Insurance woes

As I have said many times, it is not buying an exotic car that is the challenge it is keeping it that can really stress you out. A great example is keeping it insured.

Just before purchasing the F355 I did the rounds of preferred exotic car insurers but discovered, much to my horror, that one of the limitations was the car needed to live in its own secured garage. This was a problem for me since I didn’t have such accommodations.

Luckily, I was able to find an insurer who would provide coverage for my situation. Thus, I could purchase the car.Ah, serenity now.

Fast forward two years and now my insurance on the F355 is once again up for renewal. However, this time it turns out the the current insurer is getting out of the business so I need to apply for cover with a new firm.

I dutifully complete all the forms only to discover that I can’t be insured unless I can confirm the car has an alarm that auto activates and disables the car in three ways!

Now this is a problem, because, being a second hand car and having been through a number of different owners, I have no history on the after market alarm system that is installed in the car. I certainly know that it auto arms as I discovered a few days after purchase, however how can I ‘prove’ that it disables the car in 3 ways?

I understand the requirement from the insurance company and I understand it is totally their prerogative to insure me BUT given the fact that this is a used car how do I go about proving it conforms with their requirements? Surely, they have come across this situation before and can give me some options?

I am pretty sure it does meet the requirements but again, no proof, no insurance, which leaves me probably with the need to search for an insurance alternative. This again will no doubt raise the issue about housing the car in a fully locked garage, once again limiting my options and most likely significantly raising the cost of insuring the F355.

Luckily, I still have some time before the existing insurance expires but I’ll need to get onto it quick smart and start finding out what is available.

This is certainly one of the major learnings I have had about the car. Unless you have a lock up garage in which to store the car your insurance options are somewhat limited, which is somewhat of a pain for those of us who can’t afford a freestanding house (which on average in Sydney at the moment, is far more expensive than a Ferrari!).

So, one of the things you NEED to check before you go out and buy the car of your dreams, is to check how much it will cost to insure in the location where you plan for it live. You may find the results of this somewhat tougher than you think as I have!