[DeTomaso] Insurance valuation

Arjun Ghosh-Dastidar arjun.ghoshdastidar at gmail.com
Tue Oct 6 17:22:33 EDT 2015


To further expand on what Julian is saying, the replacement value
determines at what point the insurance carrier will write off the car -
once the repair estimate exceeds that threshold, they would rather pay you
off at the replacement value instead of repairing your car.

In a market where Pantera prices are going up every 3 - 6 months, if the
insurance carriers don't increase their replacement value, they could very
well write off your car and you'd be SOL in terms of getting in to a new
car without being out a huge chunk of money.

On Tue, Oct 6, 2015 at 5:20 PM, Julian Kift <julian_kift at hotmail.com> wrote:

> I don't understand that logic, you appear to be advocating under-insuring
> your car and taking on higher personal risk?
>
> Bear in mind that a total loss is based upon the cost to fix as a
> percentage of insured value, so by under insuring you are also increasing
> the chances your car will be a total loss if anything happens. The payout
> might cover your investment if you bought early and cheap, but is not
> likely to get you back into an equivalent Pantera, to save what? Maybe a
> couple hundred bucks a year or a couple thousand spread over a 10 year
> ownership where (and I am assuming you drive the car) the probability of
> some kind of incident increases.
>
> Julian
>
> Date: Tue, 6 Oct 2015 17:03:33 -0400
> To: arjun.ghoshdastidar at gmail.com; detomaso at poca.com
> Subject: Re: [DeTomaso] Insurance valuation
> From: detomaso at poca.com
>
>
> But do keep in mind that above a certain amount ($60K?) you are really only insuring against a total loss or unrecovered theft.  What the odds of that happening?
>
> So you are paying in this case 50% more for your insurance with a microscopically small chance of it benefiting you
>
>
> Jim
>
>
> -----Original Message-----
> From: Arjun Ghosh-Dastidar <arjun.ghoshdastidar at gmail.com>
> To: detomaso <detomaso at poca.com>
> Sent: Mon, Oct 5, 2015 6:10 pm
> Subject: [DeTomaso] Insurance valuation
>
>
> Got my insurance renewal letter in the mail today and the carrier is
>    pegging
> replacement value of valuing an unrestored car at $90K for
>    2016. Spoke with
> my agent to confirm this.
>    If your car is insured at an agreed value below
> this amount, time to
>    call your agent and up the amount.
>    For the rest of
> you peeps, further proof that the value of our cars is
>    on the rise and even
> the stingiest appraisers are giving $90K for
>    replacement value.
>
>
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-------------- next part --------------
   To further expand on what Julian is saying, the replacement value
   determines at what point the insurance carrier will write off the car -
   once the repair estimate exceeds that threshold, they would rather pay
   you off at the replacement value instead of repairing your car. A
   In a market where Pantera prices are going up every 3 - 6 months, if
   the insurance carriers don't increase their replacement value, they
   could very well write off your car and you'd be SOL in terms of getting
   in to a new car without being out a huge chunk of money.

   On Tue, Oct 6, 2015 at 5:20 PM, Julian Kift
   <[1]julian_kift at hotmail.com> wrote:

   I don't understand that logic, you appear to be advocating
   under-insuring your car and taking on higher personal risk?
   Bear in mind that a total loss is based upon the cost to fix as a
   percentage of insured value, so by under insuring you are also
   increasing the chances your car will be a total loss if anything
   happens. The payout might cover your investment if you bought early and
   cheap, but is not likely to get you back into an equivalent Pantera, to
   save what? Maybe a couple hundred bucks a year or a couple thousand
   spread over a 10 year ownership where (and I am assuming you drive the
   car) the probability of some kind of incident increases.
   Julian
   Date: Tue, 6 Oct 2015 17:03:33 -0400
   To: [2]arjun.ghoshdastidar at gmail.com; [3]detomaso at poca.com
   Subject: Re: [DeTomaso] Insurance valuation
   From: [4]detomaso at poca.com

But do keep in mind that above a certain amount ($60K?) you are really only insu
ring against a total loss or unrecovered theft.  What the odds of that happening
?

So you are paying in this case 50% more for your insurance with a microscopicall
y small chance of it benefiting you

   Jim
   -----Original Message-----
   From: Arjun Ghosh-Dastidar <[5]arjun.ghoshdastidar at gmail.com>
   To: detomaso <[6]detomaso at poca.com>
   Sent: Mon, Oct 5, 2015 6:10 pm
   Subject: [DeTomaso] Insurance valuation
   Got my insurance renewal letter in the mail today and the carrier is
   pegging
   replacement value of valuing an unrestored car at $90K for
   2016. Spoke with
   my agent to confirm this.
   If your car is insured at an agreed value below
   this amount, time to
   call your agent and up the amount.
   For the rest of
   you peeps, further proof that the value of our cars is
   on the rise and even
   the stingiest appraisers are giving $90K for
   replacement value.
   _______________________________________________
   Detomaso Forum Managed by
   POCA
   Posted emails must not exceed 1.5 Megabytes
   DeTomaso mailing
   list
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   [8]http://poca.com/mailman/listinfo/detomaso_poca.com
   To
   manage your subscription (change email address, unsubscribe, etc.) use
   the links
   above.
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References

   1. mailto:julian_kift at hotmail.com
   2. mailto:arjun.ghoshdastidar at gmail.com
   3. mailto:detomaso at poca.com
   4. mailto:detomaso at poca.com
   5. mailto:arjun.ghoshdastidar at gmail.com
   6. mailto:detomaso at poca.com
   7. mailto:DeTomaso at poca.com
   8. http://poca.com/mailman/listinfo/detomaso_poca.com
   9. mailto:DeTomaso at poca.com
  10. http://poca.com/mailman/listinfo/detomaso_poca.com


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