Insurance Implications

[OzTrekker]

Hi Folks,

Does anybody know what implications, if any, there are with insurance if you install an ECU upgrade?

[h100vw]

You should tell them and they may jack up the premium.

[Large Fruit]

If you modify the car and don't tell them you are insane IMO.

The price of Insurance is pretty cheap compared to buying a $60k+ car then smashing into another $60k+ car.

You'll hear from many people that it'll be ok.

Then when you have an accident and it's denied, you'll see quite a few people come out of the woodwork about how it also happened to them or a friend etc.

[wai]

If you make any modifications, particularly performance ones (even if you do not think they are performance modifications), you need to let your insurer know, otherwise they may (more like will) not meet any claim made against the policy.

There are some things that they will let go, however you never want to give them an excuse to deny a claim. Remember that the busines model for an insurance company is to accept premiums but pay out as little as possible. Just don't give them an excuse.

[Ben J]

My old car was modified in almost every way possible and I didn't tell insurance a thing. They paid out no questoins asked. But then again it was only insured for 7500 with a 2200 excess and not 60000, which I'm sure they'd go to a lot more effort for trying to deny.

[bluefrog]

RACV automatically cover all modifications on new cars for the first two years - for no extra. Only after two years do you need to specify.

[l3lazin]

Just called up NRMA and they said any modifications that are RTA approved are fine... lol WTF, is bluefin RTA approved? haha

[bluefrog]

I think what the call-centre monkey really meant to say was 'modifications that don't break RTA vehicle regulations'

[wai]

The only time you find out is when you claim. Until then, they can and will say anything. You may get away with it depending on how the insurance company or rep is going, much like getting discounts from a dealer when buying a car. It comes down to whether you are prepared to risk it, and it is not just your car that you might be prepared to write off. There is the other vehicle and property that can dwarf what you are prepared to write off.

[bluefrog]

That is sooo true. I remember calling my insurance company during a house extension to ask about whether the way the builder had bolted up a massive hole in the wall constituted an uncompromised/secure dwelling. The response I got was "that is something an assessor would need to decide", to which I asked "well can I talk to an assessor about it?" ... the poor call-centre monkey's response was then: "no, not until a claim is made"

W. T. F. !?!