If this has been discussed before, forgive me. I don't have anything to offer on the technical side of Viper things, so I figured I would write what I know about. I see a lot of misinformation about auto insurance in general, and Viper owners seem to be no exception. I am an commercial insurance producer for the 60th largest agency in the USA.
There are a few things to keep in mind when you're insuring a car like a Viper. Keeping the following items in mind when you go out to purchase a policy could save you a lot of headache in the end.
1. Car Valuation. All personal auto policies are written with one of three methods of valuation: Actual Cash Value (ACV), Stated Value/Amount, and Agreed Value/Amount. With ACV, at the time of a loss, the adjuster will assign a value to your car, and barring extreme circumstances, you are stuck with the amount the adjuster assigns. Under a Stated Amount policy, many people believe the value stated on the policy is what the insurance company will pay at time of loss. This is simply untrue. Stated Value policies almost always have wording that allows the insurance company to pay you either the stated amount OR the actual cash value of your vehicle. Bottom line, at the time of a loss, the insurance adjuster assigns a market value to your car and that is the amount you're paid--not the amount stated on the policy. Agreed Amount is the pinnacle of auto insurance valuation. Not many companies will sell Agreed Amount policies, and you will pay a slightly higher premium for Agreed Amount, but unequivocally, in the event of a total loss, an Agreed Amount policy will pay out the exact amount stated on the policy. Agreed Amount policies eliminate the need for GAP coverage as well.
One great thing about an agreed amount policy is that you can also insure aftermarket modifications made to your car for their full dollar value. Many people find it surprising that a run-of-the-mill auto policy does not include their expensive modifications. Personally, I have an '01 GTS with 29K, and I have an Agreed Amount policy for the amount of $78,000. If my car were stolen, I would receive a check for $78,000 ten days later.
2. Claims Process. What's the point of even purchasing insurance if you can never get your car fixed or paid for after an accident? Ask your agent about your specific insurance company's claims process. Many insurance companies have deals with cut-rate repair shops, and in the event of an accident, no matter how major, you do not have the choice with regard to who fixes your car. The worst company about this is Progressive, but they are absolutely not the only ones. Progressive has a distribution network all over the US, and in the event of an accident, Progressive will either deliver your car to the auto shop of their choosing, or they will instruct you on where to take it. Other companies will ask that you get a minimum of three quotes, and they will take one of the two lower prices. In most instances with most carriers, you do not have any say in the matter. On the other hand, there are some really great companies out there that will let you choose who works on the car, regardless of whether or not their quote was the lowest.
3. Driver Schedule. While most Viper owners don't let a lot of people drive their cars, this is important to mention. On many auto policies from cut-rate insurance companies, there will be driver restrictions on the policies. Some only include a scheduled list of drivers, and some have restrictions such as age limits. Information on all regular drivers of your vehicle must be given to your insurance company, and in some cases, your vehicle's insurance is void if an unscheduled driver is operating your car.
4. At The Track. Many of you will know this, but your standard auto policy has exclusions for the physical damage your car sustains while participating in off road racing. This would definitely include drag strips, tracks and road coarses. Some policies will exclude your liability insurance as well, but as a VCA member, you receive special VCA liability insurance while participating in VCA sponsored events. Your VCA membership, however, does not provide any physical damage coverage for your own car, and it does not provide any liability insurance at non-VCA sponsored events.
That about does it for me. I hope someone will find this helpful, and if anyone ever has any questions, feel free to ask.
TC
There are a few things to keep in mind when you're insuring a car like a Viper. Keeping the following items in mind when you go out to purchase a policy could save you a lot of headache in the end.
1. Car Valuation. All personal auto policies are written with one of three methods of valuation: Actual Cash Value (ACV), Stated Value/Amount, and Agreed Value/Amount. With ACV, at the time of a loss, the adjuster will assign a value to your car, and barring extreme circumstances, you are stuck with the amount the adjuster assigns. Under a Stated Amount policy, many people believe the value stated on the policy is what the insurance company will pay at time of loss. This is simply untrue. Stated Value policies almost always have wording that allows the insurance company to pay you either the stated amount OR the actual cash value of your vehicle. Bottom line, at the time of a loss, the insurance adjuster assigns a market value to your car and that is the amount you're paid--not the amount stated on the policy. Agreed Amount is the pinnacle of auto insurance valuation. Not many companies will sell Agreed Amount policies, and you will pay a slightly higher premium for Agreed Amount, but unequivocally, in the event of a total loss, an Agreed Amount policy will pay out the exact amount stated on the policy. Agreed Amount policies eliminate the need for GAP coverage as well.
One great thing about an agreed amount policy is that you can also insure aftermarket modifications made to your car for their full dollar value. Many people find it surprising that a run-of-the-mill auto policy does not include their expensive modifications. Personally, I have an '01 GTS with 29K, and I have an Agreed Amount policy for the amount of $78,000. If my car were stolen, I would receive a check for $78,000 ten days later.
2. Claims Process. What's the point of even purchasing insurance if you can never get your car fixed or paid for after an accident? Ask your agent about your specific insurance company's claims process. Many insurance companies have deals with cut-rate repair shops, and in the event of an accident, no matter how major, you do not have the choice with regard to who fixes your car. The worst company about this is Progressive, but they are absolutely not the only ones. Progressive has a distribution network all over the US, and in the event of an accident, Progressive will either deliver your car to the auto shop of their choosing, or they will instruct you on where to take it. Other companies will ask that you get a minimum of three quotes, and they will take one of the two lower prices. In most instances with most carriers, you do not have any say in the matter. On the other hand, there are some really great companies out there that will let you choose who works on the car, regardless of whether or not their quote was the lowest.
3. Driver Schedule. While most Viper owners don't let a lot of people drive their cars, this is important to mention. On many auto policies from cut-rate insurance companies, there will be driver restrictions on the policies. Some only include a scheduled list of drivers, and some have restrictions such as age limits. Information on all regular drivers of your vehicle must be given to your insurance company, and in some cases, your vehicle's insurance is void if an unscheduled driver is operating your car.
4. At The Track. Many of you will know this, but your standard auto policy has exclusions for the physical damage your car sustains while participating in off road racing. This would definitely include drag strips, tracks and road coarses. Some policies will exclude your liability insurance as well, but as a VCA member, you receive special VCA liability insurance while participating in VCA sponsored events. Your VCA membership, however, does not provide any physical damage coverage for your own car, and it does not provide any liability insurance at non-VCA sponsored events.
That about does it for me. I hope someone will find this helpful, and if anyone ever has any questions, feel free to ask.
TC
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