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. !?!

[VW Convert]

Hi Folks,

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

I'd suggest you read your policy, I'm certain that conditions regarding modifications will be mentioned. Anything that changes the insurer's risk can have drastic implications, if in doubt, contact your insurer.

Cheers

George

[gh172]

So if we are to assume that most people have informed their insurance companies, and that your modifications have to be RTA approved. Can I ask what the response has been from your insurance company when you've told them you have an APR or GIAC, Bluefin tune and so on. I haven't informed mine yet as I haven't been sure about how to describe the tune .I can't see how it could be RTA approved.

[wai]

So if we are to assume that most people have informed their insurance companies, and that your modifications have to be RTA approved. Can I ask what the response has been from your insurance company when you've told them you have an APR or GIAC, Bluefin tune and so on. I haven't informed mine yet as I haven't been sure about how to describe the tune .I can't see how it could be RTA approved.

I seriously doubt that the RTA would approve any re-chip modification as it would be altering an ADR system from that certified by the vehicle manufacturer. If in the extremely unlikely event it is RTA approved, it will have a sticker attached to it saying so. I also doubt that a re-chip manufacturer would go to the trouble of getting ADR certification, particularly for an emissions system. I know how difficult it can be to do the accumulation kilometre test, and how the major car manufacturers have to start again because the accumulation kilometre vehicle suffers a fault that sees it having to be replaced, or repaired to the extent that the accumulation kilometres have to be started al over again.

On my Hiace I had an RTA approved additional bench seat, and it DID have a sticker saying it was RTA approved.

So, ask the people supplying the kit to provide that to you.

[gh172]

That's why I'm wondering the response people are hearing from their insurance companies when advising them of their tunes. Most people are saying you'd be mad not to tell your insurance company. So I'm assuming they've done so. What are your insurers saying in regards to your tunes?

[hazrd]

I've just gone through all of this myself. Had to find something other than AAMI as they would no longer cover my Pog. Found it difficult to find someone who would provide me with a reasonable premium after mentioning an ECU flash.

You pay 10/20/30/40+ k for a car, spending an extra 1/2k a year for insurance whilst declaring absolutely everything is definitely worth it