Insuring a modified mx5

sfhardman · Post by **sfhardman** » Wed Jul 14, 2004 1:22 pm

Hi All,

On renewing my insurance policy with AMI I noticed that my car was listed as
being unmodified. I decided to call them and let them know what had been done
so they could have no excuse to decline a claim on it. The end result is my
theft excess is up from $250 to $1000, and I can no-longer get agreed value.
The sticking point is the style bar, which apparently makes it a high theft
risk. Never mind that with the top up the car is visually indistinguishable
from stock...

So I'm thinking of changing insurers out of spite (the best reason). Does
anyone know of a good insurer for a slightly modified mx5?

Thanks,

Simon

Ian Chapman · Post by **Ian Chapman** » Wed Jul 14, 2004 1:52 pm

Simon

I would be interested to hear what mods have you got from standard that
makes them think it's easier or more desirable to steal?

I think this is a reaction from insurance companies having been 'burnt'
by too many Starlets with 17" wheels, big bores, tints and thumping
sounds.

I'm dreading letting AMI know that I am about to install a Loch Stewart
cold air intake. At least it is designed purely to increases the
efficiency of the engine and therefore burns less fuel and creates less
emissions and not a performance mod!

Please do us all a favour and make sure they know why you are taking
your business elsewhere.

Ian

sfhardman · Post by **sfhardman** » Wed Jul 14, 2004 2:25 pm

Hi Ian,

The grand total is:
2 1/4" sports exhaust
front and rear suspension braces
K&N Filter
Style bar
Air-fuel meter
Possibly lowered by the previous owner (only noticable if there's another mx
alongside)

None of which are anything I'd consider significant or likely to attract the
attention of crims. What the call centre person said was that the they were
concerned at the number of modifications, but mainly by the style bar as it was
an external modification. I pointed out that none of the mods were noticeable
from outside the car when parked but she assured me that car thiefs don't need
to see these things, they just know.

I was reminded to check it out when I saw part of a Fair Go item on car
insurance. Apparently the insurance companies now won't cover under 25's for
any model of Subaru (Presumably this includes the boy racers favourite, the 1.0
litre Subaru Justy).

As far as your intake goes you may be OK if that's all you have. You can tell
them you've fitted a cold air intake, they won't have any idea what that is, so
they won't be freaked out about you cutting the bodyshell, and it's not even
plausibly externally visible hence not a "theft risk".

Simon

Quoting Ian Chapman <Ian.Chapman@ngc.co.nz>:

[...]

SLYDIT · Post by **SLYDIT** » Wed Jul 14, 2004 5:05 pm

Simon.
Just remember that there is a huge black market for
mx5 bits in New Zealand and you cant leave them
anywhere. Acording to the insurance CO. stats its the
second most stolen car in New Zealand especially if it
has a highly desirable wind blocker, because of course
that alters the aerodynamics of the car and makes it capable of Mach 2!!!
(Note, sarcastic tone.)
It always amazes me how theyll insure a stock fast car
but not a modified "slow" car like an MX.Ask to speak
to someone who KNOWS cars, not just some call center ignoramus.

EricW · Post by **EricW** » Wed Jul 14, 2004 7:28 pm

Try IAG

Eric

Paul · Post by **Paul** » Wed Jul 14, 2004 7:52 pm

Hi All,

My first contribution.

I bought my '93 MX5 (red 1.8l) in April to replace my '87 Celica GT4 (which
I still have while it waits for a new owner, anybody interested can view on
www.panther-racing.com/celica by the way - just ignore those funny MR2
things that he is into; he's still young and needs a turbo).

Anyway - the insurance!
AA said there was no problem insuring an MX5, then decided that I needed a
micro-wave movement sensored alarm - even with the hard top, after all a
hard top is still removable! Never mind that you have to get into the car
first to do it.

I'm now insured with AIG Insurance (Via the BNZ customer scheme), they were
not bothered by the MX5 being a soft top sports car (currently standard, but
I here they are pretty flexible on modifications) I got a discount for
having a basic, no name brand alarm too!
If you are a BNZ customer phone 0800 240000, else try your own bank's
customer service as most run similar schemes for insurance and they tend to
be more flexible.

Yes I did tell AA why I was going elsewhere, taking my House & Contents
insurance too, all three times I had to ring to cancel my insurance, but
that is another story.

Good luck

Paul

EricW · Post by **EricW** » Wed Jul 14, 2004 7:56 pm

No rhyme nor reason to it. This year, my 2001, 240 km/h, $50k, BMW M5 Series
cost me $53 LESS to insure than my 1994, 180 km/h, $10K, bog standard MX5 ,
through AA, with a full no-claim bonus.
$10K of insurance would not replace the airbags on theBMW, let alone do much
in the way of repair if I pranged it, so I assume the other $40,000 is free,
or I am being very stitched up with the MX5 premium.

