A stated amount is the value that you place on your vehicle and provide to Insurance Company. If you sold your vehicle today, the stated amount is the price you would ask the buyer to pay.

At Horizon Insurance Services, we think that a stated amount allows you to customize your policy to reflect your vehicle’s true worth. A stated amount incorporates the condition of your vehicle, and it allows you to cover the value of any special equipment or upgrades you’ve added.

How to determine a stated amount

The best way to begin determining a stated amount is to consult a publication that specializes in valuing vehicles, such as:

  • Truck Blue Book
  • Truck Paper
  • Price Digests

Other sources to help you determine the value of your vehicle can include:

  • Dealerships
  • Manufacturers
  • Lending or financial institutions

When determining a stated amount, remember to account for the following:

  • Vehicle condition and mileage
  • Special equipment you’ve added
  • Any vehicle upgrades
  • Engine or major component rebuilds

Accurate stated amounts

When you make an insurance claim, Insurance Company looks at your stated amount and the actual cash value (ACV) of your vehicle and pays whichever is less. So it’s important to be as accurate as possible when estimating the value of your vehicle.

If you’ve undervalued your vehicle, this will not cover the full value for replacement of the vehicle if you have a total loss. And if your vehicle is damaged and needs repairs, your insurance will only pay repair costs up to the stated amount or actual cash value (ACV), whichever is less.

To ensure you get the coverage you need, we recommend being as accurate as possible when estimating your vehicle’s stated amount. If you already own a policy but feel the value of your vehicle has changed significantly, contact us to let us know. That way your insurance always reflects your actual needs

For trucks

Trucks share many of the same coverages as other commercial vehicles. Here’s some that are more specific to trucks.