Ferrari Mailing List: (NFC) Lamborghini crash

[Charles Perry (charles]

It's the same way here, as far as I know, but I am guessing that if you
bought a $300k+ car new, the extra premiums for the declared value
policy is no big deal.
 
-- charles
 
 
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Charles G Perry IV
Vice-President, Engineering
 
Carolina Sound Communications - MuzaK
7630 Southrail Road, BLDG B
N. Charleston, SC 29420 
(843) 571-4488         www.carolina-sound.com
<http://www.carolina-sound.com/> 
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________________________________

From: Britt2Asa [at] aol.com [mailto:Britt2Asa [at] aol.com] 
Sent: Tuesday, March 24, 2009 2:39 PM
To: Charles Perry
Cc: ferrari [at] ferrarilist.com
Subject: Re: [Ferrari] (NFC) Lamborghini crash


I find this a bit interesting because here in the UK the insurance will
only payout the value of the car at the current market and WILL NOT pay
the balance of the loan.
 
The only exception to this is "declared value" policies but this
generally relates to classic cars. I had this policy on my 328GTS and it
required independent value estimates from authorised valuers (authorised
by the insurance company). Because it was deemed to be a classic car
(due to its age and type) the insurance company wasn't worried about the
value dipping and in fact 328s here have been at the same price for
years.
 
Is it true that in the USA if you buy and finance a newish
Lambo/Ferrari/ect that the balance of the finance is paid off if the car
is totalled? What if you put down 50% to have lower payments and then it
was totalled? How does that stack up to somebody who puts 5% down?
 
Its been 15 years since I had a car insured in the USA..back then this
wasn't even a consideration for me...
 
Britt

        If you read the comments below the TMZ article, I think one of
those
        guys got it right:
        
        "Thanks to this terrible economy, people are abandoning horses
they can
        no longer afford, purposely walking away from expensive homes,
and
        now.... crashing cars to get the insurance payouts to settle the
loan."
        
        Not that it's impossible to do something stupid in so powerful a
car on
        residential type streets, but I think more of this is coming. If
you had
        a 6 month old F430 Spider that you had paid $250k for and was
now worth
        $130k on the secondary market, that might be a fairly strong
motivation
        to have, as I believe Clyde calls it, an unexpected terrain
contact.
        
        -- charles
        
        

 
BR in the UK
1986 328GTS (LHD 89,940km) Died August 19, 2006 Shrewsbury UK
1980 400i (RHD 74,000 miles)
Searching for the right 512TR
2003 BMW 530d
1991 Alfa Spider S4 LHD
1993 Alfa Spider S4 LHD