[The Champ]

Speed

Essentia has been the underwriter of Hagerty policies for years. It was the underwriter for Hagerty when you had your previous claim - that you were very well taken care of.

I don't know where you are getting your misinformation, but it's wrong.

[procharged 79]

I have a slightly different set of circumstances as I have multiple specialty cars, one being a 2013 Cadillac CTS-V, a pro-street, a muscle car and now a 63 SD clone. For one reason or another the insurance companies would reject one or more of my cars and I was looking at multiple insurance policies to cover them all. I really wanted everything under one umbrella, and that was possible when I found the National Corvette Musuem Insurance Company. They covered all my cars except my daily drivers which are covered with USAA. They were very easy to work with and like Liberty Mutual, you only pay for what you need.

BTW, I covered my Caddy, the prostreet camaro, and my muscle car (67 Impala 427 clone) for the same costs as what I was paying for full coverage on just the Caddy with USAA. Mind you that I did put some deductibles on the prostreet and Impala to lower the costs, but to have a late model, a high HP prostreet along with muscle cars all under one policy was very satisfying.

Also, American Modern is the carrier.

[PAUL K]

Originally Posted by The Champ

Stated value only determines how much your premium is. It has nothing to do with what you will be paid in the event of a claim.

"What is Stated Value?

Stated Value is coverage that reflects an amount that is “stated” at the onset of the policy. You tell your insurer what your car is worth (with proper documentation) and it is insured for that amount. The caveat here, however, is that the insurance company can choose to pay you either the Stated Value or the Actual Cash Value, whichever is less."

If you want to have a State Farm adjuster determine the value of your car, after an accident, stay with State Farm.

My personal experience with State Farm adjusters has not been good. They try to do everything but pay a claim properly.

This has been a concern of mine. FWIW I have asked four different State Farm Agents, Hagerty (when they had a copy of my State Farm policy in hand) and an agent from a third company... What will I get paid if this car was stolen and never recovered, every answer was the same, the value on the policy minus the deductible.

I have never had a claim and hopefully never will. A fellow I know that has the same type of policy from State Farm on his car, had a value of 23k. IMO the car was worth less than half that. They totaled his car after a hail storm and paid him 20k less the 3k deductible.... No hassles at all.

I think it was best said in the SD Performance thread about the tour bus and fire. Someone posted the insurance companies will get together and work to payout as little as possible. I do believe at the end of the day a policy is a legal binding contract. Any insurance company should pay out what the contract says.... The key is understanding the definition of the language, which is the hard part.

[The Champ]

Paul

An agent does not determine value. The adjuster does. The adjuster goes by the policy language in the insurance contract:

If the policy contract language is 'Stated Value', the value is to be determined at the time of claim.

If the policy contract language is 'Agreed Value', the value is that value that both parties agreed to.

If State Farm's intention is to always pay the 'Stated Value', why not change the contract to 'Agreed Value'? There must be a reason that they don't change the language of the contract.

FWIW - I spent 10 years of my life as a professional in the commercial insurance industry.

[Ram Air IV Jack]

Originally Posted by PAUL K

Any insurance company should pay out what the contract says.... The key is understanding the definition of the language, which is the hard part.

Not hard at all. If the policy is "stated value", you get what the adjuster wants you to get. "Agreed value", you get what the value has been agreed to after a total loss. Most of the time a "stated value" policy is cheaper than an "agreed policy" so people flock to them. If your collector car is insured with one of the giant companies like State Farm, beware!! This topic has been discussed for years in many publications including a Year One parts book I received back in the 90's, Old Cars Price Guide and Hemmings Motor News to name a few! Read and learn. The horror stories are out there if you care to look for them!! It is your car, but you take a big chance if you suffer a total loss and have a "stated value" policy.

[PAUL K]

Originally Posted by Ram Air IV Jack

Not hard at all. If the policy is "stated value", you get what the adjuster wants you to get. "Agreed value", you get what the value has been agreed to after a total loss. Most of the time a "stated value" policy is cheaper than an "agreed policy" so people flock to them. If your collector car is insured with one of the giant companies like State Farm, beware!! This topic has been discussed for years in many publications including a Year One parts book I received back in the 90's, Old Cars Price Guide and Hemmings Motor News to name a few! Read and learn. The horror stories are out there if you care to look for them!! It is your car, but you take a big chance if you suffer a total loss and have a "stated value" policy.

