‘Agreed value’ refers to the amount that you and we agree is the value of your car and is stated in your Schedule.
This amount is fixed when you buy your insurance policy and doesn’t change over time, even if your car’s market value goes up or down. So, if something happens to your car, we will settle the claim based on the agreed value, instead of the market value at that time.
‘Market value’ refers to the value of your car just before the damage or loss occurs, based on its model, age, kilometres travelled, options and accessories and condition at that time. It varies as your car’s market value goes up or down. If something happens to your car, we will settle the claim based on the market value of your car at that time.
Your choice of agreed value or market value affects how much we pay for some claims and the amount of the premium.
You can find more information in our PDS.