A powerful engine to outperform everyone else, neon lights worthy of Fast and Furious to impress, tinted windows for anonymity, a thunderous exhaust system to get people talking: these are all modifications that affect your car insurance policy, even if they are only cosmetic. Did you know that?
Performance enthusiasts, aesthetics aficionados, and mechanical whizzes, with this article, Assurances Multi-Risques wishes to raise your awareness of the importance of reporting any modifications made to your vehicle to your auto insurer in order to comply with regulations.
Will your insurer cover your modified vehicle?
Did you know that many auto insurers will refuse to insure you if your vehicle has been modified? This is because a modified car represents an additional risk for them: dangerous driving is more common; certain types of damage, such as fire or theft, increase; compensation payments in the event of a claim are higher due to the increase in value, etc.
In addition, a modified vehicle can complicate the claims settlement process for some less knowledgeable insurers. They will therefore refuse to cover you in order to prevent potential disputes in the event of a claim. For these reasons, at Assurances Multi-Risques, we encourage you to notify your broker or auto insurance agent if you are considering modifying your vehicle or have already done so.
Here are a few examples of changes that must be reported to your insurer:
- Special or custom paint;
- Lowered suspension (Hellaflush);
- Modified engine;
- Conversion into a motorhome;
- Installation of any type of assembly not offered by the manufacturer;
- Conversion en Hot Rod ;
- Conversion of a diesel engine to biodiesel;
- Installation of a nitro kit.
How to properly insure your modified vehicle?
First, despite the increased complexity and likely increase in your premium, be transparent with your auto insurer. Next, if your insurance company requires a professional appraisal of your vehicle, use an appraiser approved by your insurer to determine its true value in anticipation of a potential claim. Note that this appraisal should be updated at least every two years to avoid being underinsured and having your compensation limited by your insurer in the event of a claim if your vehicle increases in value in the meantime.
In addition, you should also contact the Société d’assurance automobile du Québec before purchasing a modified vehicle or modifying your own to avoid any problems. We also recommend that you consult
this link explaining the prohibitions regarding modified vehicles
.
Modifying your vehicle has undoubtedly required a considerable investment of time and money. It would be a shame to have inadequate protection for your work of art on wheels! For sound advice and protection tailored to your valuable asset, contact an independent insurance broker who specializes in modified vehicles. That way, you can drive with peace of mind (provided your modifications are legal)!