Well, my insurance renewal came today from Progressive. So I go online to review my coverages, and after looking online and calling an agent, it seems my Jeep, which has a ton of modifications, is not and has not been fully covered, despite talking to an agent a couple of years ago and making sure I got coverage for the mods. Fortunately, nothing has happened, but I'm very disappointed in Flo right now.

So, who would you look at to get full comprehensive insurance coverage on a vehicle, including significant mods?

quote:

Originally posted by IntrepidTraveler:
Well, my insurance renewal came today from Progressive. So I go online to review my coverages, and after looking online and calling an agent, it seems my Jeep, which has a ton of modifications, is not and has not been fully covered, despite talking to an agent a couple of years ago and making sure I got coverage for the mods. Fortunately, nothing has happened, but I'm very disappointed in Flo right now.

So, who would you look at to get full comprehensive insurance coverage on a vehicle, including significant mods?

Most insurance companies will offer a custom parts and equipment endorsement that you will have to pay extra for (based on how much coverage you want).

I can't think of any insurance company that will cover extensive mods with their base coverage. The thought process is, you are paying a premium for a normal Jeep, not for some heavily modified one that has a lot of mods. Hence why custom parts and equipment endorsements exist.

I understand and am willing to pay extra. I thought I was. Progressive doesn't offer what I thought I was buying (and apparently they lowered my coverage!).

20 or so years ago I investigated changing my auto insurance to Geico. They wouldn't insure my unmodified 4 cylinder 1980 CJ-7 at all. And I had a spotless driving record.

Some companies apparently are scared of insuring Jeeps. Perhaps a modified Jeep is even scarier.

quote:

Originally posted by IntrepidTraveler:
I understand and am willing to pay extra. I thought I was. Progressive doesn't offer what I thought I was buying (and apparently they lowered my coverage!).

You might want to look on a Jeep forum or go with a specialty insurance company like Grundy.

quote:

Originally posted by Scurvy:
You might want to look on a Jeep forum or go with a specialty insurance company like Grundy.

Already posted on two Jeep forums. Haven't called Grundy yet. Hagerty and American Collectables said no.

I have State Farm and they have quite a few options that other places do not.
Currently my 2 project vehicles are covered with Theft and Fire protection. Costs me $5 a month I have found no other insurance that has this simple coverage.
Have not looked into modified package stuff but I am presuming they do.

Get an agreed value policy and be happy

I have my Manx covered with American Modern Insurance. The coverage I have is basically what I have into it, Lots of $. My other policy was only going to cover it as an 'old car' Not sure if they cover Jeeps as they are kind of a clasic/collector car insurance but it's got to be worth a phone call.

I work as an Auto Damage Adjuster in the insurance world and I can tell you I see this all the time from vehicle owners who modify their vehicles, especially Jeeps & trucks. I certainly understand your frustration - when you purchase insurance you think your vehicle is covered...all of it, all the time. However, look at it from the insurance company's point of view: the company is taking a risk selling you a policy that it may some day have to pay out the max value of your vehicle. Let's assume a stock Jeep like yours is $20K. That's what the company is planning on and that's what you're paying for. Now assume you put $10K worth of mods on your Jeep but don't tell the insurance company. You're still paying for $20K in coverage but expect the company to pay $30K. It just doesn't work that way.

I can only speak for the company I work for and we cover up to $1K of permanently affixed modifications/add-ons without endorsement. For most people, that's sufficient - wheels, tires (maybe), stereos, etc. If you want more than $1K, you'll have to add endorsements to your policy to cover those specific items that you feel are of significant value that you want covered (aftermarket race engine or something like that). Endorsements are sometimes inexpensive and sometimes crazy expensive. It depends on the risk associated with the part. Wheels can expensive because of the volume of potential losses that can occur with them.

Some things to keep in mind: I want to save the insurance company money in the event of a loss. Saving the company money saves our policy holder's money in the long run. If you replace your front bumper and have a front end collision and need a new bumper, I will buy the cheapest part. More often than not aftermarket parts are cheaper than OEM. If your a/m bumper is $500 and an OEM one is $700, I'll gladly replace your a/m bumper. This is true for any replacement part. Now lets reverse the prices: yours is $700 and the OEM is $500. The company owes you $500 for the bumper and the $200 will come out of your $1K add on limit.

