Say you have a nice Model A Roadster and cleverly insure it for $10,000 Agreed Value. It's a little less than it may be worth, will save you some premium, but it provides plenty of coverage for fender-benders for sure.

Your long-time family owned A is then caught in a major hurricane. The insurance company declares it a total loss at $10,000.

The A becomes theirs, after paying you the full amount of the coverage, since they have all salvage rights. You have the option of buying it from them, and you tell them you'd like to do that.

They agree and tell you the current bid for the salvage is $13,000 ... remember they have all salvage rights. You have to bid on it, and it'll cost you closer to $14,000 to get your Model A back.

(Actually happened, Hurricane Katrina, Louisiana. "We know a thing or two because we've seen a thing or two.")