Modifications and insurance

[No457 Snowy]

But what if they don't know that the car has been tuned? I'm a new GTI owner considering the treatment and the REVO website says clearly that insurance companies can't see that the car has been tuned.

Well that's where it comes back to you because you have a "Duty of Disclosure" whereby you MUST notify them as a condition of them agreeing to insure you. If they balk at an expensive claim and do some investigating and find things for themselves then your policy is null and void.

On the issue of brakes you must have an Engineers Certificate if you modify the braking system in any way that uses components that were not originally spec'd by the manufacturer as options for the vehicle.

You need to do your homework guys, don't play around with insurance companies because they are very experienced in dealing with this stuff on expensive modded cars that have been written off by people who thought they were smarter than the insurance company lawyers.

Best advice is to call them and discuss what they will and won't allow, if you lie to them or don't disclose full information then you're still not really covered because you are still at risk of them finding out and they can use that as an excuse to say if they had of known then insurance would never have been offered, so in the end you've paid all that money, but in reality you're still at risk. Not very smart.


Snowy.

[ggsngolf]

Hi all, with my insurance due on my car end of this month, reading this thread led me to the shannons website. My MK4 2L has been chipped and slightly modified and these are not covered in my Allianz insurance I am sure. So, on line the estimate (Shannon) was only $55 more with the option of mthly, 1/4, 1/2 or full year payments - great! Rang them up, unfortunately because this is my first 'modified' car, and I have not competed in track race days, advanced driving courses or have no history as a 'motor car enthusiast' - I do not qualify for Shannon insurance. Isn't Shannon car insurance for the modified car owner???? Does anyone have any other insurance company options??? Because my only other alternatives are to a) lie to my insurance company saying I have no mods and hope that nothing happens to the car or b) remove all mods so that the car falls in line with conditions of insurance.

[Vee-Dub]

Im insured through just car and they were fine with all my modifacations although some being illegal, i.e 19;s, coilovers, height, and they insured me for 5k + worth of stero, my insurance anually is around $3k which i have adjusted so i have a larger excess and only pay $1400 a year, pretty good considering even for a stock golf i was looking round the $1500 mark, Just starting to get some quotes at the minute for when I upgrade to a GTI

[VWEAPN]

insurance companies only insure a vehicle that is road worthy. speak to RTA technical to find out what is road worthy and what isnt.

[Mr Messy]

The more I think about it the more i want to chip mine, so I've had a bit of a look at insurance again.

NRMA costs me (<25, male, dodgy suburb, speed fine last year) about $250 a month, with a premium of $1100 or so. CPU mods not allowed.

(For interest I was quoted $4000 prem + $1k exess by AAMI and $2500 prem + $2k excess by Just Car)

Shannons cost for the same car, location, history etc $175 or so with an excess of $900.

With a modified ECU (I said APR on the phone) and 18 inch wheels - not costing extra, just for the 'risk' of it- the premiums go up to $195 or thereabouts. The dude on the phone asked lots of questions about whether I was a member of a car club/had done skid pans/ owned other 'enthusiast' cars but they can't be picky as I have none of the above and still qualified for insurance.

Anyway, for me Shannons seems to be a win-win because I'm not deceiving the NRMA (and hoping they don't find out) and have free reign to modify the car (so long as mods are legal).

[Dub_Star_V6]

well we are on the subject, do slotted rotors and upgraded pads need to be shown ?

Snowy ^^^^ is spot on. It's all about disclosure.

Pads won't matter one bit, as they don't change the mechanical componentry of the vehicle. And uprated discs and brakes are fine so long as they are able to be installed without modification. That is, they attach to the the original mounting hardware like hubs etc. And just in case you were wondering, spacers are illegal for road use, boys and girls.

Example: I went from 276mm solid discs to 294mm vented and slotted 4 pots on my '93 Subaru Liberty and NRMA just said "Thanks for letting us know." No change in premium, no hassles, no dramas.

On the other hand, braided lines are quite a bit different as they need to comply with ADR standards.

Think of it like Customs when you're entering or leaving Australia. People think that if you declare something it will be confiscated? Let me tell you after working in the airline industry for quite a number of years (both here and abroad) that Customs is far less likely to ask to check your bags if you tell them what you're carrying, rather than them having to dig through your stuff.

It's the same with insurance: do the sensible thing and tell your provider before you go crazy with mods that might void warranty, rego and insurance

[sierra055]

...<25, male, dodgy suburb, speed fine last year) about $250 a month, with a premium of $1100 or so. CPU mods not allowed.

(For interest I was quoted $4000 prem + $1k exess by AAMI and $2500 prem + $2k excess by Just Car)

Shannons cost for the same car, location, history etc $175 or so with an excess of $900.

...


Anyway, for me Shannons seems to be a win-win because I'm not deceiving the NRMA (and hoping they don't find out) and have free reign to modify the car (so long as mods are legal).

I didn't think Shannons insure under 25's?

Obviously Just Cars are another option with younger drivers and/or modified cars.

[Vee-Dub]

Shannons sometimes will insure under 25's, if you are a car enthuseist, or have atleast 5 years driving experience, im only 18 and they were going to give me insurance no worries

[gareth_oau]

someone mentioned on this or a sister forum that Just Car have some fine print saying they will use secondhand parts for repairs at their sole discretion

Cant verify that, but worth checking

[dubbed]

They also say they will cover certain modifications but if you're involved in a crash and they aren't legal, engineered, and/or road worthy they won't cover you.

[fuzion]

my car is completely covered including my boser bonnet via Just Cars, approx $1800 a year is what i pay almost. with nrma staff discount it was still over 3500+ and as mentioned no ecu mods were allowed so wasnt useful.

shannons your car must be garages is the only thing they request

[Mr ©harisma]

Wow, easiest thing to do is call your insurance company. I do work for one ( not going to mention names ) and most places are ok with mods.

They do separate on Modifications and Accessories. A Mod is a performance enhancing part e.g. Suspension changes, turbo, ECU etc.

An accessory is like tint, tow bar, etc. Definately read your PDS though.

If you are ever unsure about who will cover unique cars or situations, contact the Finacial Ombudsman Service to save yourself some time.