Just wondering if someone could fill me in on how insurance handles aftermarket parts. For example, I have a 50k insurance policy on the RX, and recently installed some stance coilovers. To ensure that insurance can cover the coilovers should something happen to them, would i need to call my insurance company and let them know that I have aftermarket in there?

I am just new to the insurance vs aftermarket game. Although i installed stuff on my old car, i never claimed them with insurance.

 

It depends on the company and the car. Some companies will not carry you or the car if it "modified" Check out the paperwork onyour insurance and see what it says. With that being said some companies don't give a **** and just ask that inform them of new toys added. It does change the value of your car so you might pay a few more bucks a month. What that being said new parts become a rider on your current policy so if you do get in a wreck or they are stolen they become covered if they are listed that way.

 

Yeah, it can be handled several different ways, depending on your carrier.

Some companies require an additional insurance rider to cover the cost of the parts
Some companies refuse to cover aftermarket parts
Some companies consider aftermarket parts as less valuable than OEM, and as such consider adding aftermarket parts as decreasing the value of the car, so by reporting them all you do is lower your reimbursement amount if you wreck
Some companies cover them for free without question, but these usually have those parts depreciate MUCH faster than OEM, down to worthless within a year or two.

I would only bother with getting parts added to coverage if the replacement cost is significantly higher than OEM.

Another option is to ask about a flat declared value policy. Usually more expensive premiums, but you could (for example), set a declared value of $30,000, so if it gets wrecked, you get $30,000. Usually these policies have a no-fault clause, where you only get that money if the accident was deemed as not your fault, to prevent people from deliberately wrecking to collect the money.

Your $50k policy is likely just an "up to $50,000" property damage, not flat value.

 

Right my mistake, thats what I meant. Thanks for the advice guys, it seems like I would be set with keeping my policy as is. I would assume that oem suspension would pretty much cost about the same amount as the aftermarket part, after all the depreciation and whatnot. Probably best to not worry about it.

 

You need to ask around and call them to get more information. My insurance company includes the after market parts into the value. So say I crash my car, and I have 4000 in after market upgrades. They would then give me the price of the vehicle and on top of that add the price of the mods. Now after 1 year I only get half the value of the mods, so I have to keep receipts. And each year after they they lower the value by half each time. It is though tacked on top of the overall value. I'm also not required to declare them unless there is a wreck.

Who is your insurance company, and did you keep a copy of your contract? It should be in there.