Insurance for your collector Cadillac in your state

[Greg Powers]

I know we've talked about insurance in the past but I just received a bit of information and would like to hear from others on the subject. In North Carolina if you insure your collector car with your regular insurance carrier at an agreed upon value you pay premiums based upon that value, That seems logical. The problem comes in if said vehicle is stolen or total loss, the insurer will pay the policy holder the agreed value or less depending on insurance company's appraised value at the time of the claim. So let me see if I understand this right, you base the premium I pay upon the agreed upon value and if something happens, the insurance company determines the value of the vehicle at that time not the necessarily the agreed upon value. I'm not a legal scholar but doesn't this smell a little fishy?

[Scot Minesinger]

Greg,

If you choose a top consumer reports type insurer, such as Erie for example (that is who I use) you should be good.  Go with a bargain brand insurer, and you are likely to get what you pay for.  The big risk is liability, not loss of vehicle value for most collectors (say for a Cadillac worth 40k or less).  Collector car insurance companies restrict use, and I want to drive mine wherever I want whenever I want.  To the collector using their car for 500 miles or less every year and only to car shows, probably collector insurance is fine. 

My neighbor just got rear ended and there was minimal damage to the car, however she suffered soft tissue damage and is likely to collect past 100k - this is why good insurance is so critical.

I'm interested in castistophic (spell check would not fix this) protection.  10k loss will wreck my weekend, but not my life.  Two million dollar loss because I injured a Senator's sun with my Caddy driving it out to dinner - that is why I need such good insurance.

[Mike Josephic CLC #3877]

Hi Greg:

For sake of clarification -- did you mean "Agreed
Value" or "Stated Value".  They are two very
different things.

Most all regular insurance companies stick with
agreed value.  It is meaningless when time comes
to pay for your totaled car.  You "agree", for example,
that the car is worth $25k and surprise, it's totaled
and they come up with $10k based on the "cash
value". They screw you over and it's perfectly legit.

A car collector company like Hagarty, for example,
uses stated value.  You insure for $200k and if it's
hit by a meteor from Pluto and totaled they cut you
a check for $200k.

Big difference.  For additional info:
https://www.thebalance.com/what-is-stated-value-insurance-527189

Mike

[76eldo]

Anyone that has a "collector car" and also has a daily driver needs to insure with Hagerty, Grundy, or a similar company that only does collector cars. They understand the hobby, they have the agreed value concept AND if you have a claim there is no deductible. Couple that with much lower rates and I just don't understand why anyone would put their collector car on a regular policy.

[Jim Miller]

Scot, if you are concerned about the catastrophic loss, layer a liability umbrella on top of your base policy. I found Hagerty is best for my '41, Westfield best for my regular cars and house, and Travelers is best for my 50 year old wooden boat. I have a $2 million umbrella on top of these. It's not that expensive. 

[Scot Minesinger]

Jim,

I have the umbrella policy already, but never considered it to go with classics insured by another carrier - I will have to check that out.  The rate paid for each of my classics is low.  I have three drivers and six cars, so adding even a new 40k car driven 15k miles a year is only an extra $300 per year.  I'm kind of an insurance nut, need super good coverage to sleep at night.

[David Greenburg]

It may vary from company to company, but I have an umbrella policy with one company that insures my daily drivers, and it is layered over my collector car policy with Hagerty and my homeowners policy with a third company. Took a couple of phone calls to get the relationships ironed out,but as long as the other policies have the minimum coverage levels required by the umbrella carrier, it is not a problem.  Your results may vary by company and state.

[Cape Cod Fleetwood]

Massachusetts here... Hagerty for The Ark, 7K stated value, $170 per year. Drive it like a show/hobby car ergo no trips to the grocery store, Home Cheapo or for business. Only for cruises, events, mntx, etc. I'm OK with that. LOVE the unlimited 15 mile tows.

AAA for my daily driver, insured against all morons I share the roads with, $710.
AAA gold road/tow plan, $85. Pays for itself with 1 >100 mile tow of which you get 4.

Universal Property and Casualty (FL) for my house, which is insured for nuclear attack, $1200
Also FEMA flood policy, $400 (optional, not mandated)
If you own a house, and its attached to land, and you don't live at the peak of a mountain or in the desert,
you need a FEMA flood policy.

\m/
Laurie

[dochawk]

You insure for $200k and if it's
hit by a meteor from Pluto and totaled they cut you
a check for $200k.

Damned plutonian.  I *knew* they were going to retaliate for taking away their designation as a planet . . . 

I have Hagerty for not much.  Something like $110 for $300k/$300k liability, zero deductible, extended towing, and $8k or $10k value.  They even sent me a message two renewals ago that the type had gone up in value, and suggesting/pre-approving a $2k boost in coverage.

As an intermediate option for something you want to drive a lot, but need more coverage, Safeco of all places has it.  I had my '72 insured with them for several months on a restricted policy, as Hagerty wouldn't touch it without a picture of it in my garage--which meant replacing the garage door . . .

