Agreed Value vs. Actual Cash Value: What is the best coverage for your boat or camper?

Do you have a boat and/or camper insured (or that needs to be insured)?  Do you know what type of value it is insured for?  You might want to look at your most recent declaration page to see how it is currently covered.

Boats and campers are typically insured one of two ways - either Actual Cash Value (ACV) or Agreed Value (AV).  What is the difference?

• Agreed Value (AV):  Agreed Value means that if we have a boat insured for $10,000, and it is determined to be a total loss in a covered claim, the insurance company would pay the agreed value of $10,000.
• Actual Cash Value (ACV):  ACV pays up to the amount an item is insured for, but the insurance company determines the value.   An insurance company might use NADA and comparables to look up the value of a boat or camper.  With the same example above, the insurance company might determine (after looking at NADA and comparables) that the value is $8,000 so they pay $8,000 if the boat was determined to be a total loss in a covered claim.  

Agreed Value is better coverage, and since the values of boats and campers can be all over the place we recommend changing to Agreed Value coverage.  We have had issues where a client has felt that their camper is worth more than NADA and comparables show - Agreed Value coverage fixes this problem when there is a total loss.  If you would like to discuss how changing from Actual Cash Value to Agreed Value could affect your insurance policy, contact Absolute Insurance today by emailing us at service@insaia.com or calling us at (515)279-2722.

For more information on insuring your boat, check out our Boat Insurance page.

Spring Fever & Toys

Spring is here and the toys are coming out of storage and going to be used again. Everyone loves their classic cars, motorcycles, boats, RV’s, & other ATV’s. They are fun and exciting, especially on a nice sunny day! Let’s be honest, once the weather is nice we are ready to go. Before heading out, here are a few tips.

Tip number one is maintenance. Maintaining your toys will help them perform better and last longer. Some basics to remember are replacing spark plugs, changing fluids, cleaning or replacing filters along with your wash and wax. Lastly, before operating any vehicle you should conduct a thorough inspection!

Tip number two is insurance. Making sure you have insurance in force and being adequately insured will help prevent unnecessary cost and headache! Some basics to remember are discount’s do add up, not all home policies cover your toys, not all coverage is the same & don’t be afraid to ask your agent questions. Your insurance agent is only a phone call or email away! 

www.insaia.com

515-279-2722

Absolute Insurance Agency, LLC

7400 University Ave, Ste A

Clive, IA 50325

Spring Time Fun: Insurance for Toys

Insurance is not like the old one size fits all ball cap.  Rather, people with specialized needs will want to get a policy that provides coverage for those needs in specific.  Often times, especially with boat insurance, it is often overlooked or attached to a homeowners policy to cover liability, however, often times this is truly basic coverage that may not suit your situation.

Most often, it is better to separately insured your toys with specialized policies that can provide coverage for Custom Parts and Equipment or to add coverage to possible belongings, such as fishing equipment on a boat owners policy.

Much like an auto insurance policy, special coverage can be purchased for towing, roadside assistance, and rental reimbursement on many specialty lines products including motorcycle, RV, ATV, boat, and personal watercraft.

Another important, and often times, neglected coverage comes by way of the RV, with an optional replacement cost endorsement (if new) and vacation liability coverage.  These can be added to your specialty lines insurance coverage at reasonable cost and leave you worry-free.

We understand that these aren't just toys, they are a way of like.  Your life.  We pride ourselves in partnering with companies that hold this same view and offer competitive rates for specialty claims centers with representatives trained specifically to handle your custom needs.

Call your Absolute Agent for further details on coverage and rates.