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Insurance for classic MGs

Insurance for the MGBV8 and MG RV8 is an important consideration for the V8 enthusiast because it is vital the policy provides sufficient cover in the event of a claim. Here Victor Smith reproduces a section of the Notes for MGV8 enthusiasts which were included as a section of the Members' Handbook produced by the V8 Register in 1996. (April 96)

Limited mileage policies are available from specialist brokers for the MG RV8 model but in assessing the sufficiency of cover, members will need to reflect on the following points:

Agreed value
The first consideration is to ensure that in the event of a loss, the sum you will receive from the insurer represents the true cost of replacing your cherished machine. The only way to have reasonable confidence in this respect is to have an agreed value policy to avoid the shock following a claim when an insurance assessor's valuation comes in way below what you had reasonably thought was the true value.

Reinstatement costs
An equally sobering factor to consider when determining the amount of the agreed value is the cost of reinstatement should your MG RV8 require substantial crash repair work. A number of specialists have commented in recent years that the cost of rebuilding a damaged MGV8 can often exceed the market value of the machine.

Valuations
The key point to have in mind when obtaining a valuation is that should it ever have to be tested it should be seen as a true and fair view of a person suitably experienced and qualified to assess the condition of the vehicle who has an informed

knowledge of the market for MGV8s and reinstatement costs. Many members will have heard of schemes where the agreed value is based only on a valuation made by an individual or club official using only photograph of the car as the means of identifying the subject and as a basis for assessing its condition. Clearly there has to be some doubt over this practice so it is better to obtain a valuation from a MGV8 specialist who physically inspects and values the car and provides a written valuation report.

V8 Register policy on valuations
Members have occasionally called the V8 Registrar requesting either his valuation or advice on where to obtain a valuation of their MGBV8 for insurance purposes. As a matter of policy, the V8 Register Committee has agreed that it will not give valuations and strongly advises caution of any valuation made by anyone based on a photograph without a close inspection of the car. The agreed policy of the V8 Register is to recommend members go to one of the specialists involved with MGBV8s for an inspection and written valuation based on their inspection of the condition of the vehicle. Members should be prepared to pay or offer a reasonable fee for that service because, if ever you should be in the unfortunate position of needing to rely on it, you will want it to be beyond doubt or challenge. Suitable specialists are listed in the V8 Lifeline (see the final section of these Notes) or can be found in the Trade Members booklet published by the MG Car Club from time to time.


Disclosure
Contracts of insurance require the insured to act in good faith with a full disclosure of all material facts to the insurer both at the inception of the policy and throughout the term of cover and at renewal.

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V8 Register, PO Box 888, London SW14 7YT