Classic Car Insurance Agreed Valuations

Agree a value on classic cars or rue the consequences!

Always consider obtaining an agreed valuation with your insurer. Classic cars tend to be over fifteen years old and it isn’t surprising that the ‘standard’ second hand value is often far less than the owner’s view of the worth of their cherished vehicle. Many hours and large amounts of cash may well have been spent returning the car to showroom condition and you need to know that if it’s written-off or stolen, the insurance pay out will represent its true worth.

To obtain an agreed valuation for your car you will need first to locate a specialist classic car insurance company, the main stream insurers will not offer this service. It is also important to remember that the agreed valuation is not in place until the insurer has issued their certificate, it is not sufficient for the policy just to be in force.

The process of issuing an agreed valuation certificate (sometimes known as a guarantee or declaration) varies with classic insurers but in all cases involves presenting evidence to the insurance company together with a proposed valuation figure. These will be assessed by the company’s experts and an offer made either at or below the proposed figure.

The evidence required can be simply a specific set of 35mm colour photographs showing the exterior (to include the registration number) and interior together with recent bills as is the case for Lancaster Insurance or a valuation from a recognised classic car dealer or restorer as can be the case. There is usually a small fee £15 to £25 made by the insurer for the administration of the guarantee, but there will be an extra fee charged by the valuer if you chose a company that insists on that route.

Agreed valuations last for a finite period of time, usually 3 years, and provided you have no claims and carry out no improvements in this period, all you have to do is certify that no changes have been made for the guarantee to remain in force. At the end of the guarantee term you will be required to carry out a further valuation process.

It may seem a bit of a trial but failing to arrange an agreed valuation with a classic car insurance specialist for your 1963 Triumph Herald,1956 Ford Zephyr or even 1976 3.5 Rover SD1 will mean you will receive only the small standard second hand value (next to nothing!), instead of its real agreed worth based on its condition and market value as a true classic.