Another rort, I sold my yacht and bought the MX5, but found the car before
the boat sold.
Having a good relationship with Marac, through my company, I borrowed $9000,
over the phone, to pay for it. As soon as AA knew that the car was financed,
the premium went up by 10%, and would have stayed there but for my
insistence on a 10% refund when I paid Marac off four weeks later. AA's
reason? well there really isn't one, they insist that financed cars are a
greater risk, but can't explain how, or how their risk lessens once the loan
is paid off, but the same driver drives the car, presumably in the same way.

Beats me!

Eric

Greg · Post by **Greg** » Wed Jul 14, 2004 10:19 pm

Hi, all

Funny - I see a pattern here. To cut to the chase - we now have all our
cars insured with Tower / Fintel - having been with AA & given up on them as
being too damn hard to deal with. We would recommend Fintel - premiums for
out "fleet" - Nissan Maxima, Honda Jazz & the MX5 are slightly cheaper than
having them with AA - assuming that AA could actually insure the MX5, which
all seemed too hard (as I've said). How AA lost our house insurance & boat
insurance business is another story ...

The conversation between my wife (bless her) & the AA call centre went in
extended circles -
Q "Is it a hard top or a soft top?" -
A well that depends - it has both.
Q "So is it a hard top or a soft top?"
A As I said, sometimes it has a hard top, sometimes it has a soft top.
Q "Will it be garaged?"
A Sometimes. We have 3 cars & 2 garages, so one of the 3 cars we would
have insured with you will be outside at some point in time.
Q "So will it be garaged ?"
A Arrrrgggghhh
Q "Does it have an alarm?"
A Not yet - my husband is collecting the car in 30 minutes
Q "So will you be putting an alarm in ?
A Maybe
Q "So do you realise that we won't insure the car unless you sign a
statutory declaration that you will install an alarm ??"
A Click.

Suffice to say that the conversation with Fintel was much easier. Not
worried about garaging or alarms - the only thing is that if it's nicked
with no alarm, our excess is higher (by about the cost of a reasonable
alarm - food for thought still on that one). Individual premiums for the
Nissan & Jazz were higher, but with the "bulk" discount, the total premium
is lower than AA's by about $50 p.a.

Someone did call to find out why we cancelled our car insurance with AA -
upon hearing the story they were most sympathetic. However ...

So - make your own call. I must agree with Eric's comment about the
premiums, though - a minor ding in the Maxima just cost $5k to set right -
nearly the replacement value of the MX5 ...

Happy insuring
Regards,
Greg

David & Judy Kerr · Post by **David & Judy Kerr** » Wed Jul 14, 2004 10:22 pm

I called my insurance company a couple of days ago to advise them about my
intention to fit a 2" exhaust and a Loch Stewart Induction system, I also
advised them that they would give a possible 8-10 hp increase in power. I
was told that the increase in HP was ok as long as I wasn't going to race
it, I told them that I wasn't and they said that there would be no increase
in premiums or the excess. I now only have to advise them when the work has
been completed and they will send me an amended policy. I am with Norwich
through the BNZ.

Dave.

mx5mike · Post by **mx5mike** » Wed Jul 14, 2004 10:34 pm

I gave up and went with 3rd party with the BNZ on mine.

The FMII turbo, wheels, coil overs, style bar, lights etc cost significantly
more than the car but from the outside it still looks pretty standard.

$5 a fortnight. Shopped around for ages too and couldn't do any better

Then again, it's only done 400km since the last warrant.

Mike.

Danny Boon · Post by **Danny Boon** » Wed Jul 14, 2004 10:59 pm

Hi there
I'm Danny I'm 44 years old.
I have been on the mailing list for over a year now and have never posted.
I have been insured for the last four years with Lumley insurance through Westpac.
60% no claims and house and contents and a red 1990 MX5.

A week or two ago I bought a Black 93 MX5 and flew to Auckland from ChCh to get it.
I got phone cover insurance with AMI

On returning home 5 days later after driving home my policy was in the mail and they had
given me a $750 imposed excess because of the soft top on top.
I went to westpac to change it to them as I already have a 1990 mx5 with
them for the last 4 years.
They told me that my excess will be $250 and do not have an imposed excess because of the softtop.
The same as my red 1990. The assistant Bank Manager phoned Lumley to verify this.

A few days later the policy arrived in the post with a $1000 excess and was more expensive than AMI.
Also that my red MX5 policy had been changed to include this excess.
I rang them to complain and they told me there is an imposed excess because of the soft tops.
It is worded Special Conditions...WARRANTED THAT THE EXCESS IS $1000
FOR LOSS TO THE SOFT TOP AS A RESULT OF MALICIOUS DAMAGE OR THEFT ..all in capital letters

I argued that they told me the soft top would make no difference and they said I was given wrong
information and that they would also have charged me that on my existing MX5 even though it was
not mentioned in the policy if I had ever needed to make a claim. They told me this is the same for
all MX5 owners not just an imposed excess for me.

