classic car daily driver insurance?

[70GreenBurb]

We are finally restoring our 1970 suburban and when I went to see how much I could borrow to restore it I was surprised when our Credit Union said they would loan up to $12000, the NADA "average retail". We currently just carry liability but I knew we would need full coverage and that with regular insurance a total loss could leave us with a "totaled" payout of less than our loan amount.

When I contacted AAA, they had collector car insurance but not for daily drivers. Looking on the internet most other mainstream and at first all of the collector car insurance companies showed the same restriction. Then I checked out Grundy's. Their website looks like they have daily driver insurance for classics under their MVP )Motor Vehicle Program.

Can anyone confirm that their daily driver program does cover classics and offers agreed value policies on daily driver classics? If so, are there any restrictions? What about cost, say for $16-$20,000 truck?

[70cst]

Well scratch Hagerty...this is what I have but see point #1 ...

Others...

HagertyCollector Car Insurance

Usage: Vehicles should not used for daily transportation.

Storage: Vehicles must be stored in an enclosed and secure structure.

Regular-use vehicles: Every driver in the household must have a regular-use vehicle for daily transportation.

Driver eligibility: Generally, one or two minor traffic violations or accidents per household are acceptable.

[BruthaMan]

We've been with State Farm for 25 years now. My '78 was a frame off restoration. We insured it for $30k as a daily driver, though it really doesn't see much road time at all. On this one, I did have to drive it up to my agent's office so they could take some photos of it, since it was insured at such a high price. I believe it's about $56 per month, full coverage and insured at $30k.

When I added my '72 a few months ago, I called up our agent and told him I wanted it insured as a daily driver at a value of $8,500. If I recall, it's around $51 a month for full coverage.

[70GreenBurb]

BruthaMan, thanks for responding. in my research on insurance there seems to be a major distinction on how the vehicle would be valued in the event of a total loss. There are at least two methods of valuation. "Stated Value" is generally the valuation method used in major insurance company policies such as State Farm and AAA would write. Using the definitions of that valuation in policies means it is valued at the lower of the stated value, or market value. From what I have read that leaves room for the insurer to value the vehicle at less than the stated value of the policy if the actual selling prices are less than the stated value. Collector car policies from Hagerty's and Grundy's are written to value the vehicle at the "agreed value", which is the value agreed at the time the policy is written and in the event of a total loss, the agreed value is paid. True market value is irrelevant. But these policies generally have restrictions against the use of the vehicle as a daily driver, among some other restrictions. But on Grundy's website they specifically mention that agreed value policies are available on daily drivers. I just wanted to confirm if anyone had any first hand knowledge of the daily driver "agreed value" policies.

If you are not positive that your State Farm policy will pay the $30,000 in the event of a total loss, regardless of what the vehicle may be worth at the time of the accident, you may want to confirm with your agent. I know AAA does write "agreed value" collectors car insurance but they ask if it is a daily driver and refuse to issue the policy if the answer is yes. They only offer "stated value" policies for daily driver vehicles.

[68jewel]

Originally Posted by 70cst

Well scratch Hagerty....

X2!! Plus Hagerty is very expensive. I am with Grundy. I have $60k of coverage for my Chevelle for $350 a year. So, I would assume $30k of coverage would be nearly half of that. The only thing I can't comment on is the daily driver option as my Chevelle is not a daily driver. But, if I remember correctly, Grundy does offer a daily driver clause. My truck isn't up and runnng yet. Neither is it finished or restored. So, it isn't covered yet.

[Lee H]

I'll be watching this. I have not been able to find an insurance company that would cover a classic as a daily driver at an "agreed to value" in the event of a total loss. When questioning State Farm, AAA, Mercury, to name a few, the bottom line was, in the event of a total loss, market value would be paid. Maybe some states have different insurance regulations? I currently use American Collector Insurance for my vettes. Some of the restriction are, cap on miles per year (I have to declare my mileage each year with renewal), locked garage, DD car for each licensed driver in the house, if wrecked or stolen at a place like the grocery store, mall, place of work, etc, no coverage.

[Dunenutt]

I have Grundy, and I can't drive it to work/ leave it in a parking lot. It has to be garaged too. There is no mileage limits, and it is more than reasonably priced. Call them, very nice people.

My findings with Hagerty is, they don't like trucks. NOTHING shall be hauled in the bed, not chairs, EZ up, cooler, NOTHING!

[chevy72blu]

Im following this thread as well

[jmedero]

I've been a 220 insurance agent for 11 years. I have mine insured with safeco insurance under agreed value. I had to inspect my own vehicle since I'm my agent and a few pics. Ut not a lot of restrictions. But every state is diff. I did have to have antique plates on them.
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[LEEVON]

You can't get an agreed value policy that allows daily drivers. My neighbor is in charge of a major collector car insurance program...the best they could do is add a rider for a few weeks of daily driving given several provisions. State Farm's stated value policy will still depreciate your ride to some magic value that will be less than you want. I went through all of this in detail recently with American Collectors (my current policy), the neighbor and State Farm because I want to DD my '71. NO GO.

