# Spanish Car Insurance



## MandyW (Jun 8, 2017)

I am looking into buying a car in Spain and have a question regarding car insurance.

I got a couple of quotes just to see how much roughly I would be looking at paying and both companies advised that if a car is more than 15 years old, they would only insure 3rd party fire and theft. Is this the case across the board? 

As it happens, we probably won't get a car that is 15 years old, however it would be good to know as at the moment I am just researching in order to make a decision.

In the UK I am used to insuring my car fully comp.

Thanks in advance for your help


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## tarot650 (Sep 30, 2007)

MandyW said:


> I am looking into buying a car in Spain and have a question regarding car insurance.
> 
> I got a couple of quotes just to see how much roughly I would be looking at paying and both companies advised that if a car is more than 15 years old, they would only insure 3rd party fire and theft. Is this the case across the board?
> 
> ...


have a look hear Tel. 95 249 9347

http://seviour-insurance.com/


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## Overandout (Nov 10, 2012)

It is indeed quite normal.

In fact 15 years is older than most companies I have dealt with. Most limit fully comp cover to vehicles 10 yrs old or less.


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## Megsmum (Sep 9, 2012)

Overandout said:


> It is indeed quite normal.
> 
> In fact 15 years is older than most companies I have dealt with. Most limit fully comp cover to vehicles 10 yrs old or less.


Interesting. I never knew this. Our car will be ten years old this December , does this mean the insurance company will reduce the cover to third party when we renew in April?


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## tarot650 (Sep 30, 2007)

Megsmum said:


> Interesting. I never knew this. Our car will be ten years old this December , does this mean the insurance company will reduce the cover to third party when we renew in April?


Not strictly true.It's down to the company you are insured with and how long you have owned the car.I was given this information this morning from Mark at Seviour Insurance in Alhaurin.E.G. Might be worth checking with your insurance company.Always like to get it from the horses mouth and not hearsay.


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## Dunpleecin (Dec 20, 2012)

I’m with línea directa and the car is a 2005 Merc. No mention of only being 3party fire and theft


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## Overandout (Nov 10, 2012)

As tarot says, if you have had the vehicle insured fully comp from new, they will not necessarily insist that you "downgrade" your cover.

But if you go to a new policy with a 11 or 12 yr old vehicle you will find it harder to get fully comp.

By the way, I am talking about the standard national insurance providers, not the "specialist" expat providers that cater for expats' particular habits.

Of course, if you are prepared to pay you can usually get whatever you want!


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## Overandout (Nov 10, 2012)

Another thing to remember is that fully comp in Spain does not work like fully comp in the UK.

If you buy a car for 4,000€ in the UK (assuming that its market value is ther, or thereabouts) and it is a total loss soon afterwards, the insurance company will reimburse you 4,000€ less your excess.

In Spain however, the insurance companies do not reimburse market value, they reimburse based on the official value as established by the state (valor venal).

I have a car from 2004, which I bought in 2016 for 4,200€. Today I could probably sell it for around 3,500€.
But, if I were to have a claim on a fully comp policy, the value of the vehicle would be around 2,000€. Given that the excess on a fully comp policy would have been around 500€ for a fully comp policy, I would stand to get only 1,500€, even though it would cost me more than twice that to replace the car.

Most insurance companies will explain this to you, as it simply isn't worth paying the premiums and taking on the excess for fully comp once the official value of the vehicle is so low.


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## Megsmum (Sep 9, 2012)

Overandout said:


> As tarot says, if you have had the vehicle insured fully comp from new, they will not necessarily insist that you "downgrade" your cover.
> 
> But if you go to a new policy with a 11 or 12 yr old vehicle you will find it harder to get fully comp.
> 
> ...


Our cars was not insured from new. I asked around today, no one locally has heard if this and most don’t have new cars, I’m going to phone company tomorrow


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## Overandout (Nov 10, 2012)

Some of you seem to think I'm making this up! 

So here is s blog by a insurance broker site which explains why many companies do not offer fully comp on cars over 10 yrs old:

https://www.segurojoven.com/seguros...culos/seguro-para-coche-de-mas-de-10-anos.php

"las empresas aseguradoras no dan el mismo tratamiento a un coche nuevo que a otro que ya tienen una edad superior a 10 años, pues aunque no se trata de una regla general que esté establecida para todas las compañías del sector, muchas marcas deciden no realizar seguros con amplias coberturas a los coches que superan la década de edad porque entienden que es contraproducente y poco rentable para el negocio que representan.

