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What You Should Know About High Value Car Insurance

By March 17, 2021July 7th, 2021Premier Insurance
high-value-car-insurance

Full coverage doesn’t mean fully covered when it comes to exotic car insurance

 

Whether you’re in need of Tesla insurance or exotic car insurance, exotic car insurance can help protect your luxury vehicle after an accident.

What does high value car insurance cover?

1. Agreed Value Coverage
2. Loan / Lease Gap Coverage
3. Original Equipment Manufacturer (OEM) Parts
4. High limits for rental cars
5. Concierge claims service

Car insurance for high valued cars is tailored to private passenger vehicles and collector cars with a significant value. It is a common misconception that “full coverage” means that you are “fully covered” for your  special car. However, a standard car insurance policy with a mainstream insurance carrier can lack many of the quality coverages that you need for your Tesla, Mercedes, Bentley, or other high value car.

What is included with full coverage?

You hear full coverage everywhere, but what does it cover? Full coverage means that you carry both liability and physical damage coverage with collision and comprehensive coverage. If you have state minimum limits and physical damage coverage, technically you have full coverage. In Ohio, that means $25,000 per person and $50,000 per accident of bodily injury liability coverage and $25,000 property damage liability coverage. Common deductibles for physical damage coverage are $500 for comprehensive and collision.

A base Mercedes Benz A-Class in 2021 starts at around $33,000. Let’s say that another car hits your Mercedes and is found at fault. Your car is totaled, and their insurance should cover it. They have full coverage, so you should be fine, right? Not so fast. With minimum limits in Ohio, the maximum coverage that their insurance will pay for property damage is $25,000. On top of that, their policy with a mainstream insurance carrier will deduct for depreciation and is not required to repair or replace your vehicle with original equipment manufacturer (OEM) parts, even if your lease requires it. The best way to protect your car is with high value car insurance.

What does high value car insurance or exotic car insurance cover?

  1. Agreed value coverage

  2. Loan/lease gap coverage

  3. Original equipment manufacturer (OEM) parts

  4. High limits for rental cars

  5. Concierge claims service

1. Agreed Value Coverage

The hallmark coverage of exotic car insurance is agreed value coverage. Your high value car is insured for what it’s worth – not what a mainstream insurance company thinks they should pay you while depreciating your car’s value significantly.

2. Loan / Lease Gap Coverage

If your car is stolen or totaled in an accident, high value car insurance companies will pay for your car’s agreed value and any outstanding amount on your lease or loan.

3. Original Equipment Manufacturer (OEM) Parts

Original equipment manufacturer (OEM) parts are integral to your car’s safety. Standard insurance carriers are generally not required to repair your Tesla or Mercedes with OEM parts – leaving your car with aftermarket parts that can decrease your car’s overall value and impact its safety. Many studies have shown that vehicles repaired with aftermarket parts can cause more damage in subsequent crashes when compared to the use of OEM parts.

4. High limits for rental cars

Rental cars are often overlooked when considering car insurance, but when your car is being repaired after an accident, will you be stuck with an economy car for your commute? Mainstream insurance carriers offer as little as $20 per day to rent a car. High value car insurance provides coverage up to $15,000 in total to provide a rental car for you that fits with your lifestyle.

5. Concierge claims service

Your lifestyle is busy and you deserve immediate, white glove service. Do you have time to wait on hold at a call center after a crash or if your vehicle is stolen? At Sterling Coverage, your insurance advisors specialize in exotic car insurance for high-net-worth individuals and can offer guidance during your claim process. Many times, high value car insurance companies can also set you up with a rental car immediately when you report the claim. You won’t have to wait 24 hours or more like many other mainstream insurance carriers.

High value car insurance is vital to protecting not only your cars but your family’s safety and financial future. Contact an insurance advisor at Sterling Coverage today to make sure that your luxury vehicle is properly protected.

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