Gotta love State Farm Insurance....

Repost, but when I bought my Testarossa, the State Farm lady wanted to have a picture of it. I said sure, but I want to stop by first and get an insurance slip before I drive it. So, I drive over in my Porsche 993 and she makes me a slip.

When I go back out to the car in front, there is her assistant gopher-boy taking a picture of the Targa. He thouught that it was the Testarossa. And it was not even red!

They have given me a good rate on my collector cars, however.

 

Possibly because they have no idea what they are?

 

I have all my cars with them, 5 digit VINs...they catch on after the second or third one on the coverage.....

The only bad experience I have ever had with them was when one of their OTHER customers hit my Ferrari.

That took years to get worked out...LOL!

 

Tom C, the answer to THAT question is "FIAT"....LOL!

 

State Farm here, on a 348. No problems whatsoever.

If I recall, my local DMV needed an etching of the VIN plate however because it wasn't in their computers. No big deal, with the etching they immediatly accepted it and issued license plates.

 

These kinds of things may 'seem' funny, but the laughter will turn into tears when it comes time to file a claim regarding something minor you 'think' is covered under your policy, or worse - a total-loss situation, and your clueless insurance company cuts you a (Pontiac) 'Fiero'-sized check for your prized Italian Exotic. Then, it will be way-too-late for their education regarding the car, the actual cost-of-repair for an exotic, estimated value, diminished value, etc. I thought insurance was supposed to mitigate risk, not add to the equation.

 

I had no problems getting my 348 insured with State Farm. However, over the last couple of weeks, I've been talking to them about converting to a stated-value policy, which they said they could do. Well my agent just informed me last week that they can't do one for my 348 because it's too new -- they will only write a stated-value policy for cars that are 35 years or older. So now I may have to move the 348 to another company.

 

Yes, to State Farm an old car is just an old car. Probably a better bet to talk Hagerty, Grundy, or another company that will write a stated value policy.

 

I bought my Lotus from a local (sort of) guy in 2001. A week earlier I called my insurance company, Millers, for a full coverage quote; it took 3 days but they said $500 or so. I said fine. I buy the car and call them to add it to my policy. They called back and said they wouldn't cover it!

"Well sir, we didn't know who made a Lotus," the lady said.

"Lotus makes Lotus. I thought you were in the car business."

"Sir, we didn't know it was an exotic; we don't insure exotics," she replied.

"Look," I said, trying hard to keep my temper, "The car is worth less than my two Hondas. You also have my house and life insured."

"Well sir, I'm sorry. There's nothing I can do."

So I dropped Millers completely and went with Hagerty for the car, who faxed me proof of insurance the same day I called them. I was amazed Miller's didn't just write the policy; they could have hedged that bet with another company and kept all the rest of the policies I had with them.

Ken

 

Nationwide provides stated-value for 'newer' vehicles. I had no problem getting it on my '84 Mondial.

 

I normally don't post here but I read most all of the Ferrari threads every day. Had a few Ferari's in the past but that's not why I'm posting. I was a bit amused at this thread because something similar happened to me a few years back when I registered my Miura. As you may or may not know the entire VIN is simply 4 digits. The local tag agent thought it was some type of utility trailer!! Took a bit of explaining but we worked it out. My insurance agent thankfully is a car guy too. Went very smooth from there.

 

My vin is 2577R. So far, both IL and my insurance companies have been fine with it.

Ken

 

I understand this is starting to become all-too-common. Due to the costs associated with repair/replacement of these machines, their performance capabilities, liability, value, etc. some insurance companies are just saying 'NO'. When I first purchased my car, I was required to carry full-coverage insurance because I had a lien on the car - that's fine. Obtaining full-coverage for a 23-year-old Ferrari, for a driver with some 'claim history' (Ford truck windshield replacement from stone chips, required by law in some states, still counts against you) and an occasional moving violation (42 in a 35? Standard, nickel-n-dime throwaway ticket) made the car and me UN-insurable, regardless of how many other policies (home/life/auto) I was carrying or how much I was willing to pay a month in fees. Even Hagarty and Grundy said 'NO'. At one time, I had a month of coverage to 'buy' the car, and was immediately dropped/cancelled in about 30 days within the time I took delivery. The 'big name' insurance carriers are not your friends - they are a profit-making entitiy that will screw you, embroil you in red-tape/litigation, low-ball you, deny your claim, etc. to avoid paying what is needed to make you 'whole' when there's a problem.

 

When I bought my 308 I called my Allstate agent and they literally laughed at me over the phone. I have everything else with them, cars, house, liability. Kind of made me mad at first but I'm sure I got a much better deal with Hagerty anyway so I let it drop. Last time I talked with my Allstate agent though they asked me why I didn't have the Ferrari with them and I laughed back at them!

 

The correct answer would be Fiat...

 

My SF agent asked the same thing about Alfa.

After slogging through the Alfa and the EVO, the Ferrari wasn't that much of a problem.

