""I see your point, however the insurers will still be covering the value that you give them, which would no doubt be the"" ""price of the vehicle and the optional extras!""

Negatory!

The insurance company insure the car you tell them!

The cost price of the vehicle is used only as a guide upon which they can base the cost of any possible repairs.

They look at the ability of the car (and the likelyhood of the driver) to top gun round our roads like a drugged up pillock, how many cars were knicked in your street last year, how many of your chosen steed have mutilated there ocupants in a collision, factor in the repair cost multiplier, assess the total implied risk to them etc etc. This then gives them a figure upon which they base the premium.

Unless you have a classic (or otherwise precious) vehicle on an AGREED VALUE policy, (which means inspected and valued by the company, its representative or and acredited body) they will only usually pay out "market value" in the event of total loss.

On a brand new 12k vehicle thats about 9 or 10k from the minute you drive it off the lot.

If you are in any doubt, look up gap insurance. It basically covers the difference between what you owe on the vehicle and what the insurance company are prepared to pay out. It may be something you need to consider if getting your car on the never never.

If you want really irritating, I was the victim of a hit and run at 2355hrs on the night that I changed insurance companies.

That means means that I was insured by one company at the time of the collision and a different one by the time I managed to get out and contact the police. AND I was only TPF&T so I couldn't claim off either of them. Try declaring that one...... TWICE HAHA!

Sickofripoffs:

"" if the car rolls out the factory like that then it should be classed as a 'standard' vehicle""

I would be inclined to disagree.

Metalic paint can put anywhere between nothing and a couple of thousand pounds onto the base price of even the nastiest little car. Likewise with alloy wheels.

I see your point, however the insurers will still be covering the value that you give them, which would no doubt be the price of the vehicle and the optional extras!

I only suggested that system for clarity, as many people don't know that 'optional extras' are classed as mods. However most do know that if they change anything after they've bought the car then they should declare it.

I think that you may have answered your own question by admitting that these "extras" were "optional"

Although this does appear a little harsh - your insurance company is well within it's rights to charge you extra excess before paying out - in fact, if it wanted to - it could refuse to cover you at all (although, if they did this - it would be a case for the ombudsman) ... You are legally obliged to inform your insurer of any changes to a standard vehicle.

Totally agree about declaring everything. My car rolled out of the dealership with about £4K of optional extras and the insurance was up by about 30% in the first year. A lot of insurers actually refused to provide cover even with full no claims. Three years down the line it is getting easier to find insurance but I still make sure absolutely everything is declared.

I think classing metallic paint as a modification is bad. How many cars are on the road without additional cost for the paint finish? It's so common now that it really should be classed as standard.

"" if the car rolls out the factory like that then it should be classed as a 'standard' vehicle""

I would be inclined to disagree.

Metalic paint can put anywhere between nothing and a couple of thousand pounds onto the base price of even the nastiest little car. Likewise with alloy wheels.

Suppose you buy your Smartina Cabriovertacoupe (standard cost 12k) but choose the factory options of Metal Paint, Boydz Wheels and a complemetary parasol making it more like 16k!.

Your insurance company ask you if it has any modifications and you say NO!

Then you crash it as you leave the dealer and its a Write off.

The insurance company could either offer you the value of the "standard no modifications" car you said you had or worse still declare the policy null and void because you lied.

There are only three things you MUST do with insurance Declare everything Declare everything and declare everything!!!

If your not sure just ask. If they don't need to know they won't write it down.

Regards

Becs

I have just had a thought. If you visit the glasses guide site (glass.co.uk) and run thorugh the used car valuation, it will tell you what was standard and what was an option.

Huckster

huckster:

Having said that I believe the Privlege claims team may have made a mistake. If the alloys and metallic paint were added in the factory when the car was built, they would be considered standard. It is possible that at the time the car manufacturer included these as part of the normal spec. You need to check this.

The alloys and metallic paint are 'optional extras' for that type of vehicle, which would be classed as a modifiction as it effectivley changing the 'standard' vehicle. Sadly for her, i think that the engineer has spotted this.

Personally, i think it's unfair, if the car rolls out the factory like that then it should be classed as a 'standard' vehicle, and only if it's been changed after the factory should it be classed as modifed. However, i don't make the rules.

Becs

Braindeaddave has a point that if a modification had any affect on the risk then the Insurers could have declined the claim and voided the policy. This tends to happen where there has been a deliberate case of non disclosure of material facts, of which had the underwriter known, they would have refused cover. E.g. a car that had performance modifications or had accessories fitted that made it highly attractive to thiefs.

In your case Privlege decided that the non disclosure was inadvertent and they have accepted the risk with the alloys wheels, subject to the relevant premium being paid.

Having said that I believe the Privlege claims team may have made a mistake. If the alloys and metallic paint were added in the factory when the car was built, they would be considered standard. It is possible that at the time the car manufacturer included these as part of the normal spec. You need to check this.

In the Privlege online site there is the following Q&A. Will the policy be affected if I have my car windows tinted?
If the tint is to the manufacturers standard specification and the work carried out by the manufacturer we have no problem. Anything else, please call us. This echoes what I have said.

You could also get a friend or relative to call Privlege for a quote on their car and ask the question about alloys and metallic paint, just to see what they say. This will reveal how they treat these.

Huckster

Becs123:

Privilege (i.e Direct Line).

Braindeaddave I don't think they can do that due to FSA regulation.

Of course they can. They can decline any risk they want.

E.g Why would modifications be any different to, say, motoring convictions, or occupation? Some companys wont cover you if have a certain conviction and others will decline you if your occupation is a mechanic for instance.

The only modifications i can think off that they may not be able to charge and decline you for are those that are needed because of a disabiliy.

Privilege (i.e Direct Line).

Braindeaddave I don't think they can do that due to FSA regulation.

Skywalker:Can you name and shame this company please?

I could name a few.

In fact i could name some that don't cover modifications AT ALL, depending on the scheme you have with them.

Factory fitted alloy wheels and metallic paint are 'modifications'? Is it any wonder our insurance industry and the bankers that work in it are so despised by the public? Metallic paint is a 'modification' that justifies a 25% hike in the premium? Scandalous!

Never forget insurers are interested in 2 things and 2 things only - taking your premiums and finding a '(il-)legitimate way of avoiding your claim. Shame on them.

You were lucky that they even covered them at all! Some insurers refuse to cover modifications, and would have canceled your insurance and booted out your claim as soon as they had a wiff of those mods.

Becs

Are the Insurers backdating the modifications to the inception/last renewal date of the policy and paying out for the market value of the vehicle including these? If so this would appear to be a reasonable approach. If they did not do this, I guess they would be discounting the approximate cost of the alloy wheels and metallic paint from the claim settlement.

There does not appear to be any uniform approach to this. The Insurance companies I have had dealings with, would not have required factory fitted standard modifications to be listed. Only those modifications which where not standard to the vehicle when it was sold, would need to be declared and this would obviously increase the premium, although 25% does sound quite steep. The alloys must have been very expensive options at the time.

I think you need to do some research as to whether the car was originally sold with the alloys and paint included as standard. For my Ford, it has alloys and metallic paint which were included as standard at the time it was sold and I would never consider it necessary to declare. It may be worth having a look at Parkers guide as this often include notes about whether allows and metallic paint were standard at the time. The car manufacturer may also be able to help, if you called them.

Huckster