Defender valuation for insurance

[Mossberg]

After buying my Defender in 2020, I have done an amount of work to improve it. I have it insured for 6k but this is due to me not upping the figure at my last insurance renewal and also doing further work since.

I have tried looking on ebay and auto trader, but they don't list any in a similar condition as mine. Most of the vehicles have advertised them showcasing the bodywork and possibly suspension lifts etc, which is not like mine.

I have concentrated on the chassis and axles to this point. New outriggers front and rear, new (well used but perfectly good condition) rear galvanised crossmember, new brake calipers front and rear, new brake lines, new Timken bearings and Corteco seals, and new swivels. The rear axle case has been replaced with a Disco 300tdi rear case which i have refurbished using electrolysis, and painted with 2x Bonda rust primer and black topcoat. New A frame ball joint.  Good as new hockey sticks with new oem bushes.  Replaced front Acle case which I think came from a TD5  and looks like new.

I have cleaned up the suspension and fitted new shocks on the front.

I have cleaned and fluid-film/Lanoguard treated the underside and used dinitrol inside the chassis.  I have done it this way so I can keep my eye on the condition of the chassis and act quickly if I see anywhere needing attention. 

The bodywork, whilst functional, is not pristine by any stretch of the imagination.  One of the wings is dented, all doors need the lower section replacing, the roof and bonnet has dents and a bit of bubbling on the rear. The bulkhead could be better but no holes.

Whilst its a K reg (93) Defender, it has a 300tdi fitted and R380 gearbox. 

A optimill QR boss and Momo millenium evo steering wheel will be fitted on next renewal.

So, whilst I have no intention of selling, I would like to get it insured for a true reflection of what it's worth, as I don't want to loose out if it gets nicked!

I hope the information given can help you give me some idea as to value.

Also, over its next insurance duration, I intend to fit a refurbished and galvanised bulkhead, so any idea of how much value this would add would be helpful too.

Well there is one thing for sure, I very rarely ask simple questions!!!

Thanks in advance for any help you can give. 

Mick

Edited October 31, 2022 by Mossberg

[smallfry]

Although you may not like or agree with my view, apart from the engine and gearbox swap, which in themselves do not really increase the value for insurance purposes, are classed as modifications, as would the steering wheel, the rest is really just maintenance. 

Again, as far as insurance value is concerned, I dont think a galvanised bulkhead would add as much value as it costs.

What all this does do though, is make it more attractive to a potential buyer.

To add insurance value, the vehicle cosmetics would be looked at. Straight panels and paintwork with no corrosion , excellent condition interior. New chassis etc.

Even if the £6k you state is on an agreed value policy, if the worst comes to the worst, you will still be expected to justify it with photos, receipts, and an "official" valuation from an owners club or somesuch.

I have also noticed that Defender prices are falling ATM. Only exceptional ones are fetching silly money. I dont know if this will be ongoing, but you can be sure that insurers will be aware.

[Mossberg]

Thanks Smallfry. 

That's a shame as the work done certainly adds cost! Also, by that logic, a vehicle with a good interior and bodywork wouldn't have much difference in value if the underneath was pristine or just barley scraping through an mot.

Whilst they could ask for photos of the state of the vehicle, there is nothing stopping me getting photos of the underneath too.

I could do some work to improve the bodywork, but that just adds to its desirability to a thief. It may sound odd but I am trying to improve the truck whilst avoiding improving the cosmetics!

How do you go about getting a valuation from a club. It would be nice to know the actual value I should give to the insurance. 

Many thanks. 

Mick

[miketomcat]

Unfortunately I tend to agree with smallfry. You can't really "add" value to a defender. You can make it more desirable but even then the value only comes from several people wanting it. Prices have definitely taken a slump recently, I think this is due to the trendy lot needing to buy electric cars to keep up with fashion . 6k might be a little low on current prices but unless it's special for some reason I doubt you would get more than 8k if you were to sell it. But what do I know?

Mike

[Bowie69]

If you have a *proper* agreed value policy there is never any argument about value, it is what you have set it.

You do pay an extra premium for it normally, as you'd expect.

Insurers that just ask what you think it is worth are probably not agreed value.

[L19MUD]

I use Admiral multicar and all the vehicles on my policy over 25 years old count as classics (you pay 10 admin fee for this and have to send a number of photos) which also means you get an agreed value.

 

I valued my fully rebuilt 90 at 15k and sent them the required photos along with the form they sent to ask for condition etc. They reviewed and agreed the value

[smallfry]

1 hour ago, Bowie69 said:

If you have a *proper* agreed value policy there is never any argument about value, it is what you have set it.

You do pay an extra premium for it normally, as you'd expect.

Insurers that just ask what you think it is worth are probably not agreed value.

This is exactly right. If you go for an "ordinary" policy, despite what you have said the vehicle is worth, they will only give you the "market value" or what they think it is worth, UNLESS the value you gave was under the market value, in which case they will give you that !

Another question sometimes asked at quote time is "How much did you pay for it ?" This can be one of their bargaining points in the event of a claim, so never give the correct figure (assuming it was not on finance which could be checked) even if the vehicle was given to you.

I have no idea how you get a club valuation or even an independent valuation, as I do not belong to any clubs nowadays, but for an agreed value policy, insurers do generally ask for this, or a few photos. Best to ask the prospective insurer what they accept.

[Peaklander]

Whatever type of policy you go for, you must declare everything that is none standard. As well as ensuring that any additional value of these is known by the underwriters, it means that they can't say that "they didn't know" about any possible additional 'risk' that some of these might pose.

[Mossberg]

Many thanks folks, I do appreciate the time you give to respond.

I do think it's a shame that a major part of the condition of a vehicle is not given better consideration, but it is what it is.

I will take some photos as a record anyway.

I try to make sure I list any mods and additions. The last thing I want is for a legitimate claim to be rejected for something stupid!

[muddy]

My 2p would be to always go higher, ultimately many insurers will not pay out above book price unless you have an agreed value as has been stated, however in the absence of the actual vehicle it is a wrangle between you and them to determine the condition of the vehicle and therefore the cost to replace with a similar one. This is where some good pictures showing the vehicle in its 'best' state and receipts for parts and work done to show that you have a good well cared for example rather than an old dog really help. 

The other thing you must consider is the cost of actually replacing the vehicle, 'X' payout may well pay for a new vehicle but there is also your time and expense to look at, transport, tax, insure and make good any replacment.

[Mossberg]

Thanks Muddy. I agree about going higher as they certainly won't negotiate up!

I think an amount of documentation, including photos and lists of the hours undertaken in restorations. 

I really don't want to negate the work I have done just because I haven't tarted the bodywork up. I also don't think a good paint job makes for a good vehicle, it has to be a complete package. 

I will put together costs for the work I have undertaken too (parts and paint etc).

Thanks for your reply. 

Mick

[Litch]

I have had my 90 on an agreed value policy for 20-years or so.

I oversubmit on the details and include more photos than requested plus my (extensive) list of work, copies of receipts etc. I don't notice it being any more expensive than a "normal" policy, this year it was £195 +£15 for the AV certification with 5K miles PA.

AV is £20K.

[Mossberg]

Thanks Litch. I think you have a good method to your estimate of valuation. I have seen your build thread so I can see how you can document your figures. 

I will make sure I document the condition of the truck with plenty of photos, plus get my invoices together and perhaps even list it on a spreadsheet. I suppose sometimes its not just what someone will pay, but how much it would cost to bring a vehicle up to the standard. I suppose it could be classed as a rolling restoration as far as valuation is concerned.