I ended up double-covering with agreed value and stated value, that way if I have an accident and my collector's denies the claim at least my liability coverages are intact.

[Dunenutt]

saa, I understood everything you said above when i talked to Hagerty. I told them that I have no desire to "haul" anything with it. I asked if I could put some chairs, and a cooler back there to go to car shows, and was told "nothing". That simply did not work out for me.

[70cst]

Originally Posted by saa

I have Hagerty for my '71. My experience is:
1) They are wonderful to deal with. Exceptional people and they go far out of their way to make sure that everything they do is to notch.

2) No mileage limits - however, that said, your insured cannot be your "daily driver". You have to have another car/truck that is your daily driver. How many of you don't have another regular vehicle that doesn't need Agreed Value insurance? Likely most of you have, or could have, another "regular" vehicle that would solve that piece of the puzzle. If your truck IS indeed your daily driver, do you really need agreed value insurance on it? Check www.nada.com/Classic-Cars and see what their value is for your vehicle normally. They are very fair and unless you're driving a really, really nice truck for work, hauling, carpentry, tree trimming, etc., their values may be plenty good. Those combined with comparable sales research should an accident arise and you can make a pretty good case even with regular "Stated Value" insurance - which is the typical phrasing used for the value on most policies.

3) It does have to be garaged at night. I have not found an insurer who'll stray from that, period. They all require them to be garaged (likely due to the ease of theft in this time period vehicle). If you cannot do that, Agreed Value may be out of range.

4) Hagerty, like all insurers, requires you to use a vehicle as it is intended - and as they have insured it for. Hagerty is a "collector car/truck insurer". Which means they expect that you're not taking it to work, hauling chairs, tree and brush, actually anything! They figure a collector vehicle should be "driven and enjoyed" - that's about it with them.

Grundy will allow more latitude in the usage of the vehicle, but any usage that does/can cause damage to the vehicle - like hauling stuff in the bed - will make them raise eyebrows. If you have a truck that you use for hauling/working, make it a truck that can be valued more reasonably under NADA values in their Classic Vehicles section. A typical '72 Chevy 1/2 ton 4x4, in work-truck condition will be more than fairly valued under their value guide. A restored, top shelf '72 will not - that's where the Agreed Value comes in. You can drive it without worry, but it's not the truck you take to Home Depot. Unless you're buying a pvc fitting. LOL.

Another thing to consider is Hagerty is their road side assistance plan that covers all of your vehicles that you own. If ANY of your vehicles breaks down, they’ll send a truck and tow it up to 120 miles. No cost, period. It's an excellent adder to their policy. Cover one truck and all of your cars/trucks are covered and it's the best road side assisstance I've ever seen. Fast, they are very through, and cost has never been an issue. Covered 100%. And 120 miles is a long way for a towing bill. If I had kids still at the house - I would value this highly. If anything happens, you can be sure they have someone to call who'll look out for them. You can't always be there, as much as we would like to be.

I'm super happy with Hagerty, and yes, it's a few dollars more - but my truck is valued very fairly and if anything happens they'll track down period correct parts, work with restoration professionals to repair it correctly, or pay me what I bargained for.

I'm quite sure Grundy is just as good at the policy they offer. It just appears Grundy caters to the owner of many collectible vehicles (over $100k is their niche), and they cater to high-dollar drivers (Bentley, Ferrari, etc.).

Just my experience. With some research, you can nail down a policy that will offer the best protection for your truck, and your usage. Hope this helps a bit.
saa.

My coverage is $35K and my premium is $340 per year. I can haul miscellaneous stuff but not rocks and trees I did a lot of research before I purchased insurance and Hagerty was a better value for me...others might or will prefer other insurance companies. When I have called with questions I get a live person and they were very friendly and helpful which to me is worth a few extra $$$. I also talked with guys/gals with classic vehicles and Hagerty came out on top...not saying the others are not as good but they sold me on Hagerty. Good Luck,

[Dunenutt]

They may allow the restored honda.

I asked Grundy about pulling a vintage trailer, like a teardrop. They said they could take a look at it, and should not have an issue with it. I just have to find a vintage teardrop now

[CG]

Originally Posted by Lee H

... if wrecked or stolen at a place like the grocery store, mall, place of work, etc, no coverage.

So if you are out and about and stop at a store to grab a few things on the way home and anything happens to your ride you are not covered? Or you run into a 7-11, or maybe go to a car show in a mall parking lot?

Im not trying to be smart, just really curious as to when you are covered.

[E.Furgal]

grundy's underwriters where last I checked (may'12) where not writing new polices
grundy was outsourcing them.. making them ?
also agreed value and statefarms "stated value" are two totally different animals..
one deprecation is used in a loss ,one does not, one writes a check for the agreed value. and well.. hard $$ lesson , never again

[E.Furgal]

Originally Posted by Dunenutt

saa, I understood everything you said above when i talked to Hagerty. I told them that I have no desire to "haul" anything with it. I asked if I could put some chairs, and a cooler back there to go to car shows, and was told "nothing". That simply did not work out for me.

they said no because if it fly's out and hits another car.. they have to pay..
they are not going to intrust you to tie it down correctly,, that why they said no..

