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Agreed Value Insurance guide

Agreed Value Insurance guide

After buying a prestigious vintage car, and spending every spare hour in the evenings and at weekends restoring it to it's former glory; the next step is to make sure you are adequately insured to recover the full amount you have spent on the car should you have to make a claim. This is where an 'agreed value' insurance policy comes in.

What is agreed value insurance?

Agreed value insurance means in the event of a total loss (stolen or write off) of your vehicle, you will be reimbursed with an agreed amount based on the valuation of the car given when you take out the policy. Standard insurance policies will only give you the current market value; however the value of classic cars tends to fluctuate due to the desirability of the vehicle, so you can protect yourself from a massive financial loss by taking out an agreed value policy.

When you take out your cover, you may need to pay an additional fee to obtain the agreed value, however this is a small price to pay to ensure you receive the maximum amount possible should you have to make a claim, minus the agreed policy excess.

What do I need for agreed value insurance?

In order to take out the agreed value policy, the insurance provider may ask for the following before agreeing a fee with you:

Some insurers may also ask for an independent valuation from a specialist car valuer.

If you can provide as much information as possible, it will help you protect your cherished vehicle in the event of a collision.

Check your policy

When you take out your policy, you may want to ask about the following details about your cover:

How to get an agreed value policy?

Shop around - comparing different providers using sites such as moneysupermarket can often mean big savings on your insurance.

Most insurers offer classic car insurance, and you may be able to get further discount if you are a member of a recognised car club. When taking out a classic car insurance policy, be sure to ask if there is an agreed value option.

Tips to save on your insurance

There are many ways in which you can save on your car insurance policy; below are just a few examples:

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