Oh, and Hagerty now has agents.  I found one while driving for Mecum.  It took her a bit of negotiation  with them (she was there to drive, too), as she was in a full business suit and heels, but she got to drive a couple.

hawk

p.s. The driving was through my mustang club, which was contacted by Mecum.  They even *paid* us to drive them!  I think we got $5.50 car (OK, about minimum wage) with a choice of a check or a charitable contribution.  We had a heck of a Christmas party on it, and gave a huge check to St. Jude's Ranch.

[kevinanderson]

Don't know if this is the right place to post this or not. But  since an insurance post and everyone's satisfaction with Hagerty, understand your policy coverage clearly.  My policy, and probably everyone else's,  has a clause for animal damage. Or should I say exclusion. I ASSUMED it was for rodent damage. NOT. I had a raccoon get into my building, crawl under the car cover and tear through the fabric roof of my 35 Ford 5 window coupe. Go through the headliner in two places. Tear through the seat fabric. Get the glove box open and make holes in the liner. Pull keys out of ignition. Pull out and chew cigarette lighter. Get into trunk through the space between seat back cushion and package shelf and and rip trunk up. And deficate and piss all over. There was no food, mouse poison or water in the building for the very fact it would possibly draw any animals. This car wasn't perfect but damn nice 40k mile car. Been in family before I was born and im 60. Thank goodness I had it covered. NOT. Didn't get a sorry, kma  or a ts . A phone call declining covergae and
a certified letter denying claim.

[Mike Josephic CLC #3877]

My policy with Hagerty has an exclusion for "damage
by insects, vermin, mold..."

Damage by "animals" is covered under collision, such
as being in an accident with a deer -- quite common
in PA.

Mike

[slowpoke17]

Anyone that has a "collector car" and also has a daily driver needs to insure with Hagerty, Grundy, or a similar company that only does collector cars. They understand the hobby, they have the agreed value concept AND if you have a claim there is no deductible. Couple that with much lower rates and I just don't understand why anyone would put their collector car on a regular policy.

One thing I found out when I was renewing my Deville coverage with Hagerty is they will also insure another collector type car for stated a stated amount. Even though it's not antique status they realize it will get limited use and will be stored for 5-6 months up in this area. They allow more than enough miles to be driven for the year, I typically put under 2k miles on it so I was good with that. I added my 2001 Corvette to the policy and both cars cost me under $700 for the year. Regular insurance on the Vette alone would have been around $1100 through Commerce.

In Mass. they finally allowed insurers to be competitive several years ago. I shopped around for my other two cars and saved another $700 switching to Geico from Commerce with the same coverage.

[henrywilson]

Guys, thank you for your comments. I had problems with my previous insurance, so I decided to change the insurance company and I am just studying information about insurance to choose the best option. Today I spoke with the insurer and he said that the price of insurance increases because of the owners of expensive cars. Just imagine if you crash into one of these $ 200k supercars, they'll go after your house to pay for its repairs. Therefore, I am interested in full insurance and getting a blanket policy. Here https://lifeinsurancehelpdesk.com/life-insurance-buyers-guide/ I found a good insurance guide, but if you have any recommendations, I would appreciate any advice.

[walt chomosh #23510]

Hi guys......I don't have any stock in Hagerty but will comment that when my floor jack handle slipped and dented my trunk lid they had no problem with paying for the repairs....uncommon today....walt...tulsa,ok

[jyinger]

Hagerty.

I have six collector Cadillacs:  1949 (4), 1952 Fleetwood, 1958 Eldorado Brougham

I also have 11 other collector cars.  All of these are insured by Hagerty.

I have had three claims, over the years.  And they are absolutely great.  Paid for everything, no hassle.

Jon Yinger   CLC 26643

[stevehayes]

Hey, if I am right it depends on your insurance type. There are insurances made to cover the cost of your entire car if something happens, there are insurances that will cover only a half of it, and there are also insurances that will cover the cost of the entire car at the moment it was new. Well, of course, this insurance is a bit pricey, but it is worth it if something happens with your car. Still, It is like work insurance from https://generalliabilityinsure.com/small-business/plumbing-insurance.html, you can ensure yourself from different specific situations.

[Lexi]

Does anyone know if Hagerty's Cherished Salvage Coverage, if part of your policy, would pay out the sum noted or is there a re-evaluation of value at the time of claim? Clay/Lexi

P.S. A buddy and fellow CLC member has made 3 past claims to Hagerty's for his classic Cadillac cars, one for total loss, (theft), with no problems. He was quite satisfied with how they handled his claims.

[Clewisiii]

You would need to review your insurance with them every year.  They base their pricing on an "agreed value". So when they quote, you agree on the total value they insure you for.  So the price you pay while insured is based on that value.   You cannot come back with a claim and say "Well due to sales at Barrett Jackson the value should now be this.   That might be true. (But probably isn't) But your claim will be based on the value you were paying for.

[Ike]

Grundy  agreed value of $23K,  any total loss would pay out $23k.   $183 a year

[Ike]

By the way,  deductible. $50.00 and I can drive 5K a year, not That I will but I have the flexibility.  It is not a daily driver