Modified Car Insurance 101


Many car owners turn to car modifications when it comes to enhancing vehicles’ performances and aesthetics. Whilst driving around with upgraded cars is an exceptional experience, some might be concerned that modified car insurances are way more expensive or that their brokers might decline to provide full coverage. So, what should car owners pay attention to when it comes to modified car insurance?

What counts as a “modification”?

Any alterations, both functional and aesthetic, that is not part of the manufacturer’s standard settings are considered modifications and should be registered and declared to your insurance provider.

Some common modifications that would affect the cost of your motor insurance include:

  1. Engine – a new set of engines can increase the speed of a car drastically, and insurance providers tend to consider it a completely different vehicle.
  2. Bodywork – changing the car’s body can affect its aerodynamics, hence the safety when accidents occur.
  3. Parking sensors – parking sensors are designed to avoid minor bumps. This modification might reduce your insurance cost since minor bumps account for the majority of claims for insurance providers.
  4. Disability aids – essential modifications such as wheelchair ramps, steering aids, altered foot pedals, hand controls, etc., would also be factored into the insurance cost.
  5. You should always consult your insurance providers to check if your modifications are covered.

Modified cars insurance vs standard car insurance

Standard car insurance covers accidental damage and injuries to third parties, while modified car insurance covers all the extra accessories on top of the standard car insurance policy. 

Modified car insurance is usually an agreed value policy. Insurance providers will estimate a set value for your car after assessing the list of modifications rather than charging the standard market value. This implies that the cost of your car insurance can get higher since the replacement cost of extra parts would be higher, as well as the risk of theft and accidents. 

Not all modifications would lead to a high cost. Modifications that help with securing your car, such as extra locking devices and additional parking sensors, might help lower your insurance cost. 

Illegal and undeclared modifications can void your insurance. Therefore, it is always a good idea to consult with your insurance providers before modifying your car during the policy term. 


Why should you get modified car insurance?

To ensure your insurance is valid, you should always declare every modification fitted to the vehicle. Driving a vehicle with invalid insurance could expose the driver to IN10 (driving conviction without insurance), for which the driver is responsible for all damage costs. In the event of accidents, having modified car insurance can also display to the police that modifications are fully registered. 

With regular car insurance, modifications are usually not up for claim. Therefore, if you have made expensive installations, consider getting modified car insurance to ensure all the modifications are covered for repair or replacement. 

At Alternative Insurance Brokers, we specialise in tailoring the best value policy for your precious modified cars. Visit our product page for more information or call us on 0161 388 2520 for a quotation.