Anyone have their street 7 insured for more than book value, aka stated value policy? If so,which company are you with?

 

I tried to go with hargarty insurence company but they said the rx7 was'nt collectible enough so they denied me a policy. they don't care about how much money you put into the car or how clean it is. they only insure classic collectibles for stated or said values. good luck.
Jeff

 

u can usually take out a seperate policy for ur car to insure the aftermarketparts...i know i did this for my sound system awhile ago...it can easily be done with performance parts

 

I haven't done it, but I know with Progressive, they ask you the total value of aftermarket parts on your car to be insured.

 

I'm w/ progressive and currently am insured for 13k. Not sure how it works, but I am sure it's costing me an arm and a leg.

 

Really?

That's wierd. There's a local here that has Hagarty on his 7.

 

I have American Family Insurance on all my cars. The FD has a replacement valued at $22K (mods plus base). When do additional mods I let my agent know and we update the policy to reflect the changes. Of course this time of year I only carry comprehensive since it never leaves my garage.

 

Ok, I've done a LOT of research on this topic, so lemme share what I've learned along the way. Hopefully you guys find it helpful

Christian, Jeff prob. tried getting Hagerty a while back. They just began insuring newer (less than 19 years old) modified vehicles. They don't even have a set policy for it yet, so it's completely on an individual basis only. I've been trying to get Hagerty to cover my 7 for 2 years now lol. When I first asked, they didn't offer it at all (prob when Jeff first asked). Then a year later, they said they just began, and were only taking drivers with perfect records (again, since they have no policy so no way to set premiums based on various driving records). Tried again this past summer, and they gave me a quote, took my in-depth application, then sent me a nice rejection letter in the mail lol. Apparently I have a 15 and over on my license that has to disappear. It's from one year ago, and they go back 5 years. So until they revise their policy, I have to wait 4 years for that ticket to disappear before they'll even look at my application again. Really crappy. Also, careful who you list as ppl in your household. I was also rejected because someone ELSE in the household has a reckless ticket on their license - which they said was something they'll NEVER allow. (Reckless in VA = going 20 over...nothing that big lol). And that individual isn't even a driver of the RX-7. They have separate insurance and a separate vehicle. Doesn't make a difference to them though So I'd HIGHLY suggest you make sure your own record is spotless, and don't list anyone else - even if they're not drivers. Keep it simple.

Hagerty does indeed do a stated value policy, which is perfect, because they will NOT appraise your vehicle later on (at the time of an incident). They'll simply pay out what amount you've declared (and supported w/ receipts and photos, of course). This is in SHARP contrast to say, Progressive, State Farm, etc, who SAY they'll offer you a stated value policy, but will CLEARLY state (as a disclaimer) that in the event of an incident, they WILL appraise the vehicle, and will pay accordingly, so they do NOT guarantee that they will pay you the full amount you've agreed upon and are paying for. Isn't that fraud or somethin? lol. It's like they're fooling you, TELLING you so, and you're PAYING them for it. What a crock. So I'd be VERY careful when it comes to regular insurance companies guys. They do NOT guarantee the payout. Can it help some? Sure. But how much is a gamble.

Also note that most regular insurance companies will NOT insure a vehicle in which the motor has been modified in any way shape or form. There are ppl on this forum who have been kicked off of their policy (such as State Farm!!) for modifying their engine (porting). They got a letter in the mail stating that they modified the vehicle from it's original form, which is a breach of contract, and thus dropped the vehicle from their policy. Again, this is modifying the ENGINE (the short block) itself. I'm not talking about intakes, exhausts, etc. Actual changes to the motor. So be careful. And do NOT take what some agent tells you on the phone as golden. For whatever coverage you get, hear it from a Supervisor, and request that it be written, dated, and signed, and mailed to you on an official company letterhead. That way, in the event something does occur, or they drop you for any mods you did, but had previously approved, you're covered. Again, please do NOT take what the agents/reps say over the phone as truth. As the AT&T commercial said, "Put it in writing." (I have personally heard several agents tell me that Progressive - who I'm with - does NOT offer stated value policies, but then a Supervisor told me they do, for example).

Yet another important point is, with Hagerty, you have to own another daily driver (which they prefer to be less than 5 years old...mine's an '84 FB!! lol), and have a separate policy on it. You must always maintain a daily driver under YOUR name, and insurance for it under YOUR name. That's a requirement for them to insure your speciality vehicle - to ensure that you're not daily drivering your speciality vehicle.

