Operator
Grey Hound
Through the years everybody had an experience, or had a
family member/friend/colleague who had a total loss on a vehicle.
Then the insurance pay out the bookvalue of the vehicle, which
doesn't help much as replacing the vehicle would cost you way more....
Well it is about to change!!!
I present to you the "Inception Value Policy" (hereafter called IVP).
It is a specialized product backed by Renasa Insurance company.
This is how it works...
Lets take an upmarket motorbike as example:
You buy a new 2015 BMW R1200 GS Watercooled or a new KTM 1290 Adventure R for
R220 000 brandnew.
You insure it at your insurance company comprehensively and you take
delivery and start using
the bike. As time goes by, month-by-month, this bike will loose (book)value.
If you have a total loss at any given time a year or two or three down the line
on it your insurance company will only pay out bookvalue.
3 Years down the line, the value of the bike could easily have dropped by
between R 60 to R80 000.
So they pay you out eg. R 160 000 and that is it.
This is where the INCEPTION VALUE POLICY ( IVP) comes in.
It is a stand-alone product and does not form part of your basic insurance.
The day that you take out this IVP the value of the bike/car gets pinned down.
In this example it would be R220 000.
You start paying your quoted premium, which will range between R93,50
and about R145 per month (depends on value of vehicle and client profile)
As time goes on you pay your normal insurance on the bike and also the IVP premium.
Some time down the line you have damage/loss to the bike which result in a total loss and
it is written off and your insurance company pays out bookvalue.
Who knows what the bookvalue is going to be 12, 24 or even 60 months down the line?
Lets say it is eg. 36 months down the line and you get insurance payment of R 140 000.
This the moment where the IVP kicks in.................it will pay you the difference between
the Inception Value of R220 000 and the R140 000 (or any other amount that your insurer pays out).
The bottomline is that you will always end up with a total payment of R 220 000.
As time goes on the value of the vehicle drops, you insurance company will
pay out less but IVP will pay out more.
Many would ask what is the catch?
There is no catch and the policywording is plain and simple.
The only rule/restriction to have a successful claim is that you must have a
valid claim at you primary insurer. If they pay, IVP will pay.
If the repudiate/refuse your claim because of something like driving without
license or driving drunk, IVP will not pay.
Is their a limit on the age of vehicle that can be insured?
NO.
No limits at all. New vehicles loose more value than older vehicles, so it
would be more beneficial to their owners. But secondhand vehicles can
also be accommodated. When the quote gets done, the Inception Value
will be shown on the quote, which will be the up-to-date retail bookvalue.
Does the IVP policy runs out after a certain amount of time?
NO.
As long as you are paying the IVP premium the cover will be active, even
after the car/bike is paid off.
What happens if my primary insurance policy cancels or I change
over to another insurer?
The IVP policy will still be active. It is however important that there is no break in cover.
If want to claim from IVP, they will need proof of continues cover
Residual values and gap/top-up insurance...
If you have a residual value which may cause the settlement figure at the bank to be even
above the example amount of R220 000, IVP will even pay that.
So yes, except for the inception value cover, IVP is also a top-notch gap-cover product.
Many motordealers offer top-up/gap cover products called "deposit protector" at a rate
of R150 per month plus..............IVP also covers your deposit as it will reimburse you the
total amount of your initial transaction of the bike/car.
What kind of vehicles are covered?
All roadlegal vehicles. This includes motorbikes, cars, bakkies, and even commercial vehicles like trucks and
panelvans.
Can businesses take out this cover for their vehicles and is the premium tax deductable?
Yes IVP can be offered in the name of a business and as it is a shortterm insurance product,
the whole premium can be deducted from tax and VAT is included in the premium, so that
can also be claimed.
_____________________________________________________________________________________
Should you be interested in this product, send me a PM with your contactdetails, the full
model description of the bike/car you want a quote on, together with your initials, surname, street
address and ID-number.
Your info will be treated very discreet and confidentially.
Quoting is a fairly easy and simple procedure and turnaround time quickly.
