Projects Insurance Question

Good afternoon!

I recently purchased a 49 Ford Club Coupe project. It is a long way from being ready for the street, but because of a quirk in Commiefornia registration rules I cannot put it in non-op status until next June. Registering it was very difficult and included towing it to the DMV twice to for VIN verification. In the end, I was able to get it correctly registered as a 1949 (the paperwork said 1950) for about $1400!

My question: I got a snotty notice from the DMV telling me I need to insure it. Wouldn't be a problem except my spousal unit pays the bills and she may not have been fully apprised of this purchase . Does anybody have a recommendation for an insurance company that will provide a basic policy for a car that doesn't run, and won't for a while? I started on the Hagerty site but it seems to be for running cars only - not projects.

Thanks in advance

 

Don't tell them it's a project. Put full coverage on it with about $10k value. Around $225 a year around here. Can't believe she didn't shit on herself when you spent $1400 at the dmv

 

Hagerty will insure a project and a non running vehicle. It may have to be garaged also. Just call them, tell them the truth and get the answer. I was told I could insure a project. I can't believe they've changed that.

 

My PU is completely apart for paint and Haggerty has the policy. They will request updated photos later but they covered it for everything I have into it at this point and charged me like $300 a year. I keep everything insured, beats worrying about stuff.

 

Seems like you bought car parts. Why would you insure or register car parts?

 

Have it added to your regular policy.Put minimum coverage on it.You wont be covered for most problems,but its going to be in the garage a part.Its about making the state half way happy.Likely cost you less than 300 bucks a year.As for the Mrs....you need to take on cash side jobs,and not tell her if ya hope to finish that car.

 

I have just liability insurance on my coupe, $126 for the full year. Wouldn't cover any loss, but it keeps the government happy. But then, I'm not in CA either.

 

I have storage insurance on a car, have to prove annually that it's non running. Couple pics takes care of that, bare body, engine on the floor, pile of primered body parts, agreed value.

 

I’m not familiar with how Cali does things but in NY after we register the vehicle we would get back a transferable title or registration. Once in hand we surrender the plates and reregister it when it’s ready to drive with the appropriate insurance. Sorry if this doesn’t apply.

 

You MUST have insurance here in AZ also if it is registered..
Hagerty did my build also, And will require photo's later..

 

@nadodave HHmmmm, Well there's 2 ways you could go here. When I was building my Model A coupe I had it insured through American Family Insurance. The car was literally in pieces...down to nothing when I started the project. I explained this to AmFam and told them the car would not be operational for several years. They were cool with that and asked how much insurance I wanted on it to begin with (in pieces) as a non-op. I gave them a number, then I updated the $$$$ value/coverage as the project progressed. Once the project was complete and I was driving it, I had the car appraised and submitted a ton of photos and paperwork so they would give me AGREED UPON VALUE (that's really important..but a whole other subject)

Another thing to consider. I also have a 1963 Chevy II Wagon which I have insured through Hagerty.
They insured the car with comprehensive/full coverage with agreed upon value. They said they did not need any photos and no appraisal was necessary. It's a nice policy and under $400/year. Could you just insure your car for what you have in it and increase the coverage $$$ as you invest more into it?

 

I don't claim to be current on CA DMV issues but when I registered my Ranch Wagon 3 or so years ago I registered it as Title Only. No insurance needed. After I got the title I bought YOM plates for it and had them assigned to the car. I then needed insurance when the application was submitted. It took over a month to get the new title in the mail with the YOM plates on it. Then I placed it on Non Op status and I was able to cancel the insurance.

 

I also claim not to be current but my understanding matches yours. One thing nadodave needs to remember is that situations like this come up so infrequently that sometimes you need to ask several people at a local DMV before you get the answer you want. Or maybe try a different DMV or call Sacramento.

Charlie Stephens

 

Once your "better half" finds out about the car...I think insurance will be the least of your problems.

 

I was just going to say that. Insurance and DMV will feel like a breeze once she mops the floor with you .

 

And once you have one black eye , a swollen lip and your arm in a cast , take a pic and put it on the “your mug” thread .

 

This, minimum liability only to satisfy the state is all you really need. Covering a non running project car with 10K or so insurance might be seen as potential insurance fraud unless it is actually worth that in the real world.

 

Lloyd is correct. Also, with your current carrier you should be able to add it to your policy without any
question about if it is currently running or not. THEN, see if they have what is called a "suspense" option
which means that you only pay for non-moving coverage, under comprehensive. I had an Allstate agency
for almost 25yrs, and that is what we did for our people all the time. Now the really cool thing about that
process is that when you add it on, it will produce the proof of insurance that you need to show the DMV.
Once it does that, put it into suspense which should run about $8 per month. Bob

 

That’s one of the reasons I like Oklahoma! I have several cars, that I have registered and buy tags for that don’t run and no insurance! I just sign a piece of paper , telling them what is wrong with it, and they give me a current tag…..only a different color! It’s called “ black tagging” here!








Bones

 

Just do a title swap and pay for non operation status. Only register it when you go to put it on the road.

 

I highly recommend you don't use Haggerty!! They f**ed me over big time when my 62 Chevy II got wrecked. They wouldn't even pay half of what it cost to repair it and I had full coverage for $15k. Horrible insurance company!

 

Here's your answer. You need to file an 'Affidavit of Non-Use' with the CADMV. Here's the form....
https://www.dmv.ca.gov/portal/uploads/2020/03/reg5090.pdf

I did this with an OT car I had a few years ago. My insurance agent told me about it. I only drove the car during the summer so every winter, I took it off the road, cancelled the liability insurance and informed DMV with the Affidavit of Non-Use. They were satisfied and never had a problem!

 

Can you replace the project for $10,000? If it's agreed upon by the provider and the customer, how can it be fraud if there is a loss? I have $15,000 full coverage on my project at the moment. Car is covered by "car insurance", garage is covered by homeowners insurance. Garage burns to the ground with you car in there and it has liability insurance, better start ya one of those "help my car burnt up and I was too cheap to pay another $125 a year for full coverage insurance" go fund me begging pages lol....

 

Hagerty will insure projects, but not if they aren't on your property! And since your wife doesn't know about this purchase I'm guessing it's not at your property?
I actually got a notice from Hagerty when I had them that they were going to cancel my policy because my car was stored elsewhere. I had all my cars here in my garage or shop, so called and asked where they'd gotten this information? They wouldn't tell me, but said they wouldn't cancel me after finding out the information was wrong. So I canceled them instead! If they'll pull crap like that, and not reveal their source of bogus info, I wanted nothing to do with them.

 

While I was building my last project it was covered thru my State Farm Home Owners policy. After completion State Farm Insured my project at an agreed value.

 

Do you have home owners insurance? Does it cover contents? Is the car on your property?
If you meet all of these why can't you apply for a title only at the DMV if you want and add the car to your home owners policy as "auto parts"? Just a thought.

 

Like Haggerty, Grundy insures projects. I have had it in my 40 pickup project once I had over $5k in it. Once it’s in the road, I will bump it up accordingly.

 

You only need to insure it to get the tags and run it on the street. When you get to that point, then get the insurance and get your tags.

 

I also have a very understanding wife, married to a musician she has to be, I buy guitars and amps like most of you guys buy car parts. But I have to admit that she doesn't know every time I buy another amp, it just quietly goes into the pile of other amps and nobody needs to know about it. I just need more room......

 

This is the correct information.