Does it make a difference when it comes to repairs between a "stated value" and "agreed upon" policy?

Do you think things will change now that State Farm has merged with Hagerty? Is Hagerty now one of the "Giant" companies one needs to beware of?

Insurance is always a gamble regardless of what kind we are talking about. I've had classic car insurance through State Farm for more than twenty eight years now. I've had as many as twelve cars on a policy at once. My friend whom likes to have lots of insurance on his car has had that car insured for the past twenty plus years with Hagerty and has been paying about triple of what I have. Neither one of us really know how good either insurance company is because neither of us have ever made a claim.

I already mentioned a pay out made on a State Farm claim and it worked as advertised....Stated /agreed upon value of the car 23k. Car was considered totaled and 23k less the deductible was paid out.... This just happened a couple months ago.

Now twenty five years ago, an acquaintance damaged his car racing. He claimed he had to unload the car because of a flat tire on the trailer and a car passing by side swiped his car and kept going. Again State Farm's "classic car" policy paid for the repairs.

I'm all for discussing this topic but most of the time it's second and third hand stories that are twisted around hearsay. A lot of time folks don't understand their policy and feel they got screwed when they feel the insurance companies fell short on an expected payout. From what I've seen all insurance companies go above and beyond to pay out as little as possible but at the end of the day it's the policy that dictates what has to be paid out.... But I could be wrong, insurance is not my forte.

[Ram Air IV Jack]

Originally Posted by PAUL K

From what I've seen all insurance companies go above and beyond to pay out as little as possible but at the end of the day it's the policy that dictates what has to be paid out.... But I could be wrong, insurance is not my forte.

When it comes to agreed/stated value, it normally makes a huge difference if you have a total loss. If a total loss occurs, you're at the mercy of some bozo adjuster's opinion on what your car is worth at the time of your loss if you have a stated policy. That is the reason you pay so little compared to an agreed value policy. With agreed policies the company is hooked for the total loss. Also, JC Taylor has no deductible for a claim which is common with stated value polices! The Champ is right, and he knows what I'm talking about. BTW I too have State Farm for my cars and home. My agent even told me the collector car insurance is the way to go on these high-end machines and that said it all for me!!

[The Champ]

Originally Posted by PAUL K

Do you think things will change now that State Farm has merged with Hagerty? Is Hagerty now one of the "Giant" companies one needs to beware of?

Read your policy. It is your 'contract' with your insurance company.

Hagerty policies are 'Agreed Value', so you KNOW what you will be paid

I don't have a State Farm policy, but several of you have stated that your State Farm policy is 'Stated Value', so you DON"T know what your adjuster will pay if that is still the language they use.

You said it yourself:

'at the end of the day it's the policy that dictates what has to be paid out....'

I'm very comfortable with the contract language of my Hagerty policy. They clearly define usage and values up front.

I know I'm weird, but I actually read (and understood) my policy terms before buying.

State Farm apparently wants to improve their Classic Car program by collaborating with Hagerty.

[quote[The nation’s largest insurer of private passenger vehicles, State Farm®, is collaborating with Hagerty to introduce new coverage for classic vehicles beginning in 2023.

“We’re thrilled this strategic alliance will position State Farm agents to help customers protect their classic vehicles while giving them an opportunity to connect with a community of car enthusiasts,” said Rand Harbert, State Farm Executive Vice President and Chief Agency, Sales & Marketing Officer.[/quote]

https://newsroom.statefarm.com/statefarm-hagerty/

If State Farm has or does modify their policy to 'Agreed Value' like Hagerty, you will be better protected than you have been previously. Hopefully they will loosen the limitations on their usage too.

I did some research for you:

Usage appears much more restrictive than Hagerty.

Your antique or classic car must be used on a very limited basis, such as infrequent pleasure driving, shows, exhibitions, club activities or parades.

State Farm appears to have changed their value terms.

Agreed value

Because these unique cars have no “book value,” a value must be agreed to for the policy. The higher the value the more the policy will cover and this will affect the premium. To come to an agreement on value, you and your agent can weigh many factors like age; condition; type of car, such as kit cars.

The above info comes directly from State Farm:

https://www.statefarm.com/insurance/...e-classic-cars

I suggest you check your current policy to see which value YOUR policy has if you want to stay with State Farm. If it's not 'Agreed Value', tell your agent you want the NEW SF Classic Car coverage.