Quote will be emailed to you.
family member/friend/colleague who had a total loss on a vehicle.
Then the insurance pay out the bookvalue of the vehicle, which
doesn't help much as replacing the vehicle would cost you way more....
Well it is about to change!!!
I present to you the "Inception Value Policy" (hereafter called IVP).
It is a specialized product backed by Renasa Insurance company.
This is how it works...
Lets take an upmarket motorbike as example:
You buy a new 2015 BMW R1200 GS Watercooled or a new KTM 1290 Adventure R for
R220 000 brandnew.
You insure it at your insurance company comprehensively and you take
delivery and start using
the bike. As time goes by, month-by-month, this bike will loose (book)value.
If you have a total loss at any given time a year or two or three down the line
on it your insurance company will only pay out bookvalue.
3 Years down the line, the value of the bike could easily have dropped by
between R 60 to R80 000.
So they pay you out eg. R 160 000 and that is it.
This is where the INCEPTION VALUE POLICY ( IVP) comes in.
It is a stand-alone product and does not form part of your basic insurance.
The day that you take out this IVP the value of the bike/car gets pinned down.
In this example it would be R220 000.
You start paying your quoted premium, which will range between R93,50
and about R145 per month (depends on value of vehicle and client profile)
As time goes on you pay your normal insurance on the bike and also the IVP premium.
Some time down the line you have damage/loss to the bike which result in a total loss and
it is written off and your insurance company pays out bookvalue.
Who knows what the bookvalue is going to be 12, 24 or even 60 months down the line?
Lets say it is eg. 36 months down the line and you get insurance payment of R 140 000.
This the moment where the IVP kicks in.................it will pay you the difference between
the Inception Value of R220 000 and the R140 000 (or any other amount that your insurer pays out).
The bottomline is that you will always end up with a total payment of R 220 000.
As time goes on the value of the vehicle drops, you insurance company will
pay out less but IVP will pay out more.
Many would ask what is the catch?
There is no catch and the policywording is plain and simple.
The only rule/restriction to have a successful claim is that you must have a
valid claim at you primary insurer. If they pay, IVP will pay.
If the repudiate/refuse your claim because of something like driving without
license or driving drunk, IVP will not pay.
Is their a limit on the age of vehicle that can be insured?
NO.
No limits at all. New vehicles loose more value than older vehicles, so it
would be more beneficial to their owners. But secondhand vehicles can
also be accommodated. When the quote gets done, the Inception Value
will be shown on the quote, which will be the up-to-date retail bookvalue.
Does the IVP policy runs out after a certain amount of time?
NO.
As long as you are paying the IVP premium the cover will be active, even
after the car/bike is paid off.
What happens if my primary insurance policy cancels or I change
over to another insurer?
The IVP policy will still be active. It is however important that there is no break in cover.
If want to claim from IVP, they will need proof of continues cover
Residual values and gap/top-up insurance...
If you have a residual value which may cause the settlement figure at the bank to be even
above the example amount of R220 000, IVP will even pay that.
So yes, except for the inception value cover, IVP is also a top-notch gap-cover product.
Many motordealers offer top-up/gap cover products called "deposit protector" at a rate
of R150 per month plus..............IVP also covers your deposit as it will reimburse you the
total amount of your initial transaction of the bike/car.
What kind of vehicles are covered?
All roadlegal vehicles. This includes motorbikes, cars, bakkies, and even commercial vehicles like trucks and
panelvans.
Can businesses take out this cover for their vehicles and is the premium tax deductable?
Yes IVP can be offered in the name of a business and as it is a shortterm insurance product,
the whole premium can be deducted from tax and VAT is included in the premium, so that
can also be claimed.
_____________________________________________________________________________________
Should you be interested in this product, send me a PM with your contactdetails, the full
model description of the bike/car you want a quote on, together with your initials, surname, street
address and ID-number.
Your info will be treated very discreet and confidentially.
Quoting is a fairly easy and simple procedure and turnaround time quickly.
Quote will be emailed to you.