I am currently talking to IAG which owns NZI and State ( although they are 2
completely separate companies )
and they have told me they will better both deals but there would be an
imposed excess for malicious
damage or theft of $500 excess if entry was gained or damaged in regards to
the soft top.
Standard excess $300.

My Son works for IAG and he is also looking into it for me but he can't
insure me for conflict
of interest reasons so has put me in touch with a rep that will ring me
tomorrow.
Sorry about the length of this but it's a pretty important issue.
Regards Danny

Peter F · Post by **Peter F** » Thu Jul 15, 2004 4:10 pm

Does anyone insure their Mx5 with the National Auto Club? I don't, but was
curious if anyone here does and how it compares to the regular insurance
companies. http://www.natauto.co.nz

Peter

[...]

Dave Smart · Post by **Dave Smart** » Thu Jul 15, 2004 10:55 pm

Yeah, very expensive. Then, that may have something to do with my dodgy
motorbike history. :]
First year was $1600. It's coming down slowly...

They also employ the 'we won't pay or your soft top' clause.

Despite the price, good service and people, no trouble with claiming a
recent ding either.
Dave.

sfhardman · Post by **sfhardman** » Fri Jul 16, 2004 4:09 pm

Just got back a quote from NAC - the premium was the same as AMI, but the
accident excess was $800 (AMI $250) and the theft excess $2400 (AMI $1000). AMI
is not sounding so bad anymore...

Quoting Dave Smart <davesmart@xtra.co.nz>:

[...]

Nina · Post by **Nina** » Sat Jul 17, 2004 10:47 am

Hi all
When I bought the 'Bitchmobile' (89 Jap import) a couple of years ago, the
only thing that happened to my insurance was that the excess went from $300
to $500 because of the soft top. No increase anywhere else. (My old car was
a 92 Civic 1.3) Sorry I can't recall how much my yearly full coverage
insurance is, because it comes out of my bank account monthly

I'm with State Insurance, might be worth checking them out

Nina

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
In the blazing sun:
railroad tracks,
perfectly straight.
No inn to spend the night --
The moon leads the way.
Santoka Taneda

Grant · Post by **Grant** » Sat Jul 17, 2004 11:25 am

Mine is insured with AMI here in Blenheim. It is a 1992. All they wanted to
know when I insured it was:

How many doors? 2
What size motor? 1600

That was it!
They were not interested in the Genie exhaust system ithad fitted before I
bought it or when I had the spare fitted under the boot floor.
I asked about the soft top cover and they weren't worried about it either. I
have since confirmed this with them again and no problem. My excess is
$250.00. If my daughter is driving (the only under 25 driver allowed) then
the excess is $500.00. As long as the alarm is armed then if the car is
stolen, the excess is waived as well. It is an approved alarm with a
microwave detector.
For $8000.00 cover the premium is about $220.00. It cost an extra $30.00 if
I remember correctly, to add my daughter as an under 25 driver.

I have my three vehicles and house and contents with them. They were very
good to deal with when I had to replace the windscreen on my Isuzu Bighorn.
All I had to do was take it to one of their approved repairers and pick it
up when done. No cost at all and all done in a few minutes on the phone.

I don't think I'll change.

Grant in Blenheim.

EricW · Post by **EricW** » Mon Jul 19, 2004 9:24 pm

Directly comparing premiums does not really work unless you are all in the
same geographic location, as companies tend to load premiums depending on
traffic levels and risk factors in various areas.

I worked for a Christchurch company (Tait Electronics) a few years ago and
had a car insured there, it cost about half to insure it there, of what it
did to insure it in Auckland.

My premiums on all insurance dropped by about 33% when I moved from South
Auckland to Whangaparaoa about 5 years ago due to the perceived (and
probably actual) reduction in risk.

That aside, there are about 400 club MX5s out there, all in a "common
interest" group, I can't recall if I asked this before, but why have we not
tried to negotiate a group deal with one of the Insurance Companies?

Just a thought

Eric

Peter F · Post by **Peter F** » Tue Jul 20, 2004 5:57 pm

good idea about the group deal for insurance if they can beat what most
people already pay. Whoever organises sponsors and club discounts could
approach insurance companies, with advertising for them in return...

[...]

Bill Rehm · Post by **Bill Rehm** » Tue Jul 20, 2004 6:28 pm

It's been suggested (by me) but not surprising people would prefer to
whine and complain about this than make an effort to do something!

Regards
Bill