Just Cars Insurance - Full comphrehensive

[johnnieboi]

Hey guys,

The first time i called up my insurance to get my wheels, springs and tints covered it cost me $75 which is fine. My cover was for $26k

The second time i called up to get my netz badge, weathershields and cold air intake and exhaust covered it cost me nothing and the girl said it bumped my full comp up from 26k to 29k. I was happy as larry. I asked why it cost me nothing as compared to the 75 i had to pay last time, she said our policy has changed. So all good news.

Just recently i called up to get my newly installed front strut brace and rear swaybar to get covered which also cost me nothing, so thats all fine.

Okay, so the problem is i just received my current policy and it says the 'Amount Covered: Agreed value $27,750' 'Purchase Price: $28,000' load of bull, i paid 30k for it

All the mods i've done to date are covered in the policy but the last time i called the girl said 29k. So im not happy that its dropped, i gotta find my old policy to confirm this. I'm gonna call them up tomorrow and b!tch about it.

[Ronnyboy]

Quick question, Did the Value drop over a period of weeks,months or after a year?

Cars to depreciate, but it shouldnt have changed after a few weeks, do u pay your premium monthly or yearly?

Let us know how you go tomorrow :)

[johnnieboi]

Quick question, Did the Value drop over a period of weeks,months or after a year?

Cars to depreciate, but it shouldnt have changed after a few weeks, do u pay your premium monthly or yearly?

Let us know how you go tomorrow :)

My zre was covered with Just cars from day 1. I believe at 30k or so.

Has it dropped in all that time? 2yrs? But is it depreciation?? wtf? i thought your cover stays the same regardless? correct me if im wrong?

Premium is paid yearly.

[VF-X]

Agreed value doesn't depreciate.. Market value does. If your policy is on agreed value, the figure should stay around the same.

[DJKOR]

AAMI works like what I am about to say. I would somehow get the feeling that Just Car would be similar. This is for me though. I don't know how your policy was set up.

AAMI covers with an "Agreed Value or Market Value, whichever is higher". This means that at renewal time, they come to an Agreed Value which typically (in my experience anyways... I'm not an expert here) is close to the market value at the time of the renewal. Then if you car is written off, whichever value is higher (in most cases, the Agreed Value unless the car gains value over time) is the amount that is paid.

This can work to an advantage because say that you start your policy in April 2009 for example and they give you an agreed value of $31k (which happens to be around the car's market value at the time). Say that it gets to April 2010 and you get your renewal, they give you a new Agreed Value of $26k (which also happens to be around the same as it's market value), the process then repeats. Now say you write your car off in March 2010. Even though it is close to renewal when they would have then calculated the new Market Value to be around $26k, you would still get the full $31k as that's what the policy stated.*

Kind of get what I'm trying to say?

The value of cover in cases like that will go down over time unless you specifically chose insurance that is by an Agreed Value only. As Ronnyboy mentioned, if it is over a period of months/years, then this is normal. Over a period of weeks, that isn't normal.

* This is exactly how it worked out with my last Aurion. When I wrote it off, the policy renewal was already sent out with a new adjusted Agreed Value. It was only weeks away from renewal, but because I was still on my last cycle of the policy, I was covered for the amount stated on the last notice.

[lateralus]

Agreed value doesn't depreciate.. Market value does. If your policy is on agreed value, the figure should stay around the same.

partially true. agreed value policies actually will depreciate upon renewal ONLY. otherwise it will remain the same for the entire policy period unless an endorsment (or change) is made to the policy.

[johnnieboi]

Yeah thanks guys. just called Just cars, the girl said pretty much the same thing. They alter the amount covered depending on the market value and after each renewal of 12months cover.

My zre market value is 23k :( but agreed value of cover is 27.5k :D

Oh well.

[DJKOR]

Yeah thanks guys. just called Just cars, the girl said pretty much the same thing. They alter the amount covered depending on the market value and after each renewal of 12months cover.

My zre market value is 23k :( but agreed value of cover is 27.5k :D

Oh well.

Realistically though, cars do depreciate and the lower cover amount reflects this. Otherwise if the covered amount didn't go down, you could essentially write your car off years later and get a equivalent new car for an old one.