Above we talked about replacement parts. Add-on parts are different: winches, LED lightbars, etc. that don't come on the standard vehicle. A winch can easily be over $1K and kill your $1K add-on budget right there because there is no OEM winch on most models. That might be something to look at adding an endorsement for if you're concerned about it being damaged in an accident.

Finally, total losses. We are capped at $1K regardless of whether it's replacement or add-on. What I usually recommend is for customers to keep the take-off parts so that in the event of a total loss, they can remove any salvageable a/m parts and sell them or reuse them. The vehicle is being valued as a standard vehicle anyway, so putting it back that way won't hurt anything. Taking things off and not replacing them with originals will hurt the value (like taking off a/m wheels and putting it on blocks).

Hopefully that helps a little bit. Insurance agents will gladly sell you as many endorsements as you're willing to pay for - that's how they make money. Being educated and accepting a little risk may help your pocket book.

quote:

Originally posted by Kiernan:
I work as an Auto Damage Adjuster in the insurance world and I can tell you I see this all the time from vehicle owners who modify their vehicles, especially Jeeps & trucks...

I'm going to go out on a limb and guess you are with a large insurance company in San Antonio. Here's my beef with THAT company.

I had a 10 year old STOCK Chevy Tahoe that was totaled by a person that ran a stop sign. That Tahoe had 105K miles on the odometer. Mechanically it was in top shape, and I had receipts and fluid analysis to prove it. It was $40K when new, and I paid insurance for 10 years on a $40K vehicle. When it was totaled, because of the age an mileage it was valued at $8K. Except I have been paying insurance on a $40K vehicle. The replacement for a same age and mileage vehicle was $16-18K. How about the insurance company making me whole again?

I was told that the adjustor made a deal with the other insurance company for the reduced valuation - tit for tat between the adjustors.

Well see, that's the point, and excuse my frustration, I'm not taking it out on you.

I bought the Jeep in summer of 2014. I got it insured with Progressive.

I added a bunch of mods in fall of 2014. Soon after, I called Progressive and told them I had about $20K of mods added. They told me they adjusted my insurance accordingly. I was told and expected that I was covered up to $20K of mods plus the base Jeep.

I had more mods done. I reviewed my insurance, and found that the Jeep had a "stated value" policy of $20K. In other words, as I understood it, not only did Progressive not sell me what I needed, but they under-sold me what was required. The $20K would not have even replaced a stock Jeep.

My point is, I understand the additional risk, and I am willing to pay for it (and thought I was!). It would be unreasonable for me to expect to get $60K of coverage and pay for only $30K. Indeed, I thought I was paying for an additional $20K of coverage up until Friday.

Again, I'm frustrated, not lashing out at you (or anyone else).

quote:

Originally posted by djinco:

quote:

Originally posted by Kiernan:
I work as an Auto Damage Adjuster in the insurance world and I can tell you I see this all the time from vehicle owners who modify their vehicles, especially Jeeps & trucks...

I'm going to go out on a limb and guess you are with a large insurance company in San Antonio. Here's my beef with THAT company.

I had a 10 year old STOCK Chevy Tahoe that was totaled by a person that ran a stop sign. That Tahoe had 105K miles on the odometer. Mechanically it was in top shape, and I had receipts and fluid analysis to prove it. It was $40K when new, and I paid insurance for 10 years on a $40K vehicle. When it was totaled, because of the age an mileage it was valued at $8K. Except I have been paying insurance on a $40K vehicle. The replacement for a same age and mileage vehicle was $16-18K. How about the insurance company making me whole again?

I was told that the adjustor made a deal with the other insurance company for the reduced valuation - tit for tat between the adjustors.

You're thinking about it the wrong way. When the actuary looks at the vehicle you bought. They take the depreciation of the vehicle into account when they set the rate and then average everything out to give a consistent rate.

That's like complaining that when you bought your truck, you were making payments on a $40k truck but 4 years later you were still making payments on a 40k truck when it's only worth $25k now.

Also consider that if you get into a minor accident when the vehicle is new, then get into the identical accident when the vehicle is 5yrs old and then the identical accident when the vehicle is 10yrs old. The estimate to repair each of those accidents is going to be pretty similar to each other even though the vehicle is worth very different amounts of money at each point in time.

quote:

Originally posted by IntrepidTraveler:
Well see, that's the point, and excuse my frustration, I'm not taking it out on you.

