What are the rules when it comes to vehicle modifications? Do you need to report every modification to your insurance company?
The short answer is “yes, you need to.” This is especially true if you want the insurance company to cover the modifications that you’ve made to your vehicle. Most changes you make will cause your insurance rates to go up. Let’s take a look at a few of them:
Performance-Enhancing Modifications
You should expect to pay more for the insurance to cover your vehicle when you increase the performance with items that give you more power and make your vehicle go faster. Going faster makes your vehicle more dangerous to others on the road and will certainly result in an increased price for the insurance coverage. Your insurance company will see you as a heightened risk when you improve the performance and speed of your vehicle.
Some performance modifications that will increase your insurance rates include:
- Enhanced exhaust systems
- More powerful engines
- Nitrous oxide injection systems
- Performance tires
Before you add these items to your vehicle, think about whether or not you’ll be paying more for insurance and if it’s worth the difference.
Aesthetic Modifications
Are you ready to improve the looks of your vehicle? Do you want to make sure you can show off and give others a way to admire your ride when you’re behind the wheel? Before you add an aesthetic modification, you might want to consider the fact that you will pay more for insurance. These changes can make your car a target for thieves, which will need to be covered by your insurance.
The most common aesthetic modifications are:
- Tinted windows
- Stylish rims
- Spoilers
- Side skirts
- Extra headlights
Ask your insurance company before adding any of these items to the mix to make sure they won’t increase your rates.
Entertainment Vehicle Modifications
Add more to the comfort and environment of your vehicle and you’re likely going to face an increase in your insurance rates. If you’re driving around with thousands of dollars of special entertainment
equipment installed in your vehicle, you should expect to pay more for coverage. These items can be seen as liabilities and potential theft risks.
Common infotainment modifications include:
- Entertainment screens
- DVD or Blu-Ray players
- Large speakers
- Subwoofers
- Bluetooth systems
Avoid the accidents and keep your entertainment upgrades to a minimum and pay less for your insurance.
Safety Modifications
You might think that some safety items will reduce the cost of your insurance, but some are seen as unnecessary and an expensive risk for the insurance company. You’ll want to call your insurance company and find out which category these items fall into when you want to take a drive.
Some of the safety items you could add are:
- Alarms
- Rearview cameras
- Hands-free systems
- Head-up displays
- Immobilizers
- Tracking devices
This category is worth a call to the insurance company and you might be paying less when you install the right safety items in your car.
Disability Modifications
Having a disability that requires special equipment to be installed in the vehicle that you ride in or drive is a bit of a Catch 22. You need these items, but they can cause your insurance rates to increase because you need to have specialized modifications done to your vehicle.
The addition of some disability items changes the impact and overall appearance and functionality of the vehicle. Some of these items are expensive and will need to be covered by the insurance company, resulting in higher rates. Some of the items for a disability can make driving more of a risk for you.
Minor Disability Vehicle Modifications
Many state-sponsored assistance programs help you with the minor disability modifications that need to be performed for your vehicle. These programs categorize the changes as minor and major. Minor modifications normally include equipment that needs to be added without changing the basic structure or functionality of the vehicle.
Some of these are:
- Airbag removal or disconnection
- Emergency backup systems
- Exterior wheelchair lifts
- Hand controls
- Parking brake extension lever
- Power gear selector
- Power seats
- Reduced-effort brakes
- Spinner knobs
If these are items you need, its possible your insurance rates may not increase by adding them.
Major Disability Modifications
When you need to have major disability modifications added to your vehicle, you’ll be changing the structure or functionality of the vehicle in a substantial way. These items will likely cause you to pay higher insurance rates because they affect the replacement value of the vehicle.
Some of the major disability modifications are:
- Left foot accelerators
- Lowered floor
- Raised door openings
- Raised roof
- Removable driver seat
- Suspension system modification
When you need these items, you’re going to pay more for insurance, but might be able to take advantage of some programs that will help offset these costs.
Medically Necessary Vehicle Modifications
It may seem unfair to charge a disabled person more for insurance because of their needs. There is a workaround that might be what you need to take advantage of. In some states, if you have a medical assessment done, you can then take a driving assessment to show that you need the modifications that will be installed.
Get a letter from the doctor and the DMV to show that you need to have items installed in your vehicle so you can drive properly. There’s a chance your insurance company will give you a reduced premium if you provide this documentation.
Ask These Questions First
While a medical or disability modification is easy enough to know you need, there are a couple of questions you should ask before making a modification to your vehicle for your own pleasure and enjoyment.
These questions are:
- Will this modification increase my risk of causing an accident?
- Will this modification increase my risk of theft or vandalism?
If you can answer “yes” to either of these questions, you might consider avoiding the modification. Its highly likely that if you answer in the positive, your insurance company will as well and you will pay a higher rate.
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