Personally, I can't live with the severe usage limitations that State Farm has decided to utilize.

[mgarblik]

I don't think it's been mentioned, but the actual agent does have some discretion and can apply some degree of pressure if you are getting screwed on a claim. My agent is a car guy and the principle of an Insurance agency. He is also a real car guy owning multiple muscle cars of various brands. A modified Tiger, several C2 Corvettes, a Monte Carlo SS454 4-speed and a couple others. So I do have a certain comfort level dealing with him. When Hagerty corporate was bulking at the extra agreed value I wanted for my 62 Catalina SD clone, he made a few call for me and helped make it happen without a super expensive appraisal by some idiot who probably didn't know a Catalina from a Cadillac. So does the agent really mean anything, or do you get the same service just signing up with an Insurance company on-line?

[64speed]

Anybody have Grundy? They quoted me for less than half Hagerty but I am reluctant to switch

[grivera]

Originally Posted by 64speed

Anybody have Grundy? They quoted me for less than half Hagerty but I am reluctant to switch

https://forums.maxperformanceinc.com...02&postcount=4

[1968GTO421]

Originally Posted by Ram Air IV Jack

When it comes to agreed/stated value, it normally makes a huge difference if you have a total loss. If a total loss occurs, you're at the mercy of some bozo adjuster's opinion on what your car is worth at the time of your loss if you have a stated policy. That is the reason you pay so little compared to an agreed value policy. With agreed policies the company is hooked for the total loss. Also, JC Taylor has no deductible for a claim which is common with stated value polices! The Champ is right, and he knows what I'm talking about. BTW I too have State Farm for my cars and home. My agent even told me the collector car insurance is the way to go on these high-end machines and that said it all for me!!

Thanks for the warning. I pulled out my J.C.Taylor policy and it states clearly on the policy that it is agreed value. Got me worried but in reviewing the policy I have with them it states clearly that it is agreed value.

[NeighborsComplaint]

Originally Posted by The Champ

Read your policy. It is your 'contract' with your insurance company.

Hagerty policies are 'Agreed Value', so you KNOW what you will be paid

I don't have a State Farm policy, but several of you have stated that your State Farm policy is 'Stated Value', so you DON"T know what your adjuster will pay if that is still the language they use.

You said it yourself:

'at the end of the day it's the policy that dictates what has to be paid out....'

I'm very comfortable with the contract language of my Hagerty policy. They clearly define usage and values up front.

I know I'm weird, but I actually read (and understood) my policy terms before buying.

State Farm apparently wants to improve their Classic Car program by collaborating with Hagerty.

[quote[The nation’s largest insurer of private passenger vehicles, State Farm®, is collaborating with Hagerty to introduce new coverage for classic vehicles beginning in 2023.

“We’re thrilled this strategic alliance will position State Farm agents to help customers protect their classic vehicles while giving them an opportunity to connect with a community of car enthusiasts,” said Rand Harbert, State Farm Executive Vice President and Chief Agency, Sales & Marketing Officer.

https://newsroom.statefarm.com/statefarm-hagerty/

If State Farm has or does modify their policy to 'Agreed Value' like Hagerty, you will be better protected than you have been previously. Hopefully they will loosen the limitations on their usage too.

I did some research for you:

Usage appears much more restrictive than Hagerty.



State Farm appears to have changed their value terms.



The above info comes directly from State Farm:

https://www.statefarm.com/insurance/...e-classic-cars

I suggest you check your current policy to see which value YOUR policy has if you want to stay with State Farm. If it's not 'Agreed Value', tell your agent you want the NEW SF Classic Car coverage.

Personally, I can't live with the severe usage limitations that State Farm has decided to utilize.[/QUOTE]

I have an "Agreed Value" policy with State Farm. The amount I receive in the event of a total loss is stipulated in the Policy. No mileage limits are stipulated nor have I ever been asked to provide an odometer reading beyond the mileage at the time the policy was written.

To establish the "Agreed Value", I had to provide detailed photos of my car for State Farm to verify a reasonable value was being requested by me consistent with the appearance of the car. Since I provided a reasonable valuation, no further appraisal or underwriter inspection was necessary. I can only assume State Farm will not over-insure a vehicle and if there was any question, an appraisal would have been required to support the Agreed Valuation.

As far as usage, mileage limits are not stipulated nor has State Farm ever requested a mileage statement in conjunction with the Classic Car coverage.

