Changing Value for Insurance

[Fruitcake]

I've just had my insurance renewal and realised the insurance value is probably below the actual value of the pony. To me he's worth a million pounds and I couldn't replace him, but I'm just wondering if I should ask them to increase the insured value.

He came to me a few years ago, unbroken from the RSPCA so I initially just gave a random low value when I first insured him. Since then, he's been backed, has quite nice, but basic, schooling and is a totally unflappable, solid little cob. He's only 13hh, but chunky. What sort of value should I be telling the insurance company- or is it even worth changing it?

 

[Carrottom]

If you increase the value it is most likely your premium will go up.

 

[GoldenWillow]

I bought my cob as a backed and ridden away 4 yr old, as a 7 yr out competing I realised he was way under insured value wise. I had to provide a letter stating why he was worth his new value and they gave me a list of people who would be qualified to provide his "valuation".My RI was able to do this as she was BHS qualified and a BD judge and had known him since I bought him. I more than doubled his value, but still under 5k, and don't remember there being a huge jump in premium. This was 7 yrs ago though.

From the other side I reduced my mares value to their lowest value when she had to retire with health problems and although it reduced the premium a bit it wasn't startling, they were both insured for vets fees though where a lot of the cost of the premium is.

 

[Love]

I recently did this with my gelding. It likely differs depending on who you are with but with nfu, I only increased his value to 5k as any more and I would have needed to have him vetted before they would accept so I didn’t bother (even though he is worth more than 5k). My premium did go up but not a huge amount

 

[rextherobber]

My insurance company automatically increased the value of my then 4 year old, not by a huge amount, but as said above, it will probably increase your premiums with no real benefit to you

 

[ycbm]

Are you wanting to do this to have enough money to buy another if you lose him or have to claim loss of use?

If not, there's no benefit at all to doing it.

If so, they will happily increase it for you if you tell them why. They will only pay what he's worth at the time you make the claim, so they will be happy to insure him for more and charge you more meanwhile and then argue about his value when you claim.
.

 

[Fruitcake]

Thanks.
It's not really about the money as such although I do think the price of horses has increased. His insurance value is £1k and I don't imagine you could buy a rocking horse for that nowadays. I just wondered if changing it was the correct thing to do. I expected the premiums to increase.
He's insured in the correct group for the activities we do, so that's all correct.

 

[Goldenstar]

Strictly it’s the correct thing to do .
Personally I would leave it as it is and save What the extra premium would cost so you have a nest egg for the future .

 

[ycbm]

Thanks.
It's not really about the money as such although I do think the price of horses has increased. His insurance value is £1k and I don't imagine you could buy a rocking horse for that nowadays. I just wondered if changing it was the correct thing to do. I expected the premiums to increase.
He's insured in the correct group for the activities we do, so that's all correct.

I really don't think it matters. You can only claim what he is insured for so there is no attempt to defraud the insurance company by valuing him for less than he would cost to replace. I have heard of insurance companies with customers who are struggling with bills to reduce the value the horse is insured for in order to reduce the cost of their insurance.

I think the only under valuing insurers care about is when people claim they paid less for the horse than they did in order to avoid having to provide a vetting certificate, and then partly because people do it to hide the exclusions they would get if they supplied the certificate.
.