# When to add ED car to Insurance Policy



## sesarj (Nov 7, 2005)

I am planning to take delivery via ED and I was wondering when to add the car to my insurance policy. Sonce the car is already insured by BMW in Europe and during transposrt, should I add it effective when I take redelivery in Los Angeles?


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## JSpira (Oct 21, 2002)

Although there are several interpretations of what is "best" in this circumstance, I believe many would insure the car the day it arrives at the dealership.


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## Contact Patch (Nov 11, 2005)

When you take re-delivery at the dealership.


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## am_ver (Jul 12, 2005)

Contact Patch said:


> When you take re-delivery at the dealership.


+1


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## Bill-SD (Feb 18, 2002)

Contact Patch said:


> When you take re-delivery at the dealership.


That's what I did.


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## sesarj (Nov 7, 2005)

Thanks for the info.


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## JSpira (Oct 21, 2002)

Contact Patch said:


> When you take re-delivery at the dealership.


Tell that to the guy whose car was stolen from the dealership before redelivery. The argument over whose responsibility it was paled incomparison to insuring for an extra day or two at the most.


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## MarcusSDCA (Jan 14, 2004)

sesarj said:


> I am planning to take delivery via ED and I was wondering when to add the car to my insurance policy. Since the car is already insured by BMW in Europe and during transposrt, should I add it effective when I take redelivery in Los Angeles?


Yes.


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## casper (May 23, 2004)

JSpira said:


> Tell that to the guy whose car was stolen from the dealership before redelivery. The argument over whose responsibility it was paled incomparison to insuring for an extra day or two at the most.


Urban Legend, no ED car has been stolen at the dealership prior to re-delivery, and if it had, is covered by insurance


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## JSpira (Oct 21, 2002)

casper said:


> Urban Legend, no ED car has been stolen at the dealership prior to re-delivery, and if it had, is covered by insurance


Unless the person who posted was lying (and he had no reason to, from what I recall), you are just wrong. And I suppose he lied about the insurance dispute also then?


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## Asteroid (Aug 17, 2005)

casper said:


> Urban Legend, no ED car has been stolen at the dealership prior to re-delivery, and if it had, is covered by insurance


Not a legend. Reported here on bimmerfest, your BMW ED news leader.


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## Andrew*Debbie (Jul 2, 2004)

casper said:


> Urban Legend, no ED car has been stolen at the dealership prior to re-delivery, and if it had, is covered by insurance


*What insurance??? * If you have documentation of this please give us a reference.

ED insurance ends in Europe. Marine insurance covers the car when it is on the ship.
The Purchase Order I have from BMW NA says 


> Customer must provide comprehensive and liability insurance for the Vehicle that must be effective on the date of arrival of the vehicle in the U.S.


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## ronpal (Sep 20, 2006)

*+1 upon arrivle in USA*



Andrew*Debbie said:


> *What insurance??? * If you have documentation of this please give us a reference.
> 
> ED insurance ends in Europe. Marine insurance covers the car when it is on the ship.
> The Purchase Order I have from BMW NA says


I read that quote on the BMW PO as well and will insure upon arrival in the US. Of course I hope nothing does happen while shipping within the US and likely others would be responsible (liable) if something does happen, but the point of insurance is to cover the what ifs and let someone else deal with it. Remember it's your car the moment you drive it out the door in München.


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## RDobie (May 26, 2007)

I discussed this issue with my insurance agent yesterday. We discussed the possibility of the US Customs Department damaging my car upon entry. He has verified that I can insure the car (since I own the car) once it lands on US soil (even though it technically is not on US soil until after customs). I even have 15 days to notify him that the car is "in the US."

The reason for my inquiry is that a friend of mine actually had his car damaged during a search by US Customs Department (at border crossing). His insurance paid for the repair. My concern is that BMW NA will not pay for any possible damage caused by the US Customs Department. I consider it a cheap investment to pay a month's extra insurance for peace of mind.

What are your thoughts?


