Ciccarello Insurance provides two types of replacement cost insurance that offers peace-of-mind vehicle coverage. Although insurance companies back both products, they are quite different. At Ciccarello Assurances, we will look at your exact needs to customize your insurance coverage. Your needs determine which product is right for you.
Here are the two replacement insurance products:
Replacement Cost with Your Insurance Carrier
With this type of coverage, if your vehicle us involved in an accident it covers the difference between the price of a new car that is equivalent to yours and its depreciated value.
This coverage is also offered by your dealership, but under the name Replacement Warranty.
Why a warranty? Because it is subject to that specific dealership’s rules and conditions. You need to be aware that there is no uniform process among dealerships. If a dealership goes out of business the warranty is cancelled.
When this type of coverage is offered through the car dealership, what you may not realize is that many times the fine print dictates that the contract is owned by the dealership. This means you are obligated to get the new vehicle from the same dealership or family of dealership.
With your own policy you are free to take your claim check from the accident settlement and apply it to a new vehicle – whatever make or model you would like.
Replacement Cost (Stand Alone Contract)
With a replacement cost stand alone contract, the price does not fluctuate and it cannot be cancelled due to claims, no matter how many claims there have been. Your replacement value amount is paid to you by replacing the vehicle in the accident with a car, boat, a motorcycle, a skidoo, a motor home or an ATV, or any combination thereof, for the total value payable.
Replacement Insurance (Coming soon)
As of October 1st 2010, Replacement Insurance will be the first insurance product of it’s kind. Authorized by the AMF (Autorité des Marchés Financiers) it will be the only replacement product that can be sold in Quebec.
Replacement Insurance – Q.P.F. 5