Bike Insurance Illusion

[Maha]

An insurance question was cleared up for me last night.
I have my bike insured for $13K and paying the calculated premium for that amount.

Now, I thought (and I was wrong) that if at any stage, the Honda was written off, my insurance company would pay out $13K.
Not so.
They pay out the ' Market Value' correct?
So, if say, I was to write my bike in five years, the insurance company would pay the market Value at the time?
Not the $13K I insured it for in 08'?

Would it be advisable to re-calculate the Market Value on the bike every year or so and pay the reduced premium that would surely follow?

[spookytooth]

or you could ask about agreed value coverage

[Cayman911]

thats only if you agree on the market value.

some insurance companies value it on an agreed value, lets say your 13k. and when its written off you get 13k. but that price is reviewed and adjusted yearly.so is your premiums...
much better than market value in my opinion

[Laava]

The insurance company should automatically do that for you. If you have agreed value at $13k they would pay that out but even then it gets iffy as I found out. They will reduce the agreed value each year automatically whether you agree or not and they will never pay more than the bike is worth on the due date of issue of annual premium. Notice also that the premiums do not reduce as dramatically as the value of the bike! You and me should start an insurance scam.......er, I mean company! Kiwibarker ins. You'd have to be barking to insure with us!

[Cayman911]

The insurance company should automatically do that for you. If you have agreed value at $13k they would pay that out but even then it gets iffy as I found out. They will reduce the agreed value each year automatically whether you agree or not

they dropped the value of my car after one year by about $15000, i went to them and said hey whats going on with this? thats BS and you know it. in nicer words ofcourse.
she reviewd it, made a few phonecalls. and said thats true. it should've only gone down by about 5000.

fixed.

so talking to them does actualy help sometimes

[Laava]

I had a similar experience but they, AMI, made me get a valuation which cost me over $100

[Maha]

The insurance company should automatically do that for you. If you have agreed value at $13k they would pay that out but even then it gets iffy as I found out. They will reduce the agreed value each year automatically whether you agree or not and they will never pay more than the bike is worth on the due date of issue of annual premium. Notice also that the premiums do not reduce as dramatically as the value of the bike! You and me should start an insurance scam.......er, I mean company! Kiwibarker ins. You'd have to be barking to insure with us!

Yeah as it is right now Al it wouldn't be advisable to reduce at this stage.
Not that I would do that at anytime I wouldn't think.
Some good feeback so far.
Any reduction wouldn't amount to anything like you say.
Its a quality bike and Hondas hold thier value

Kiwibarker ins?....nice name stink slogan

[cowboyz]

without preempting my own agendas......

My bike was insured for $5k. at renewal (about 6 months ago) the insurance company suggested it was underinsured and a new policy was taken out for $6k..... then I crashed it and all of a sudden ... its lucky to be worth $3k? Ahem.. something doesnt add up!

[Laava]

Kiwibarker ins?....nice name stink slogan

Work on that one! I can see myself sitting feet up at a desk with my fat belly taking up all my lap, DECLINE stamp in one hand and incoming premiums in the other! Have to get a Harley! Oops, can't afford to insure!

[Maha]

without preempting my own agendas......

My bike was insured for $5k. at renewal (about 6 months ago) the insurance company suggested it was underinsured and a new policy was taken out for $6k..... then I crashed it and all of a sudden ... its lucky to be worth $3k? Ahem.. something doesnt add up!

Your plight is why I raised the question.

[Maha]

Work on that one! I can see myself sitting feet up at a desk with my fat belly taking up all my lap, DECLINE stamp in one hand and incoming premiums in the other! Have to get a Harley! Oops, can't afford to insure!

You would certainly need vicissitudes to kick in some time soon for that to become a reality.

[Corse1]

I watch sales prices and adjust mine accordingly each year the premiums come up. I discuss with Kiwibike and we agree on the value.
The proof will be in the pudding when its crashed or stolen on payout of agreed value I guess..............coz at the moments its just words!!

[Laava]

vicissitudes

Hahaha! I had to look that up! And I'm still not sure what it means!

[Maha]

Hahaha! I had to look that up! And I'm still not sure what it means!

Change of circumstance etc....but just drop it into any conversation and people just nod.....

I had Mr Collins opened on page 1038 at the time of posting.

[Owl]

My bike was insured for $5k. at renewal (about 6 months ago) the insurance company suggested it was underinsured and a new policy was taken out for $6k..... then I crashed it and all of a sudden ... its lucky to be worth $3k? Ahem.. something doesnt add up!

So what does your own valuation say?