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## Andrew*Debbie (Jul 2, 2004)

RDobie said:


> a cheap investment to pay a month***8217;s extra insurance for peace of mind.


:thumbup:

My VW Jetta was stolen *twice.* I'm not about to leave a BMW without insurance, no matter who might be liable.
Damage caused by Customs or outright theft is covered by comprehensive. Double check with your agent first, but you should be able to hold off on collision coverage until re-delivery.

Customs damage may get fixed at the VPC, but I wouldn't count on it. I'd also rather have my insurance companies laywers working on the 'who is liable / who is paying' argument.


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## bimmer_fam (Apr 16, 2007)

Andrew*Debbie said:


> :thumbup:
> 
> My VW Jetta was stolen *twice.* I'm not about to leave a BMW without insurance, no matter who might be liable.
> Damage caused by Customs or outright theft is covered by comprehensive. Double check with your agent first, but you should be able to hold off on collision coverage until re-delivery.
> ...


It's an interesting discussion... Most of the policies cover an additional car (when you buy a new one and still have the old one) for 30 days, but I wonder if insurance company would try to weasel out of paying since delivery took place abroad...
I'm sure insurance agents would just say cover it as soon as you can, etc.

I would also vote for at least notifying the insurance company that you have a new car as soon as it lands in US. I did that with my ED car, but I did not go into details about it, so agent simply did not know that my car was purchased and picked up a while before entering US.

I guess it's better to have some extra insurance than not have enough...

As for someone having problems with insurance paying for the car stollen from dealers lot, if I remember correctly, his insurance/dealer's insurance would not pay until he lawered up...


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## Andrew*Debbie (Jul 2, 2004)

bimmer_fam said:


> It's an interesting discussion... Most of the policies cover an additional car (when you buy a new one and still have the old one) for 30 days,


Yes but most of us buy the car before we leave for Munich. Those 30 days are long over by redelivery. Are you really covered?

I'm going to call USAA the day the ship enters the port. I'll give them the VIN, explain that my car is in transit. I assume it will be like insuring a car that is in storage. ( done that ) less than < 1000 miles a year, comprehensive and liability only. Premium isn't too bad.


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## bimmer_fam (Apr 16, 2007)

Andrew*Debbie said:


> Yes but most of us buy the car before we leave for Munich. Those 30 days are long over by redelivery. Are you really covered?
> 
> I'm going to call USAA the day the ship enters the port. I'll give them the VIN, explain that my car is in transit. I assume it will be like insuring a car that is in storage. ( done that ) less than < 1000 miles a year, comprehensive and liability only. Premium isn't too bad.


That's what so confusing about it. The fact that you start paying for the car earlier does not mean anything. Neither the fact that you are taking delivery in Munich, since you are covered by another insurance.

I think your 30-day period starts when you notify your insurance company, but they could (and most certainly would) feel differently when you ask for coverage...


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## am_ver (Jul 12, 2005)

well, when you hand over the key at the drop off location, isn't BMW 'promising' that you will get your car delivered to you in the US? What about all those other cars that sit on the dealer lot - aren't they insured by somebody?


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## Asteroid (Aug 17, 2005)

am_ver said:


> well, when you hand over the key at the drop off location, isn't BMW 'promising' that you will get your car delivered to you in the US? What about all those other cars that sit on the dealer lot - aren't they insured by somebody?


Irrelevant. Those cars are not "owned" yet, dealer has their own insurance to insure their loss. ED cars are already owned. Just follow instructions in PO as posted above.


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## Boomer_M3 (Jun 28, 2007)

The Purchase Order says: 
_"Customer must provide comprehensive and liability insurance for Vehicle that must be effective on the date of arrival of Vehicle in the U.S."_

That seems pretty simple to me - my car and I have to insure it when it hits the States. I would understand that to mean - when it is off the ship.

Don't know if USAA will pick up the insurance that day, because we don't know it's condition as it left the ship. I will ask them.


