Car Insurance + Gap Insurance

[Keethos 842]

Hi all,A couple of odd/random questions here but here goes. When stating the value of your vehicle to your insurance company, this isn't what the insurance company will pay out will it? They will have a search and see how much the car is worth at the time of the crash, not at the time of renewal right? But I take it that if I state the value too low (thus lowing my premium?), then they will probably pay out that much rather than paying up to what the car is truly worth in the current market right? Now if that is the case, is this an issue if I have gap insurance? The gap insurance will cover the difference whatever the standard insurance company pays out right?The main reason for this query is because I'm due a renewal soon-ish (5th October) and if I wanted to go with a company such as Greenlight Insurance (who are a performance specialist insurance company), who were pretty competitive when I had my Clio RS 200 and who offer Trackday insurance for £50 (I believe), I would have continued with them. However, turned out that they have a vehicle value cap of £20k, so at the time, the GT86 was too expensive for them to insure, which was just outrageous, how can you be an insurance company who specialises in performance cars and have a vehicle value cap of £20k? Aaaanyways, just thinking weather it would be ok to estimate my vehicle as being £20k so I could potentially get insurance with them and since I have gap insurance, need not to worry that I've under estimated the value of my vehicle? Thanks.

[Lauren 2259]

The way I understand it, the insurance company will decide what to pay out based on what your car is worth. If your car is a year old it is probably is worth around 20K. We need Ollie!

[LFA 68]

If you can typically buy one for 20k then insure it for 20k but it is worth understanding how any given firm operates at claim time. Be careful not to under insure though as this can lead to less being paid out at claim time.

[Keethos 842]

That's my worry LFA, but then again I've got Gap Insurance so my thought is that it would be ok as they'd cover the difference anyway right?

[LFA 68]

I suspect your Gap policy will have a term related to you holding appropriate vehicle insurance so I think you could be on a sticky wicket if you under-insure on your main policy. There are plenty of insurers who deal in modified vehicles, with larger than 20k limits.

[Lauren 2259]

I've had a quick chat with Ollie from Sky, he's coming on board. I've pointed him to this thread too. :+:

[Keethos 842]

Thanks Lauren!