10 Things to Know About Luxury Auto

March 7, 2016
  1. James Bond’s Aston Martin DB5 made its big screen appearance 52 years ago in “Goldfinger.” The car sported concealed Browning machine guns, tactical oil slicks, ejector seats and a 5-speed, 4.0 L engine that hit speeds of 145 mph. In 1997, the car was stolen from an airport hangar in Florida where it was stored. No one has seen the car since despite best efforts to find it. The car was valued and insured at $4.2 million by Chubb. — William Crowley, Claim Auto Liability manager, Chubb
  2. The National Insurance Crime Bureau (NICB) reports there were 5,570 luxury vehicles reported stolen in the U.S. from 2010 to 2013. California had the most luxury vehicle thefts with 1,390; Florida had 863; and New Jersey had 570.
  3. Luxury vehicles stolen from Florida are the least likely to be recovered, according to NICB. Experts in the state say the state is surrounded by water and ports, which makes it easier for stolen cars to be stripped for parts and shipped overseas.
  4. Some luxury insurers offer coverage for pets that are injured or killed in a car accident. The policy will help pay to treat, board or replace domestic pets, even if they were pulled in trailers. — Christie Alderman, New Product manager, Chubb Personal Risk Services
  5. The value of a new car depreciates as soon as it is driven off the dealer’s lot. Agreed value coverage provided through a luxury car insurer lets the new owner determine what the car is worth when the policy is written. If the car is stolen or totaled, the insurance company writes a check for the agreed amount, saving the policyholder the cost of depreciation or an insurance deductible. — Ray Crisci, Auto/Excess Liability Product manager, Chubb Personal Risk Services
  6. In 2014, Bloomberg reported that luxury car makers Mercedes-Benz and Audi acquired licenses to test self-driving vehicles in California. State regulations require each testing vehicle to be backed by at least $5 million of insurance coverage.
  7. High end car construction is becoming increasingly complex, with some now having numerous sensors including stereo visual, infrared and radar cameras, ultrasonic sensors, and grille shutters. A typical super car requires hand molded parts and vehicle assembly. Specialized automobile insurers can connect insureds with high-end brand factory repair facilities and global salvage shops to find hard-to-replace pieces and repair the luxury car with original equipment manufactured parts. — Ray Crisci, Auto/Excess Liability Product manager, Chubb Personal Risk Services
  8. NICB reports that 485 Mercedes C-Class cars were stolen between 2009 through 2012, more than any other luxury model in that period.
  9. The recovery rate of all luxury cars reported stolen between 2009 and 2012 was about 84 percent, with General Motors’ Cadillac CTS having the highest recovery rate of 91 percent, according to NICB. The Mercedes S-Class model had the worst recovery rate at about 59 percent.
  10. The most expensive car to sell at auction was a 1962 Ferrari 250 GTO Berlinetta, which sold in August 2014 at the Bonham’s auction in Carmel, Calif. The car sold for $38,115,000. The GTO is perceived by many as a crown jewel, and this particular model had outstanding competition history and had been under the care of one family for 49 years. These factors, combined with the hot Ferrari market, led to the record sale. — Paul Morrissette, US Market Access manager, Chubb Personal Risk Services

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Insurance Journal West March 7, 2016
March 7, 2016
Insurance Journal West Magazine

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