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## Bill-SD (Feb 18, 2002)

It is one of those gray areas. If someone stole the car from the VPC (I know that's super unlikely), I doubt your insurance would cover it. Nor would BMW expect them to.


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## Andrew*Debbie (Jul 2, 2004)

Bill-SD said:


> It is one of those gray areas. If someone stole the car from the VPC (I know that's super unlikely), I doubt your insurance would cover it. Nor would BMW expect them to.


Why wouldn't my comprehensive insurance cover it? It is 'my' car and it was stolen.

BMW NA makes it clear that the insurance they supply ends when the car enters the US. Car is not covered. BMW expects us to insure the car. It is spelled out in the purchase order. If you have one, read it.

The finance contract requires us to keep insurance coverage on the car.

BMW NA might make good on a car stolen on their watch but that is beside the point.


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## am_ver (Jul 12, 2005)

Andrew*Debbie said:


> BMW NA makes it clear that the insurance they supply ends when the car enters the US. Car is not covered. BMW expects us to insure the car. It is spelled out in the purchase order. If you have one, read it.


If that is the expectation of BMW NA, shouldn't they do a better job of keeping the ED customers informed on the date the ship is reaching US soil? there would be a lot of people who do ED and are not on this board; and are probably clueless on the details that take place besides the letter informing them which ship their car is on.


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## Bill-SD (Feb 18, 2002)

Andrew*Debbie said:


> Why wouldn't my comprehensive insurance cover it? It is 'my' car and it was stolen.
> 
> BMW NA makes it clear that the insurance they supply ends when the car enters the US. Car is not covered. BMW expects us to insure the car. It is spelled out in the purchase order. If you have one, read it.
> 
> ...


I think you'd have a heck of a time explaining this to your insurance company, and I'm sure they'd fight it. At the end of the day, if BMW dropped the ball, I believe your insurance would come through. You're turning the car over to someone to ship back and return to you. It should not be your responsibility, or your ins co, until that process is complete. I could be wrong about this...but this is my take.


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## chaslee (Dec 13, 2002)

I was concerned about this issue since I wil picking the car up at the Performance Center following my ED. I emailed the Performance Center and asked about this issue and the email I received from Danielle was that I did not need to insure the car prior to my pickup date. I can rest peacefully now.


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## Andrew*Debbie (Jul 2, 2004)

Bill-SD said:


> I think you'd have a heck of a time explaining this to your insurance company, and I'm sure they'd fight it.


I don't understand. People transport personal cars all the time. I use USAA and many of their customers move cars around.

I tell USAA that my insured car was stolen or damaged. I tell them it happened during transport or off a dealer lot. I tell them as much as I know about the location of the car and who had possession at the time.

At this point USAA can gets together with the involved parties and someone, not me, pays for the loss.



> I could be wrong about this...but this is my take.


You are.

Both times my Jetta was stolen it was in someone else's care. The first time it was at an airport parking lot. It was obvious that the thief had help from an employee. There was video, 24 hour security guards and the person at the gate. No one saw anything. The guard who gave us a ride home said they had several cars stolen a week...

2nd time it was stolen from an airport hotel lot. Mostly the same story.

Both times I got the car back, stripped.

In both cases, they wouldn't pay a dime. "We are not responsible" All I got was a not very nice letter from their attorneys. My insurance paid.

Read the purchase order. You are required to insure the car.


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## Andrew*Debbie (Jul 2, 2004)

am_ver said:


> If that is the expectation of BMW NA, shouldn't they do a better job of keeping the ED customers informed on the date the ship is reaching US soil?


Yes. If anyone from BMW NA is monitoring this thread . . .


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## Contact Patch (Nov 11, 2005)

JSpira said:


> Tell that to the guy whose car was stolen from the dealership before redelivery. The argument over whose responsibility it was paled incomparison to insuring for an extra day or two at the most.


Although I agree on insuring for an extra day or two prior to re-delivery just for extra assurance. However, I think that the dealership is responsible if the car was stolen under their possession. For instance, if you left your car at the dealership for service overnight, and it was stolen or vandalized, whose responsibility is that? The dealer is responsible to secure customers' cars at all time.


