Insurance company that will do agreed price instead of market value

Triton14

Active Member
#4
I called my insurer AAMI when I got a new renewal & wasn't happy with the value as I had also added things like a bull bar, winch etc so got it bumped up which they were happy to do.
Cost me more in the premium though!!
 

Outrage

4x4 Earth Contributer
#6
You might find AAMI won't insure it for its modified value, although they will cover market value. The more specialised companies will allow an agreed value to go higher.

AAMI stopped covering mine for anything near what had been put into it years ago. Shannons covered it for more for a similar premium. Other companies will go higher again but as others mentioned, you pay for it in premium.
 

Neddysmith

Active Member
#7
Yeah when looking around AAMI would only cover market value not agreed value, their market value has a range depending on KM mods and condition, so if you agree at a value inside that range all good, but from my understanding they wont go outside their range.
 
#8
Yeah when looking around AAMI would only cover market value not agreed value, their market value has a range depending on KM mods and condition, so if you agree at a value inside that range all good, but from my understanding they wont go outside their range.
That's similar to how most insurers deal with Agreed value. They have a max and min, premiums vary accordingly and if you talk directly rather than deal on-line, they often advise on replacement costs of big ticket mods/extras.
 

dno67

Well-Known Member
#9
There have been instences in the past where people have payed for agreed value only to find at a later date making a claim that there agreed value had declined ocording to the insurance company. Just something to keep in mind and probably should be confirmed yearly when renewing.
 

CaptainBanana

Well-Known Member
#10
There have been instences in the past where people have payed for agreed value only to find at a later date making a claim that there agreed value had declined ocording to the insurance company. Just something to keep in mind and probably should be confirmed yearly when renewing.
Usually because the car isn't as nice as the owner had said it was. The thing is when you apply for insurance and get asked if the car has pre existing damage we all say NO even if the car has a dent, scratch, paint peeling, oil leaks, torn seats etc etc etc so when claim time comes your value can be reduced on these grounds. If it's unfair the financial ombudsman can help but if your car is a shit heap well you will probably wear it.
 
#11
I have a policy with a mob got my doors fixed as a kangaroo hoped into them then I read my policy to tell them I have added a long range tank & bugger me there is a $1000.00 excess as well as normal excess .
I ring and say what the hell it's my car I paid for it , doesn't apply to my wife only me o_O
 
#12
There have been instences in the past where people have payed for agreed value only to find at a later date making a claim that there agreed value had declined ocording to the insurance company. Just something to keep in mind and probably should be confirmed yearly when renewing.
This is basically exactly what happened with me last year, thought my vehicle had agreed value, which it had the first year i insured it, then every year since they had been depreciating that agreed value, then i actually had to make a claim it was valued at nearly 4k less then i thought for my 91 dual cab, so instead of getting paid out the 7500, they would only pay out 3500 and then wanted 2500 for me to buy back the wreck, so i ended up getting 1000 in the hand for a written of vehicle.

Partly my fault for not checking EXACTLY the amount EACH year, but really if you agree on a value this should be carried over every year it is insured....
 

Outrage

4x4 Earth Contributer
#14
Yeah, agreed value changes per year by their own agreement. Ultimately they use redbook and look at carsales etc, see what similar vehicles (including modified) sell for. They will keep it higher than what they find but only by so much.

Their reasoning is that 'replacement' value means you can buy a similar vehicle on the market for what they insure it. Not necessarily buying a good condition unmodified one and building it up.
 

dno67

Well-Known Member
#15
Yeah, agreed value changes per year by their own agreement. Ultimately they use redbook and look at carsales etc, see what similar vehicles (including modified) sell for. They will keep it higher than what they find but only by so much.

Their reasoning is that 'replacement' value means you can buy a similar vehicle on the market for what they insure it. Not necessarily buying a good condition unmodified one and building it up.
While this may be true, they don't discount your premium..
There mostly grubs, disguised as legitimate businesses.
 

boobook

Well-Known Member
#16
GIO let me choose the value ..within reason including accessories such as HF radio bull bar, 2 x UHF, suspension, rear drawers. Why is this an issue for some

The only issue is make sure you lower it every year. And get a new competitive quote.
 

silkwood

Active Member
#17
The Banking and Financial Services Royal Commission is uncovering some interesting data. Technically insurance services other than Life Insurance are within the scope of the Commission, however it is doubtful they will get the opportunity to delve into all insurance areas. Perhaps some pressure on local members could, if not include these in the current review, create an appetite for further investigation. Insurance is certainly an area of business which does not effectively service their clients in relation to service, yet obtains great profit from what is, to a large extent, an obligatory purchase.
 
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