Is It Collector Car Insurance or a Crossword Puzzle?

The answers are not always what your insurance agent tells you ...

It's what agents fail to tell you or don't understand.

by Holly Bromberg

From the book:
The SL Experience
"Five Decades of the
Mercedes-Benz SL"
The Ultimate SL Resource Book

358 pages. Over 250 color photos. Hardbound. Full Color.
ISBN 0-9635394-2-6

Part 4:  Agreed Amount or Agreed Value

This is the only policy form guaranteeing you in writing what amount you will receive if your "Collector Car" is stolen or totaled during the policy period.

Note there is no "Actual Cash Value" clause in the form. The "Agreed Amount" form states the insurance company will pay you, the lesser of:

1. The "Agreed Amount," or
2. The cost to repair the covered auto, not to exceed the "Agreed Amount".

The "Agreed Amount" should be reviewed carefully with your agent before the policy is issued. Your agent and you must agree together upon the "Agreed Amount" before the policy is issued.

The "Agreed Amount" should represent the true market value of the car at the time the policy is written.  If the market value changes during the policy period, the "Agreed Amount" can be changed by endorsement.  Before policy renewal each year the "Agreed Amount" should be changed, if necessary, to reflect current market value.