With all the people choosing insurance through regular insurance companies all I'm saying is be very careful of the wording of your policy..... Insurance salesmen will tell you what you want to hear but the guy writing the compensation check may not be on the same page....
Question
What is the difference between Agreed Value and Stated Value Insurance coverage?
Answer
An Agreed Value policy (which is the same as Hagerty’s Guaranteed Value policy) guarantees the policy will pay the full insured amount of the vehicle, inclusive of all sales taxes – with no depreciation – in case of a covered total loss. A stated value policy (sometimes called stated amount or maximum limit of liability) does not promise upfront to pay this stated amount. In the event of a covered total loss, it may pay less than the stated amount, as the insurer has the right to pay the lesser of your collector car’s depreciated actual cash value (ACV) or its replacement cost. Also, many insurers that offer stated value policies require periodic appraisals to substantiate the insured amount, adding cost and inconvenience to the client.
