Insurance for Older Vehicles - 10 yrs old or so

[invincible7]

I would want to share the member views for getting insurance for 10 or more years older vehicles. How does one plan or go for this.
How does the vintage cars in India get insured, if they do really get insured.

Mods - I didnt find the relevant topic on this, if there is one then consider my apologies and delete this thread.

Cheers

[swathyd]

It is a very relevant topic , it really is a worry to keep old vehicles . The insurance companies never value them properly. So it is a headache to take this vehicles in our roads.

[hrag]

Less than 15 years old is not vintage. You need to take the vehicle to the insurance company for inspection (if current insurance has lapsed). For out-of-production vehicles, they usually have a chart based on which the IEV is assessed.

Why is it a headache? Genuine question.

[BaCkSeAtDrIVeR]

Third party insurance is never a problem, AFAIK. Or is it? Third party insurance = insurance for damages to others (and paid driver + passengers of the same vehicle).

Concept of IEV is something for damage to the insured vehicle. I feel that insuring a 10 year old vehicle would not be worth it - because here is how the calculations will go, for say, a job which costs 50,000/-

1. Only the depreciated value would be paid - it cost 50,000/- to put the vehicle back in shape it was before the accident, but you have used that for 10 years. If (for example), the life of the vehicle is only 12 years, the "loss" you suffered is only 50K/12 x 10 = 6334. (41666 is the value you have "used" in 10 years).

Deduct the minimum / standard deduction - I forget the exact term. (say 1,000/-)

You get 6334 - 1000 = 5,000/-. Is it worth?

[GTO - Touring]

Insuring cars that are over 10 years old is a ROYAL PAIN:

1. Several insurance companies simply refuse to give coverage (including most non-govt run).

2. And when they do, it is killer expensive! My Jeep's (now in its 12th year) 3rd party insurance alone costs around 3,500+. Comprehensive coverage for a Jeep which has NEVER had a claim, thus enjoying 65% NCB, worked out to about 4,xxx (IIRC). Now consider that my Vtecs book value is 9 times more (4.5 lacs versus .5 lac for the Jeep) and costs only 6xxx to insure (also with 65% NCB). Thus, for a car that is 12 years old and is worth 1/9th the value on paper, I pay 2/3 the Vtec insurance premium.

I am seriously considering 3rd party only at the time of the next renewal. @ Invincible, try getting a quote from New India & Tata-AIG. They cover 10+ year old cars for sure.

Concept of IEV is something for damage to the insured vehicle. I feel that insuring a 10 year old vehicle would not be worth it - because here is how the calculations will go, for say, a job which costs 50,000/-

1. Only the depreciated value would be paid - it cost 50,000/- to put the vehicle back in shape it was before the accident, but you have used that for 10 years. If (for example), the life of the vehicle is only 12 years, the "loss" you suffered is only 50K/12 x 10 = 6334. (41666 is the value you have "used" in 10 years).

PLus the fact that, if the claim amount due to you is like 75% of the book value, they will just offer to do a write-off on your car.

[kb100]

You are better of taking third party cover for any vehicle over 7 yrs old. Comprehensive insurance is just not worth it for any vehicle older than 7yrs

[aaggoswami]

I would like to share a few thoughts.
We have November 1992 Maruti 800. Insurance was never a pain till we were paying loan for this car. We are running third party insurance and not comprehensive insurance.
I recommend third party insurance because it will cost less as IMO, insurance cover in case of when we need it in case of major incidence will be very less. And for a ten year old vehicle, there is no point in paying so much.

Yes some years ago ( mostly when the car completed 14 years in 2006 ) when the car was tranferrd to my father's name, we had issue like if you do this then we cannot give this facality, etc, but we are still on third party for this car. If a car is less than 15 years, then this must not be an issue, but I have seen from our case itself that companies are not interested in even comprehensive policy. If this is the case then it is recommended that one opts for comprehensive policy to atleast have a " insurance ".

[sureshkishore]

My mother owns a 95 M 800. She still has got Comprehensive voverage on it. Last year the premium was about 1500Rs. On an IDV of 55000(I guess).
I had adviced her to keep the full coverage bcause Third party insurance itself would cost 1000Rs. So for just 500 RS extra the car is getting insured. Most Importantly whenever she plans to upgrade she can transfter her 60%NCB to her new car which would be a decent saving.

[rjvora_2000]

I think the best way to solve this issue is to go to any government insurance company and ask for third party insurance I think they will not say no to this.

As there is no point in insuring the car for other then TP insurance.

[lancer_rit]

Originally Posted by GTO - Touring

PLus the fact that, if the claim amount due to you is like 75% of the book value, they will just offer to do a write-off on your car.

That's very true. About 75% is what National Insurance considers for a "write-off". And since I checked with them recently, here is the deal :
- For a "write-off", the customer has the following 2 options:

* Car is sold to a third party on "as-is" basis where insurance company can help facilitate. Insurance co pays insured value minus third party payment with Rs. 500 std deduction.

* Customer decides to retain car. Insurance co assesses "as-is" value of the car, and pays insured value minus "as-is" value with a Rs. 500 std deduction. Now, its upto the customer do what he likes with the damaged vehicle.

[Kandisa]

Originally Posted by rjvora_2000

I think the best way to solve this issue is to go to any government insurance company and ask for third party insurance I think they will not say no to this.

As there is no point in insuring the car for other then TP insurance.

That's a viable solution. Probably New India will be a good option. I am going to encounter this situation very soon for a 15 years+ old vehicle!

[rjvora_2000]

Originally Posted by Kandisa

That's a viable solution. Probably New India will be a good option. I am going to encounter this situation very soon for a 15 years+ old vehicle!

you can go to any of this company office near you. New india, Oriental, United India and National.

[cooldude1988765]

Which third party insurance should i get for my 1994 mm540 ?
How much would it cost ?

Also the jeep is not insured right now, will this pose a problem? The jeep also has a different engine than what is mentioned on the RC, any complications regarding this ?
Thanks.

[GTO]

Originally Posted by cooldude1988765

Which third party insurance should i get for my 1994 mm540 ?
How much would it cost ?

Mumbai rates are between 3,200 - 3,600 for a 3rd party on old Jeeps.

Also the jeep is not insured right now, will this pose a problem?

Are you kidding us? DON'T DRIVE without third party coverage. Not only is it a huge risk, the law doesn't allow it either.

The jeep also has a different engine than what is mentioned on the RC, any complications regarding this ?
Thanks.

Yup, you'd need to. I am currently in the process of changing the engine details on my RC.

[rjvora_2000]

Originally Posted by cooldude1988765

Which third party insurance should i get for my 1994 mm540 ?
How much would it cost ?

Also the jeep is not insured right now, will this pose a problem? The jeep also has a different engine than what is mentioned on the RC, any complications regarding this ?
Thanks.

There are no types in TP insurance. there is one one way of TP insurance, details I think would be better that take the car to any government insurance company office and they will let you know. cost deepends on the cc of your car please let me know that.

your jeep case:- I think you will have to get it changed in RC book first then only insurance can be taken. - Talk to any motor training guy he can help you in that case.

If you need any more information come to this trend again.