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## b-y (Sep 14, 2004)

Andrew*Debbie said:


> I don't understand. ...
> 
> Both times my Jetta was stolen it was in someone else's care. The first time it was at an airport parking lot.


It is more complex than what you describe. The legal concept is "bailment". Parking lots generally specifically exclude this, but it may not be so easy for BMWNA's port facilties or the VPC. See: http://en.wikipedia.org/wiki/Bailment

But, since BMWNA says to insure the vehicle when it gets to the port, I'd follow that advice.


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## joe321mrk (Jun 5, 2007)

As soon as I get a call from someone telling me that my car is in the US I will call my insurance company.


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## The BoatMan (Apr 2, 2002)

am_ver said:


> If that is the expectation of BMW NA, shouldn't they do a better job of keeping the ED customers informed on the date the ship is reaching US soil? there would be a lot of people who do ED and are not on this board; and are probably clueless on the details that take place besides the letter informing them which ship their car is on.


+1

They would need to contact you and tell you to its time to start the insurance. To start insurance before you pick-up at the dealership is wasting your money.


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## Andrew*Debbie (Jul 2, 2004)

I give up.


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## Boraxo (Sep 6, 2005)

Let's see assuming you pay $2k/year to insure (which would be a very high price) that works out to about $6/day. If you are fairly savvy you can search this website and figure out what date your car will hit port in the US. At that point it will hopefully be 7-14 days to re-delivery, so the extra cost to insure prior to taking possession (again!) is roughly $50-100, though most likely less. Are you going to roll the dice on a $35K vehicle? I sure as heck did not.

Now it is highly likely that you would have a nice lawsuit against BMW and/or your dealer if the vehicle is stolen from the VPC or dealer lot (or the trucking company). You could also claim breach of contract as BMW is contractually obligated to re-deliver. But isn't it just smarter to buy a few extra days of insurance and save yourself the potential (though unlikely) headache?


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## chaslee (Dec 13, 2002)

I just received an email from my CA and he told me to start my insurance the day of pickup. I have heard from two sources now, the Performance Center and my CA. If something happens to the car and they go back on their word, I have two emails that will back me up.


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## Andrew*Debbie (Jul 2, 2004)

Boraxo said:


> At that point it will hopefully be 7-14 days to re-delivery, so the extra cost to insure prior to taking possession (again!) is roughly $50-100, though most likely less.


Less since you don't need collision coverage until delivery. Collision is about 1/2 of our total premium.


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## Andrew*Debbie (Jul 2, 2004)

chaslee said:


> I just received an email from my CA and he told me to start my insurance the day of pickup. I have heard from two sources now, the Performance Center and my CA. If something happens to the car and they go back on their word, I have two emails that will back me up.


:banghead: Is anybody reading the contract?

PCD is perhaps less of a risk than dealer pickup. If your uninsured car is stolen from a dealer lot, expect a long legal process.


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## chaslee (Dec 13, 2002)

Andrew*Debbie said:


> :banghead: Is anybody reading the contract?
> 
> PCD is perhaps less of a risk than dealer pickup. If your uninsured car is stolen from a dealer lot, expect a long legal process.


If that is the case. I agree with the earlier poster. When did car arrive on US soil?


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## Andrew*Debbie (Jul 2, 2004)

chaslee said:


> If that is the case. I agree with the earlier poster. When did car arrive on US soil?


Most of the people posting in this forum know exactly where their car is. If you can't be bothered to find out, start the insurance a few days after you drop the car.

I just ran a quote on USAA.com. Liability and comprehensive ($250 deductible) for a 2007 X3 is about 94 cents a day.

About $30. I'm paying it.


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## Andrew*Debbie (Jul 2, 2004)

For everyone that feels that insuring the car during redelivery is a waste of money:

http://www.bimmerfest.com/forums/showthread.php?p=2598260#post2598260


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