But my Commerce agent in MA got real worried when I was comparing the EVO to a WRX. ("A wrecks!!??")

The problem with saying that Ferrari is made by Fiat is that Fiat has been gone from the US market longer than Alfa, and nobody seems to remember Alfa. Like as not, you'd wind up with "Fee-Yatch" on the form.

 

I always post this message on threads like this because it always seems to be news to a lot of people, but insurance is regulated by the states. Therefore, they have different rules to play by and therefore different appetities in each state. State Farm and anyone else might be super cheap and aggressive in one state and terrible in another.

State Farm is, overall, an excellent company. They are more loyal to longtime customers than most. They will insure exotics, whereas most other carriers won't. Just remember that you get what you pay for. You have to carefully read your policy to be sure of your coverage. Most of the policies they issue settle claims on an actual cash value basis, not agreed value. Not a problem if you have a stock car that's only a few years old. However, a vintage car or one that is heavily modified will be a problem if it gets damaged.

You will likely get better coverage from one of the programs-Hagerty, Grundy, etc. However, you need to carefully read the Conditions of the policy and your Duties in The Event of a Loss. You need to read the whole policy, but pay particular attention to those sections. Also, you will probably not have excess coverage over this stand-alone policy. That's a mistake if you are a high net worth individual. $250K or even $500K per loss is not very much.

There are a few companies that are accessed through independent brokers that will do a good job on your exotic if they write your other cars and a home or two along with your art and other toys. IMHO, that's where many of you belong. Anyone who can afford a new Ferrari should be consulting with a personal risk manager.

 

An exotic? What constitutes exotic? Hey, Honda used to make an exotic car; the NSX. Does that mean that every Honda is an exotic? Lotus has made some exotics and IMO still does with the Elise and Exige, but does that mean every Lotus is an exotic?

It's just ignorance.


BTW, how are the rates on Hagerty?

 

My car is insured through State Farm. I was concerned about the Antique/Classic Car/Stated Value insurance based on some of the threads posted on FChat. Some posts on a different thread even indicated a car insured under this policy needed to be towed to any events. I spoke at length to my agent and received a copy of the policy definition:

ANTIQUE AND CLASSIC AUTOMOBILES AND REPLICAS—LIMITED USE
Vehicles of the type described below which are used on a very limited basis, such as exhibitions, club activities, parades, or similar functions of public interest, shall be rated in accordance with this rule. Vehicles which are regularly used for personal, pleasure, and business purposes shall be classified and rated in accordance with the regular rules and rates applying to the type of vehicle insured.

A Classic Automobile is a motor vehicle which is ten or more years old and which because of limited production or exceptionally fine workmanship is a rarity or of historic interest and which has been restored, maintained, or preserved by classic automobile hobbyists.

An Antique Automobile is a motor vehicle which is 25 or more years old and which has been restored, maintained, or preserved by antique automobile hobbyists.

My 328 is defined as a Classic car, and I use it on a limited basis. This includes driving it on the weekend, just as long as I do not use it as a daily driver. At least in Illinois, the State Farm policy works.

 

Working with a "Stated Value" State Farm claim right now on a 308 and finished one a year or so back on a 550.

Both were horrible experiances that would not have satisfied a Honda Civic owner let alone a Ferrari owner. That said, one of the claims reps is proactive and wants a job done right but that is only after the first cut many corners causing major problems.

Remember that these days used parts are a fact of life as many parts are no longer available. An owner can expect that a used fender should be brought to an "as new" condition being stripped and treated and then installed. Same goes for A arms, steering racks.... but that is not the case with these examples I have delt with. No, I will not install a used A arm without rebushing and painting it not nor will I reuse the old steering rack mounts.

The daily use insurance companies have no idea what they are dealing with in the Ferrari market. If one is to use them run the agent through a series of questions regarding parts seniero's where used parts will be required and see what the answers are and get them in writing before the policy is purchased. Remember to use a body shop that is owner friendly as the insurance companies feed the body shops and in turn they will cut corners to repay the referal. Be present when the adjuster looks a car over, ask as many questions as you can think of and point out the smallest details asking how they will be resolved. I choose to simply ignore the adjuster and his demands on which corners to cut and fixed a car correctly letting the owner deal with them. As the policy holder the owner has the power to cut through the BS.

Telling the adjuster to wait 5 mins. while Kris types up a disclaimer for the adjuster to sign, transfering all future liability to him and his company regarding the repair techniques he is demanding usually gets their attention and opens the door to a proper repair dialog.

Finishing the customers 308 up now, I plan on running my own agent through a series of difficult questions regarding my own cars, as I refuse to go through what these owners did.

Dave

 

Dave,

Great insight. Do you have any experience with companies like Hagerty or Grundy? Who is the company you use to insure your personal Ferrari?

 

I could only get Chubb to insure the 430 and 575 under their Masterpiece program? I guess I'll check with my insurance handler on looking around again.