Así, en la mayoría de los casos las empresas se niegan a proporcionar pólizas con coberturas a todo riesgo o a todo riesgo con franquicia a este tipo de vehículos, salvo en contadas excepciones que suelen coincidir con renovaciones de este tipo de coberturas, es decir, con coches que anteriormente ya han estado asegurados a todo riesgo y cuyo estado de conservación es óptimo."


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## Megsmum (Sep 9, 2012)

Overandout said:


> Some of you seem to think I'm making this up!
> 
> So here is s blog by a insurance broker site which explains why many companies do not offer fully comp on cars over 10 yrs old:
> 
> ...



I don’t think you’re making it up, I’m saying that none I’ve spoken to has an understanding of this and having checked with other half our car was 10 years old last year and we are fully comprehensive, so what has happened to us does not pan out with what you say, doesn’t make you wrong it simply means my experience so far is different. 

I’m more interested in your statement about pay out if car right off. 



> In Spain however, the insurance companies do not reimburse market value, they reimburse based on the official value as established by the state (valor venal).
> 
> I have a car from 2004, which I bought in 2016 for 4,200€. Today I could probably sell it for around 3,500€.
> But, if I were to have a claim on a fully comp policy, the value of the vehicle would be around 2,000€. Given that the excess on a fully comp policy would have been around 500€ for a fully comp policy, I would stand to get only 1,500€, even though it would cost me more than twice that to replace the car.


Where can I find out about the valor venal? Would my insurance company tell me what the valor venal is ?


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## Overandout (Nov 10, 2012)

No need to ask your insurers, although I'm sure they would tell you.

There are many online calculators, just google "calcular valor venal coche".

Try to make sure that the site references a recent BOE though, so that the values are up to date. Latest update came into force in January 2018.

These values are the values used by Hacienda when you pay transfer tax, so they are substantially lower than the real market value of the vehicles normally, tending to depreciate the value of the vehicles over a period of approx 10 - 15 years, after that, the official value is a nominal or residual value.


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## davids0865 (Apr 12, 2016)

Overandout said:


> No need to ask your insurers, although I'm sure they would tell you.
> 
> There are many online calculators, just google "calcular valor venal coche".
> 
> ...


Interesting, just calculated my car value and you're right it comes out at less than 2/3 market value, but, this is not the value recently calculated for transfer tax, that was an equation something like this: list price when new, depreciated by age, multiplied by pollution factor = % of list price when new. In my case this was 2X the "valor venal"


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## Overandout (Nov 10, 2012)

davids0865 said:


> Interesting, just calculated my car value and you're right it comes out at less than 2/3 market value, but, this is not the value recently calculated for transfer tax, that was an equation something like this: list price when new, depreciated by age, multiplied by pollution factor = % of list price when new. In my case this was 2X the "valor venal"


The "valor venal" is listed in the BOE with the data you describe from the "ficha técnica" of the vehicle.

But ultimately you just take the "fiscal value" as listed in the BOE and apply the depreciation factor as published in the same BOE.

Either you have entered the data incorrectly, or the gestor has incorrectly calculated the fiscal value for the transmission tax. Or maybe you transfered the vehicle before January with the 2017 values?

If you want to consult the BOE directly to check, you can see it here:

http://www.boe.es/boe/dias/2017/12/22/pdfs/BOE-A-2017-15284.pdf


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## davids0865 (Apr 12, 2016)

Overandout said:


> The "valor venal" is listed in the BOE with the data you describe from the "ficha técnica" of the vehicle.
> 
> But ultimately you just take the "fiscal value" as listed in the BOE and apply the depreciation factor as published in the same BOE.
> 
> ...


OK, just checked against that and it still comes up with a value 1/3 more than the VV, but this still does not include an uplift for TT of the pollution level of the car. Spanish rules huh!


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## Overandout (Nov 10, 2012)

Hang on, I may be wrong on this. 

The value taken by Hacienda may not be from this same BOE publication....

I am investigating!!!


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## Leigh56 (Feb 11, 2018)

So is it worth bringing a car over with us or is it better to buy one when we get here


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## Overandout (Nov 10, 2012)

OK, so it seems that there is an additional table of values which insurer's loss adjusters use for valuations.

This is a table of values published by a private association of used vehicle traders called Ganvam, but these values are not available to the public easily and are NOT the legal valor venal.

In any case, for the transfer tax, you should be paying based on the value stated in the BOE.