Furthermore, Hagerty is ****, and while they do take drivers as young as 18, they have very tight mileage restrictions. Typically, they'd like to see less than 3500 miles a year, IIRC. And they DO require odometer statements in some cases. They can provide you with a bit of leeway for certain trips and events you'd like to take, but you'll have to pre-authorize those miles lol.

Hopefully, within a year, my record will be a lot cleaner (or I'll get another state's drivers license lol) and apply for insurance with Grundy. They offer specialty car insurance just like Hagerty - a guaranteed stated value policy, but require that you're 25 (so yea I have a year to go). The good news is, they have NO mileage or year restrictions!

Oh yea...please note that speciality insurance requires that your vehicle is GARAGED. I don't think they'll insure a vehicle that is not garaged (ie left outside to the elements, vandalism, theft, etc). And that makes sense. So make sure you have the situation necessary to qualify before applying.

Hagerty and Grundy are the only two speciality car insurance companies that I know of who offer coverage nation-wide (as well as internationally, for when you're travelling with the vehicle, but that's not as important), and will cover modern regular production modified vehicles. There are a ton of other specialty car insurance companies out there, but most serve only a very limited region, and the vast majority won't cover a modern vehicle, unless it's a limited production vehicle (Viper, AMG Benz, etc). If anyone knows of any other speciality car insurance companies that will cover modified 7's, please do tell. Here's the websites for Hagerty & Grundy:

http://www.hagerty.com/
http://www.grundy.com/

Lastly, and perhaps the most important point of all: how do I determine the value of my 7? Please understand that these specialty car insurance companies do NOT insure based on market value - aka, how much a car similar to yours would sell for. Because that would mean everyone would only be insuring their 7 for somewhere in the teens. That's not worth all the restrictions and hassle.

These companys insure based on REPLACEMENT value. What does that mean? How much would it take to REPLICATE your car, from scratch? How much does a same year and trim bone stock RX-7 sell for? Then, imagine you took that bone stock RX-7 to a dealership and told them "I want ALL of this done" and handed to them the list of modifications on your 7. They'd charge you for EVERYTHING, right? Parts at list price, hourly labor, any fabrication work, any polish work, paint work, E V E R Y T H I N G. Even if you performed the work yourself. The point is, how much would it cost to do it AGAIN? JUST like your car? Add the cost of the work + the cost of the car, and for most people, you're easily looking at the $40K range.

What I did was, I made a list on Excel of every single modification done to my 7, and broke it down by region (interior, exterior, audio, powertrain, etc). And I have the part in one column, and the list price in another (including shipping), and the labor associated with the install in another. Under this sheet, I have a stack of receipts, proving I purchased the parts (since they only require 4 or so pics, and it would be hard to take pics of EVERY single mod you have on the car...esp. things like a lightened flywheel, which you can't see when it's installed, etc). Yes, many parts on the receipt reflect lower than list price, but again, the receipts aren't used to state cost; merely to prove ownership of the parts. So I can do the work myself, I can get a hookup and get the parts for half off, etc, and STILL, everything would be covered for full replacement value (shop list price, and shop standard hourly labor rate). I think I might have gotten a couple of ya excited by now

So how much does this kind of coverage cost? If you were to insure your 7 for $50K, you'd be looking at $500 - $1000 a YEAR (depending on your driving record). That's it. Yes, you can believe that. The rates are so low because the risk is (or should be) very low - remember, this is a sunday/leisure car, not one you will be driving much at all - and cetainly not tracking or roadracing

Anyway, that's the jist of things. The biggest issue is always going to be your driving record. Get it spotless. Order a copy of it from your DMV, a full copy, and see what violations you have, and what is going to drop off when. Use your best judgement on deciding when is the best time to submit your application, because being initially rejected never helps And remember, it's by violation, not points.

Sorry for the lengthy post, but hopefully you guys found it worthwhile
~Ramy

 

Ive been looking into this was well.. unfortunately I dont have many receipts for the aftermarket parts on my car. Would pictures alone be enough?

 

Receipts are required, AFAIK. How many, I'm sure that's subjective. I'm sure tons of photos will help. But keep the following mind:

- For parts you've purchased via paypal, you can go back and print out the receipts for, no matter what the date of the transaction.

- If you bought a bunch of parts from one or a few vendor(s) (even if it was over time), you can contact the vendor(s), and request a list of all of the parts you're puchased from them, with list prices, on company letterhead. I did that.

- You can also request credit card statements and run through them.

Point being, this isn't a joke/something you can wing. It takes a LOT of work, which is why I have a nice big fat folder full of receipts for every single mod ever done to my car (including ones the car originally came with!).

