Date:         Tue, 3 Jun 2003 13:38:20 -0500
Reply-To:     John Rodgers <j_rodgers@CHARTER.NET>
Sender:       Vanagon Mailing List <vanagon@gerry.vanagon.com>
From:         John Rodgers <j_rodgers@CHARTER.NET>
Subject:      Agreed Value Insurance - My Take
Content-Type: text/plain; charset=us-ascii; format=flowed

Agreed value insurance - or any insurance for that matter - is a bad bet!!

Now that being said, a little clarification.

First - when the concept arose that any person could/should "buy"
protection from liability or any other event, ie, pass for a fee ones
own  responsibility, financial or otherwise, to a third  party, it was
the beginning of an industry that has begun to enslave and put people in
the "Poor House" just to meet society's ever increasing demand that the
individual provide protection for society, either for others in society
or oneself to prevent "society" from haveing to take care of a person.
There has got to be some changes made, or we are going to wind up in a
mess beyond measure. It is already bad enough as it is.

Now, things being as they are, so far as vanagons are concerned, my take
on insurance for our beloved steeds is that you minimally insure the
things. That is, meet the minimal obligations of the law, make note of
that cost to you by the insurance companies, then find what the maximum
coverage would cost you. Minimum would be the liability, uninsured
motorist, etc. Max would be the added collision coverage, etc with all
the little extra whistles and bells. Buy the minimum, then put the
difference between the minimum and the maximum into a "Vanagon/Westy
Replacement" savings account of some kind that earns interest. Also,
charge  yourself a cost-per-mile fee and pay that from each paycheck to
the savings account. Perhaps even add a few cents as an engine reserve.
Done on airplanes all the time. You would have to pay a car rental or
leasing company, so why not yourself.  In time you will have sufficient
money to make any major repairs, or completely replace the vehicle
without blinking an eye. You will be able to treat the existing vehicle
as a consumable, and when you are through with it, you could just have
it delivered for Artificial Reef Construction or something worthwhile,
and not be concerned with any residual recovery of money. After all, a
vehicle is NEVER an investment, it is ALWAYS an expense and as an
expense you use it to it's life limit then throw it in the garbage.
Vanagons/Westy's are not not excepted from this principle..

Granted, of course, all this will take considerable financial discipline
for most of us I would expect. Still, I believe it is the only way to go.

My $0.02

John Rodgers
88 GL Driver