On Your Next Overseas Trip

When I was very young I wasn’t particularly keen on reading. Comics and short stories with lots of pictures used to hold my rather short attention span at that stage. With pictures you could make up your own story or get the gist of the content of the book without too much effort.

Things have changed a lot since then and there is a lot of useful information out there in the market. In particular I got some real value out of the latest AA Magazine. One of the challenges that was presented to me recently is how to cover cars whilst touring the UK and Europe.

We got the cars insured and we now also have the third party liability covered as well. (So if this is an issue for you when touring overseas with your car, just give us a call). So that is the accident side of things sorted, but when touring overseas, one other important issue is what do we do in the event of a breakdown?

I know from personal experience in New Zealand it is very costly to get cars home when they break down. (A big thank you to the AA Plus team and Kevin of Gisborne Auto Salvage service for being my saviour last month). The further out you go from home, the more expensive and inconvenient it is. So you could only imagine what it would cost to get your car to a repairer in the UK or Europe.

But here is the great news – did you know that AA in New Zealand have done a deal with the AA in the UK? If you are a member here in New Zealand and happen to be driving a vehicle in the UK, you can phone AA UK and they will arrange to get your car to a repairer. They provide free basic road side assistance and a free local tow. Now whether it is a modern or slightly less reliable classic vehicle, that can change a motoring holiday nightmare, into one of just annoyance.

In the same edition of the magazine they also had an article on the risk of driving and how we perceive risk on the road. Check it out. It is fascinating stuff as they focus on the fact that your perception of risk changes depending upon the number of curves and bends in the road. It also talks about the challenges of staying awake on straight roads.

This of course brings me to the next point of the risk of racing your classic cars. I had mentioned in a previous article the risks associated with taking your car on race tracks and the challenges that the insurers have on this subject. Soon after that article, we discovered that it is actually possible to buy a separate cover for those one- off events. It’s an additional premium over and above your annual policy but at least it does cover your vehicle in the event of an accident. If you wish to find out more, please phone me.

On the subject of overseas car tours, we have also just completed another exercise which relates to the subject of driving your car in Europe and the UK. We have now been able to secure a contact in Europe that can provide the Third Party cover. You don’t even have to insure the vehicle here when it gets back to New Zealand if you only want third party insurance whilst overseas.

By the time you read this, the people signed up for the Shanghai to London Classic Driver/Rally Tours classic car trip have got their bags packed, their cars are on the water and they start their adventure on the 4th of May. It’s been a real adventure from our point of view just in the administration of the insurance aspect.

For the majority of those attending, we have had the privilege of insuring their cars, transit and travel and it has been good to be able to ensure that if the worst happens, they are covered and they can get back home. (The cars will come back later of course.)

For some on the tour, being able to insure their cars was a bit of a worry in terms of whether they could get the cover or not. But it’s all been done. Some even managed to organise their travel cover through their credit card which is convenient (although only works for the person whose name is on the card, so any partners have to insure separately – something to be aware of).

One question does continually arise on the subject of rental cars. Are they covered under a Travel Policy? Whether in NZ or overseas, you must buy the insurance offered by the rental car company, unless you have a corporate fleet motor policy. The Travel Policy will cover the motor vehicle claim excess. And remember that when you buy the insurance, you must pay the extra premium to reduce the excess down to a lower level. If you have any questions on this issue, please phone us or talk to your broker.