[E.Furgal]

Originally Posted by CG

So if you are out and about and stop at a store to grab a few things on the way home and anything happens to your ride you are not covered? Or you run into a 7-11, or maybe go to a car show in a mall parking lot?

Im not trying to be smart, just really curious as to when you are covered.

if the lot was the car show then your fine.. if the 7-11 was part of your cruise and you got a soda, your fine.. you stop at stop and shop and buy all your food shoping. then no..
I was told I can drive to work.. but not everyday.. like if I was going to a cruise after work that be fine.. on sat. but mondays rust hour traffic is o u t out..
if it gets jacked while having dinner.. you'd be fine..
if you drove to the mall to shop.. nope..

[Coboyle04]

i have also been told i need to have my truck professionaly appraised in the event of total loss you have an actual value to give the insurance company. second i was told i should have mine appraised every year or two in order to maintain a good record of current value.

[CG]

Originally Posted by E.Furgal

if the lot was the car show then your fine.. if the 7-11 was part of your cruise and you got a soda, your fine.. you stop at stop and shop and buy all your food shoping. then no..
I was told I can drive to work.. but not everyday.. like if I was going to a cruise after work that be fine.. on sat. but mondays rust hour traffic is o u t out..
if it gets jacked while having dinner.. you'd be fine..
if you drove to the mall to shop.. nope..

Ok, thanks for the info. Im considering going to a collector type insurer myself and its nice to know all the little ins and outs.

[Dunenutt]

Originally Posted by Coboyle04

i have also been told i need to have my truck professionaly appraised in the event of total loss you have an actual value to give the insurance company. second i was told i should have mine appraised every year or two in order to maintain a good record of current value.

Stated value, you should do all of the above and update your policy acordingly.

Agreed value, Most collector car insurers will agree to up to $20,000 with pictures and reciepts. Above that, it will have to be appraised once.

[Dunenutt]

Originally Posted by CG

Ok, thanks for the info. Im considering going to a collector type insurer myself and its nice to know all the little ins and outs.

It all comes down to pleasure. Anything involved with cruising, showing, road trip ect. is understood and considered part of it. You are going to have issues with having it stolen from Home Depot

[BruthaMan]

Originally Posted by 70GreenBurb

If you are not positive that your State Farm policy will pay the $30,000 in the event of a total loss, regardless of what the vehicle may be worth at the time of the accident, you may want to confirm with your agent.

I'll double check with my agent. The '78 may be listed as a "pleasure" vehicle, but the '72 was added a few months ago and I remember noting it would be my primary vehicle. Definitely worth checking into, don't want to be caught short.

Never had an accident (looks for large timber to knock on) and hope I make it through the final years without one.

[70cst]

With Hagerty I can go to shows, fun drives, work once in a while...just not to be used as a DD.

If I took it to buy groceries and it gets hit or its stolen...I am covered.

If I get into a fender bender...covered etc.

I am not to pull anything and that's not an issue.

Can I haul stuff...sure but rocks and dirt are out.

I had to email pics of the truck and they said I was good to go.

These are good questions and it's a good thing to ask the questions up front.

[jocko]

this is such a frustrating topic. MANY would like to have their classic truck insured for what it is actually worth (not blue book) and still drive it every day. You know, like an escalade that cost a friggin fortune and is driven by 18 year olds... ??? Yet we can't seem to get what we woudl like very easily, if at all. I still do not understand.

Here's my beef: I'd be more than willing to pay MORE than what I currently pay (which is ridiculously low) for the freedom to actually USE my truck more.

But there really is no clear route for that. If you want low rates and coverage, heaven forbid, you have to fort knox protect the truck. If not, you can get liability and take your chances. Very very frustrating.

I have Grundy, and that was after a long, long search. I am happy with them. It's a stated value policy and I CAN occasionally drive it to work and take it places for more than just sitting in the fairgrounds. I even asked about driving it cross country - motels and all. They said yes. The Key, as I believe Leevon pointed out, is that the vehicle in question is not your primary mode of transportation. So, in order to insure it via classic ins, you have to have ANOTHER daily driver. I feel for the dude that is mid-20's has a nice old truck and that's his means of getting to/from work. There's almost NOTHING out there that will insure him and cover him properly in a loss. Bluebook, or liability, and thank you very much.

Oh well. Now I'm ticked off just thinkin about it.... I'd gladly pay double for my insurance, even triple (which is about what I pay for my daily driver) if I could have a policy I trust that would give me peace of mind and allow me to drive the wheels off. Aint gonna happen.

One more thing. State Farm. Never again for me. Never again. I'd be very wary of a $30K agree val or stated val policy with them. I'd ask the agent point blank "what do I get if A, B, or C happens to my truck?" and I'd record the answer and get his John Hancock on the recording... And the agent in my case was even a friend of the family. You'll note I said "was"....

[rsavage]

I have Hagerty on all 3 of my trucks. I insured the Blazer for $25,000 "agreed upon" value this spring when I finished it without an appraisal. I furnished the agent and Hagerty with a link to nearly 200 photos of the restoration along with a half dozen attached completed photos in an email. There were no questions asked but I have been with them for quite a few years.