- The option I hesitated to mention is getting the vehicle appraised. Reason being, most appraisers have NO experience when it comes to appraising newer speciality vehicles, and will give you a "value," not a replacement value. Ie, they'll take all of your mods, and only count about 40% of the total cost, then add it to the base price of a similar stock vehicle. So you essentially lose 60% of the work and parts you've put into your car. But on the flipside, the appraiser certifies the parts are on the car, and the insurance companies definitely accept appraisals.

I would STRONGLY suggest you stay away from appraisers at all costs. Wael El-Dasher had $150,000 in receipts for his RX-7 before he sold it, and it was appraised at only $60,000. That's what? You guessed it...40% of what he put into it. So stick to receipts (there are ALWAYS ways to get receipts, as mentioned above), and take tons of pics. Don't think that 5 receipts will get you by for $50K in mods, but at the same time, you won't need each and every one. The more, the better. And feel free to write up your own receipts for work you performed yourself. Use pictures as much as possible to support parts for which you have no receipts (IF they ask). Basically, come up w/ what you can, and see what THEY say. If they're fine, good. If they want more, offer pics, etc. Again, stay AWAY from appraisals if you can. Use them only as a LAST resort, and know they're practically guaranteed to hurt your car's true value by 60%

~Ramy

PS: I forgot to mention in the other post that only mods that are PERMANENTLY installed on/in the vehicle can be claimed. So if you have a radar detector that you use between cars, you can't claim it. But if you hardwire a radar detector, however, that you CAN claim.

 

wow this is a good write up! hey ramy i'm also looing at a 84 FB right now to make my DD i'll diffenently look into this b/c if i get the fb the FD will become a weekend warrior like most on this forum.

 

Thanks for the info Ramy. I'll let you guys know if I find a company that will do it.

 

i have indiana farm bureau insurance. last year when my car was totalled, they gave me $17,900 for it without seeing a single receipt for it. i didn't have any special type of insurance either, just standard full coverage.

 

NP guys. Glad to help

Spoolin, I'm glad you got that much, but a) I'm pretty sure that's not a nationwide company, so for most FD owners, that won't help them much, and b) I've seen a TON of FDs at the local body shop (the one in between three rotary shops, including the old PFS location, so you can imagine how many FDs have been there for repairs) and all of 'em had regular insurance, and they were either quoted in the $20K+ range, or had their cars appraised and got upper $20K's after totalling the vehicle. I'm not looking to get $20K for my car. That's nothing IMO. I have more than double that in receipts alone. Plus, how hard do you think it is to find a pristine FD nowadays? The run a pretty penny. So that wouldn't leave you with much left over after all is said and done.

I want the security of knowing I'll get every penny I put into the car back, and I'm talking about well over the $40K mark. I can scream and petition until I'm blue in the face, but no regular insurance company will EVER pay out that much for an FD. Hence the necessity of speciality insurance.

 

I just tried to insure with them about 3 months ago and I have a spotless driving record and I am over 40 yrs old. I met all the qualifications the garage the daily driver and everything. and they said the RX7 just is'nt collectable enough for their company. whats up with that? I'll try to call the back this week and see if their story changes.
Thanks for the info
Jeff

 

Jeff, what kind of coverage where you looking for? If you're trying to insure it as a collectable, ie bone stock, yea you're right, they prob. won't take you. They don't consider the FD an "Exotic or Special Interest Vehicle," which I'm guessing they put your relatively stock FD under?

Yes, I see you have some mods, but I'm talking about EXTENSIVE custom work and mods. I mean tens of thousands of dollars in custom work and mods. Slightly or mildly modded vehicles won't work. See, I'm not insuring it as a collectible; I'm insuring it as a Street Rod/Custom Vehicle, because it's HIGHLY modified. I have some parts on my car that are EXTREMELY rare, and VERY expensive, plus a lot of custom work (body, audio, etc). That's the only way they'll offer you coverage for the FD, because otherwise, the FD just isn't rare enough to qualify for speciality insurance if it's not heavily modded And they'll actually ask for proof that it's extensively modded... (ie worth insuring).

 

Hey FDNewbie. thanks for the advice. my car mods are mild, and my exterior is stock nothing wild. I thing this must be the problem when I gave them all the pics of the car ane engine bay because my driving record is spotless. they told me to call them back after the first of the year and see if they have any policy changes and maybe they will accept my car.
Thanks
Jeff

 

Make sure you do try back. They're expanding their services. Also try Grundy.