State Farm did not acquire Haggerty to improve its Classic car Insurance offering, it acquired Haggerty to expand it's own successful Classic Car vertical and gain market share in what it has determined to be a profitable market..

[bhill86]

I do have Grundy but just switched this year and have no claims. I have State Farm for my daily drivers and had limited coverage on my Trans Am until the switch to Grundy. Oddly, I’m contrast to what others have posted here, Grundy does not have a mileage restriction per year but my SF agent told me their classic car insurance does. This is in Ohio so perhaps other states are different for different reasons.

[The Champ]

Originally Posted by NeighborsComplaint

I have an "Agreed Value" policy with State Farm. The amount I receive in the event of a total loss is stipulated in the Policy. No mileage limits are stipulated nor have I ever been asked to provide an odometer reading beyond the mileage at the time the policy was written.

To establish the "Agreed Value", I had to provide detailed photos of my car for State Farm to verify a reasonable value was being requested by me consistent with the appearance of the car. Since I provided a reasonable valuation, no further appraisal or underwriter inspection was necessary. I can only assume State Farm will not over-insure a vehicle and if there was any question, an appraisal would have been required to support the Agreed Valuation.

As far as usage, mileage limits are not stipulated nor has State Farm ever requested a mileage statement in conjunction with the Classic Car coverage.

State Farm did not acquire Haggerty to improve its Classic car Insurance offering, it acquired Haggerty to expand it's own successful Classic Car vertical and gain market share in what it has determined to be a profitable market..

So you have the 'new' State Farm policy, after the collaboration with Hagerty which occurred in 2021 based on the State Farm link I provided. Before that time, their policies were 'Stated Value'.

However, their usage limitations are still very strict and are ambiguous which could lead to problems after a claim is made. Their adjuster can determine that your usage violates their terms:

Your antique or classic car must be used on a very limited basis, such as infrequent pleasure driving, shows, exhibitions, club activities or parades.

What is 'very limited basis'? I drove my GTO 3 hours one way to a job interview and back. Would that violate State Farms policy? Probably.

[MarkS57]

FWIW, my Hagerty policy hasn't changed in cost since 2019 thru renewal this coming August. The reason it changed from 2018 is because I took one car off the policy so it went down in cost.

[Cardo]

I switched to Grundy 4 years ago... they were almost half the price of Hagerty. Indiana policy. I'm not seeing what you get for the extra money from Hagerty.

[64speed]

Originally Posted by Cardo

I switched to Grundy 4 years ago... they were almost half the price of Hagerty. Indiana policy. I'm not seeing what you get for the extra money from Hagerty.

Well I just called and I can tell you what I get…freedom of use. Unlimited mileage sounds great until the rep flat out tells you that you have unlimited mileage for car events but that if you stop at Walmart on the way home and a shopping cart hits you they won’t cover it. Not an exaggeration, I got into the meat and potatoes with Grundy and it was not for me. They freaked me out so I called Hagerty and the guy laughed and said things that sound to good to be true are and that as long as I wasn’t drag or street racing I was covered. They also have a track endorsement if you’re so inclined but it’s incredibly expensive!

[JacintasHot]

Indeed I have the historics covered with Hagerty.
I inquired about being covered if I take them to the gym, shopping or post office.
Was told per agent-"drive them".
That's what I do.

[NeighborsComplaint]

Originally Posted by The Champ

So you have the 'new' State Farm policy, after the collaboration with Hagerty which occurred in 2021 based on the State Farm link I provided. Before that time, their policies were 'Stated Value'.

However, their usage limitations are still very strict and are ambiguous which could lead to problems after a claim is made. Their adjuster can determine that your usage violates their terms:

Your antique or classic car must be used on a very limited basis, such as infrequent pleasure driving, shows, exhibitions, club activities or parades.

What is 'very limited basis'? I drove my GTO 3 hours one way to a job interview and back. Would that violate State Farms policy? Probably.

I've been with State Farm since my license was issued in 1970. I have had an Agreed Value Policy since around 2013 after I had my car painted and interior done and the car's value exceeded the Stated Value of the normal auto policy. This is nothing new and has been available for a long time.

The "very limited" usage is ambiguous and not backed by odometer readings. It's a gentlemanly way of State Farm saying "We just don't want to insure your collectible car if your intent is to use it for your daily commute to and from work".