Agreed Valuations For Insurance Purposes

Please note: We are running on a limited service, please email lisa@bmwcarclubgb.co.uk to check whether there is availability to value your car. 

Regrettably we currently cannot provide valuations for the following

To download a Valuation form, click the icon at the bottom of this page.

Do you own a classic or rare BMW and want to ensure it’s covered for any unfortunate accidents or theft? Please find everything you need to know below.

Do you need a valuation or not?

For some insurance companies, an Agreed Valuation is compulsory, and are required every 2 years. However, this is not the case for all insurance companies, and it becomes the owner’s responsibility to request one for their vehicle.

Agreed Valuations tend to be helpful for classic cars (around 20-25 years and older) and rare cars. Most modern cars can be valued by Market Value, with these valuations being available in publications such as Glass’s Guide. A valuation would not be required for these vehicles, and likely not accepted by the insurance companies.

As a Club, we encourage all owners of classic and rare BMWs to put an Agreed Value in place, however, this would not be necessary unless your BMW is of significant value. Unfortunately, with no Agreed Value in place, you put yourself at risk of a low value given by the insurance company in result of an accident or theft. The BMW Car Club GB will not be able to help after an accident or theft has occurred, so get ahead of yourself and request a valuation today.

What is an “Agreed Value”?

So what is an Agreed Value? An “Agreed Value” is just that – an amount agreed with the insurer as the money that will be paid out if that car is stolen or written off (subject sometimes to “wear-and-tear” and other factors that may affect the value of a car within a period of insurance). Agreed Values can be provided by this Car Club amongst others.

Statistics will show that premiums are often very low particularly in relationship to the sum insured, and are clear proof that claims are few. Not surprising perhaps, given the modest annual mileage many cover but also that the care and attention lavished shows that owners take pride and responsibility in protecting their investment.

How do I get an Agreed Value?

Firstly, download the Valuation Request Form at the bottom of this page. This form will give you a list of documents to include with your valuation, however generally we will require a minimum of 10 images, invoices and service history, and MOT certificate if applicable.

Please note that valuations take around 4-6 weeks to be completed, but as our Register Chairs are all volunteers, you could expect to wait a little longer. Please plan ahead, and request your valuation in plenty of time. Some insurance companies allow a 14 day cooling off period to submit your Agreed Value after renewing your insurance.

Unfortunately due to the fact that our Register Chairs are volunteers, we may not be able to value certain models. Please find a list of models that we cannot provide valuations for above.

An Agreed Valuation will cost £24.99 for Club members, or £49.98 for non-members, payable by calling the office on 01970 267 989.

How are valuations arrived at?

There is no exact science but use is made of price guides shown at the rear of magazines such as Classic Cars. I have found these to be mostly below the real market prices and it must be questioned how often these are updated? This is a typical example – ‘Classic Cars’ magazine price guide Jan 2009 – Lotus Mk 1 ‘63-‘64, Mint – £18,000, Average – £10,750, Rough – £6,000. A private sale – dry stored for 20 years sold in January for £20,000 and would need a budget of approx £5-8,000 to recommission the vehicle for the road. Valuers must consider any specific extras fitted such as mirrors, wheels, steering wheel, suspension kits from the likes of Alpina, Schnitzer or Hartge. The value of the car is one thing, these additional items are another, and should be listed with receipts retained. Owners need to be aware that such “enhancements” may add value but they could equally detract from value if the car has moved from its ex-Factory condition in ways that potential purchasers view as non-original. Experience of the model concerned is also important in weighing one car against another of those seen for sale on the internet sites such as piston heads, classiccarsforsale, mobile.de, Classic Car magazines, auction results and from talking to dealers. Once a valuation has been received it is sensible to consider the amount stated and if you believe this to be incorrect one should contact the valuer immediately. It may be that the owner has picked up a trend missed by others…Be aware that underwriters may reject the valuation, it then becomes the responsibility of the valuer to prove their research. I spoke to the owner of the Lotus who had sold the car immediately and confessed that he should have advertised it for more such was the level of response. One could say, therefore, that had this owner used this guide for valuation purposes his Mint Lotus (which he stated on his insurance policy at £18,000) was stolen, he might find that after his pay-out a further £7-10,000 would be needed to replace with a similar car!

Insurers are expecting the Club to base its valuations on their experience of cars in the UK market. Whilst prices overseas MAY affect UK prices this has to be treated carefully as currency fluctuations can appear to change the value of certain models (up or down) simply because of exchange rates for the Euro/Dollar. Sometimes the scarcity of a model will make finding recent UK sales difficult. In these situations the valuer may look overseas to assess the relative sale values over the last 12 months. For example, a car similar to the E30 M3 EVO Sport mentioned above which was selling last year for 40,000 Euros was the next year selling for 60,000 Euros – an increase of 50%. Based on this increase a UK car which last year was valued at £25,000 would now be valued at £37,500.

Valuations will NOT be based on the exchange rate of the Euro/Dollar from year to year. This means that in the example above, what sold at 40,000 Euros was, at an exchange rate of 1.75 Euros that year, “equated to £22,875 whereas with the exchange rate now at around 1.20 Euros to the pound, 60,000 Euros translates into £50,000. The UK car would appear to have doubled in value but part of the increase is solely down to currency exchange rates and for this reason the Club valuation would EXCLUDE any effect of currency fluctuations.

What are the benefits of an Agreed Value?

At the end of the day all one wants to know is in the event of a loss the correct value has been covered by one’s insurance policy. It remains firmly in the lap of the owner to make sure this is adequately documented to avoid any disagreements and therefore in the event of a claim to receive a swift settlement. Agreed Values are just that – values agreed between owner and insurer as to the money that will be paid out in the event of a loss or total write-off. To get your valuation done will cost from just £24.99 through this club. You will be asked to provide a series of photographs and also certain information about your car’s history. The template for this information is shown in the Members’ Area of the club web site. Any thoughts or ideas on this subject would be most welcome – officeadmin@bmwcarclubgb.co.uk

What do you do if you did not have an agreed value?

Unfortunately as stated above, the Club is unable to help with valuations after a car has been involved in an accident or theft. However all is not lost. If you are facing a settlement figure that you are not happy with, and feel that your car is worth more, you can put together evidence of previously sold cars to pack up an argument against your insurance company. Online auction sites allow you to search for previously sold cars, and you’ll be able to pull out cars of similar model, age, condition and mileage as yours. Put these together along with all documentation you may have such as receipts and invoices, and send it across to the insurance company. You can find auction results from websites such as Cars Online by Bonhams, Collecting Cars, Iconic Auctioneers, Historic Auctioneers, Car and Classic, Manor Park Classics, Classic Car Auctions, etc.

To download a valuation form, just click on the icon’s below.