Before renewing your current policy for another term, it never hurts to look around and see what else is on the market. One possibility that’s caught your eye is known as agreed value car insurance. Could this turn out to be a better form of coverage for your vehicle? Here are some reasons why this may be the case.
Insuring Your Modified or Custom Vehicle
Your car or truck has undergone some modifications. The goal was to make it more comfortable or otherwise more functional in some manner. While you’re happy with the modifications, do they have any impact on the insurance needs?
There’s a good chance that the customization does make a difference. Have the car appraised, and then see what opting for agreed value coverage would involve versus what’s currently in place. You may find that a change is in order.
Enough Protection For Your Classic Vehicle
In your case, the vehicle has achieved classic status. Given the condition and how much effort you put into keeping the car in top shape, the insurance that served you well may not be sufficient. If so, then you need to make some sort of change.
Get the car appraised, and see what sort of coverage you can secure. Opting for agreed value insurance may allow you to have enough money to cover the total costs if the car is totaled in an accident.
Just Right For Your Vintage or Antique Vehicle
You’ve inherited a vehicle that’s classed as an antique. While you may find standard insurance that will do, it may or may not provide all the benefits that come with agreed value car insurance. You would do well to compare the two.
One of the great things about agreed value coverage is that you can periodically approach the provider and discuss increasing the amount of insurance. This is important, since that antique vehicle is likely to increase in value. See this as a way to stay apace with the change in market value, and protect the asset to a greater degree.
A Better Fit For Your Financial Planning
If you’ve never looked into this type of insurance coverage before, the fact that the provider will allow you to insure the car for an amount other than the current market value may come as a surprise. That can come in handy in more ways than one. In fact, it could save a lot of money.
If you choose, there are companies that will work with you to set an amount that’s less than the actual cash value. The result could be that you can lock in lower deductibles and also enjoy a lower premium for the term of the policy. While you are taking a chance on the car being totaled in the aftermath of an accident, the benefits that you gain may be worth it.
Before you have to renew the current policy, look into what this solution has to offer. Compare the plans on all fronts, and project how they would help you if certain events came to pass. It won’t take long to determine if sticking with what you have is the way to go, or if the time has come for something else.