Collision Insurance with Maximum Payout

[Rhonie]

Hello Everyone, I am looking for collision insurance on my vehicles that are older. I have them both covered with collision insurance, however, both of them have well over 100,000 miles on each. If one was destroyed in an auto accident I am willing to bet the insurance company would not pay out more than $2,500.
I also have complete coverage on both of them. What I am looking for is a collision insurance policy that does one of either.
Pays $5,000 even if the vehicle is not worth that amount. - In reality it would cost that amount for me to replace either.
Or if it is repairable for less than $5,000 they would pay for the repairs.
I guess you could say I want to insure the vehicles for an amount of money, rather than what they decide the replacement cost would be?
Is it possible to buy a collision policy like this? In my opinion it should cost less than a standard collision policy?

 

[djs]

If this was possible, everyone with an older car would over insure their car and then go wrap it around a telephone pole and then go buy another car and pocket some cash in the meantime.

Not a good idea.

Not sure how you would think this would be cheaper, its a claim that will happen. In insurance terminology, this is called 'betterment', which except in some isolated situations, is something insurance companies don't do.

Now, if your car is worth more than normal market value for the type of car it is (i.e., a restored classic), then yes, you can get a stated value or an agreed upon value policy. These still have significant limitations, but it makes sense in some situations.

Why do you think they will only give you a max of $2500 if it would cost you $5000 to replace the car? This should not happen. If it really costs $5000 to buy a similar car / similar condition, then they will pay you $5000 minus your deductible. If you have done other work to the car (rims, paint, stereos, whatever), then you need to talk to your agent about insuring those correctly.

Dan