Hoping someone has some knowledge here. Basically I have been told by my GAP provider that if the modifications I have made on my vehicle end up for some reason lowering the market value then they will not pay out the difference between the market value that would have been without the modifications and the market value with modifications. So if the market value reduces by £1000 because of the modifications then this will not be covered.
Anyone thought of this? Or had experiences where modifications lowered the market value of the vehicle?
I would tend to agree that modifications generally don’t enhance the value of a car in the general market. Difficult for garages to classify, has the vehicle been used for motorsports etc…
Thanks. I am not really worried about the modifications increasing the market value; more about it lessening the value. That is a worrying thought because how far low could they set the market value because of said modifications?
And this is actually broader; will concern others too in general terms.
Fairly well known and accepted, if you modify your car beyond a certain level then you’re doing it for you and that’s perfectly valid, people generally (should) understand that they’re unlikely to get back what has been spent.
If you look at the title of the thread I am stating it is possible that the market value of the vehicle will reduce because of the modifications. And I am hoping someone can give some more clarity around this specific situation.
I think the only real solution is to get an agreed value in place in that sense. But who offers that?
It really depends on the mod. I find that MX5’s are one of those cars that don’t depreciate from the vast majority of mods done to them. You can add value with certain things, especially to the right buyer, but I’ve never known a 5 to be going dirt cheap because it’s been modified; only because it’s broken or rusty.
Besides, even the earlier (and especially the lower spec) NC’s now seem to be in very much the lower price bracket of used cars, so often it’s not even possible for their prices to go down any further.
You could try joining the Club as you seem keen to share in the common knowledge here. The Club insurance provider may be able to help you though previous posts by you suggest you have spoken to them already even though you’re not a member… To be honest I’m not sure anyone can help you.
Thanks. This is my worry. What is to stop the insurance company turning around one day and saying the modifications ‘have been deemed’ to lower the market value by a substantial amount? It leaves things open to interpretation which I don’t want.
I am going to fit superior parts like brake calipers, pads, springs, coils and so how can Peter James not tell me from the outset whether this will reduce the market value? It seems really strange.
Peter James were not appropriate. They are not clear on this basic aspect saying they will decide at the time of the valuation. I was told earlier by them they could cover my car for the value I decide and then I was told that was an error. So basically by telling me that I went to someone and stated the modifications I needed but the reality was the insurance was flawed from the outset. So a lot of time was wasted.