I bought the Jeep in summer of 2014. I got it insured with Progressive.

I added a bunch of mods in fall of 2014. Soon after, I called Progressive and told them I had about $20K of mods added. They told me they adjusted my insurance accordingly. I was told and expected that I was covered up to $20K of mods plus the base Jeep.

I had more mods done. I reviewed my insurance, and found that the Jeep had a "stated value" policy of $20K. In other words, as I understood it, not only did Progressive not sell me what I needed, but they under-sold me what was required. The $20K would not have even replaced a stock Jeep.

My point is, I understand the additional risk, and I am willing to pay for it (and thought I was!). It would be unreasonable for me to expect to get $60K of coverage and pay for only $30K. Indeed, I thought I was paying for an additional $20K of coverage up until Friday.

Again, I'm frustrated, not lashing out at you (or anyone else).

You should definitely have a beef with Progressive if that's the case (I don't work for Progressive, so no worries on my end). If you called to add endorsements, which is sounds like you did, and they changed your policy to a stated value, they certainly didn't do what you'd asked them to do.

quote:

Originally posted by djinco:

quote:

Originally posted by Kiernan:
I work as an Auto Damage Adjuster in the insurance world and I can tell you I see this all the time from vehicle owners who modify their vehicles, especially Jeeps & trucks...

I'm going to go out on a limb and guess you are with a large insurance company in San Antonio. Here's my beef with THAT company.

I had a 10 year old STOCK Chevy Tahoe that was totaled by a person that ran a stop sign. That Tahoe had 105K miles on the odometer. Mechanically it was in top shape, and I had receipts and fluid analysis to prove it. It was $40K when new, and I paid insurance for 10 years on a $40K vehicle. When it was totaled, because of the age an mileage it was valued at $8K. Except I have been paying insurance on a $40K vehicle. The replacement for a same age and mileage vehicle was $16-18K. How about the insurance company making me whole again?

I was told that the adjustor made a deal with the other insurance company for the reduced valuation - tit for tat between the adjustors.

I don't know which company you think I work for, but I can assure you we don't make deals with any other insurance company.

For total losses, vehicles are valued at actual cash value (ACV). We use a 3rd party appraisal company (some do, some don't) who compares your vehicle to vehicles for sale in the local area and adjust the value for options & conditioning. This appraisal company is completely unaffiliated with the insurance company and has no dog in the fight. You should have been provided a copy of this appraisal and it should have shown the vehicles it was compared to in the local market.

^^^

Not to mention you can almost always dispute the offer provided you have good documentation of real world comparable vehicles to yours.

Most insurance policies also have an appraisal clause in them for resolving disputed values.

Third party appraisal company. Yep, I got screwed by that one also. I went with the appraisal paper in hand to go purchase the vehicle listed at the dealer who said that they had the vehicle. The sales manager looked at the paper, looked at his stock and said "there is no way in hell I'll sell that Tahoe for that price." It seems that at more than one dealer the 3rd party appraiser calls the dealer and asks the values. It seems that the dealership has no real interest in talking to these people because they don't make any money off of talking to an appraiser and they don't really care to waste their time. I was told by the used car sales manager at a local very large nationwide chain, that they don't even try to get close to realistic numbers when the insurance company calls.

IMHO, the whole industry is a scam. From the manufacturer, sales and then insurance companies. Yes, I realize that the "stockholder/policy holder" wants to save money. And the end game is to make money. The rub is that my insurance company is a one of those that sends a subscriber savings account check each December.

It's all big business and there's really nothing that can be done about it. We just try and get through the best we can with what we have.

I will repeat this. Find a company that will write an agreed value policy. You know what you are buying and they know the risk. It's all I use.

Speaking of insurance, why is MI so high? Can anything be done about it? I have relatives there that get hammered by auto insurance rates.

I'm sure special interests guide them, knowing the tricks to work the State legislature.

Generally I sorta under unsure. Not that I'm recommending doing so. I don't hang in high crime areas and keep things almost ultra defensive.

Yes, anything could happen today or going foreword.

quote:

Originally posted by hrcjon:
I will repeat this. Find a company that will write an agreed value policy. You know what you are buying and they know the risk. It's all I use.

I'd like to. Who do you use?