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## Overandout (Nov 10, 2012)

davids0865 said:


> OK, just checked against that and it still comes up with a value 1/3 more than the VV, but this still does not include an uplift for TT of the pollution level of the car. Spanish rules huh!


Not sure where you are checking?

There should no difference as far as I can understand.

I have looked up my car in several online "calculador de valor venal" and they all give me the same value as I get from the BOE tables...

Maybe there are local differences by Hacienda and the BOE value is adjusted due to local regulations before applying the % of tax?


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## baldilocks (Mar 7, 2010)

Leigh56 said:


> So is it worth bringing a car over with us or is it better to buy one when we get here


If you bring a UK car over there will be the cost of homologation which will involve changing/adjusting the headlights so that they dip to the right. Unless the high-intensity rear light is on both sides, it will have to be changed to the left-hand side and there will be first registration tax - all this is assuming that there is a certificate of conformity for the car. It will also have to have an ITV (similar to the UK MoT.) To this you will need to add the cost of getting the vehicle to Spain - ferry or tunnel plus the drive down (fuel, hotels, tolls, meals, etc.)

OTOH secondhand vehicles cost more in Spain, but they will be less likely to have salt-damage on the underside. RHD vehicles can be a nuisance since everything is orientated around LHD vehicles - car parks, in particular, plus the incidence of dual carriageways here is far lower than in UK so you are more likely to be in two-way traffic with all the problems that presents when you have a RHD car.

I would have loved to have brought my Volvo estate or SWMBO's Micra but we decided to sell in UK and buy a vehicle here more suited to where we were going to live. Around here, the most common vehicle is a small MPV (Berlingo, Partner, Kangoo, etc.) because they are the most suitable vehicles for this area - most of them are white to help reflect the sun and heat in the summer.

If you do decide to buy in Spain - go to a reputable dealer such as the manufacturer's main dealer or agent. Arthur Daley has franchises here in the back streets of many towns and they will rip you off faster than you can say "Minder." Just because the dealer or the person you are dealing with is a Brit - it doesn't mean you will get a better deal, in fact you are just as likely, if not more so, to get screwed.


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## Barriej (Jul 23, 2012)

Overandout said:


> As tarot says, if you have had the vehicle insured fully comp from new, they will not necessarily insist that you "downgrade" your cover.
> 
> But if you go to a new policy with a 11 or 12 yr old vehicle you will find it harder to get fully comp.
> 
> ...


Nope don't agree. I have a 2007 Citreon and it's fully comp and was when I got it last year. 
The FIL has a 25 year old car and it's still insured fully comp. He has owned it 20 years and his premium is about €200 
Problem with 3rd party is you are not covered for anything.


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## Barriej (Jul 23, 2012)

Leigh56 said:


> So is it worth bringing a car over with us or is it better to buy one when we get here


Not now unless it's something special. 
Now the UK is out of the EU there are other taxes to include.
My neighbour has just put his 2018 Sebring convertible on Spanish plates and he got stuck with about €1500 extra on import duties etc even though the car has been here nearly a year and he has owned it from new. 
He questioned why he had to pay as the car was here before Brexit and was told he should have changed it before then (this was both the agent he used and when it went for its check) 

As to the other reasons why not. Bringing a RHD car over makes it almost worthless when you want to sell. Car parks can be a nightmare as the ticket machines are on the wrong side and we have an underground garage with a key switch that woukd be hard to reach. Also its a pain overtaking not being able to see.


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## xicoalc (Apr 20, 2010)

General comment, its always worth shipping around. In general I'd avoid using any agency setup for expats as, and only in my experience, they usually end up far more expensive.

My recomendaciones for car insurance would start with Linea Directa. I've used them for 10+ years. The car I now have is 3 years old but we bought it new. I get a very good discount for loyalty but recently renewed for 170 euros fully comp with all extras and no excess. 

I always enjoy my renewal haggle and as I deal with the expat department because they are cheaper and I've always been with them, they always seem to warm to me when i talk Spanish to them. Most of my Spanish family now with them and i always use my history to get them a good deal in the Spanish dept. 

I too have insured older cars fully comp from day one. It's very possible. 

All that aside, I've recently started dealing with Generali for life insurances and studying their cover in general for all their types of insurances they seem very comprehensive and thorough. The broker is a lovely lady and so I'll set them the challenge next year to beat my car price. But i doubt it!


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## Barriej (Jul 23, 2012)

I also use Linea Direct and they took my driving experience from the UK (I was with Direct Line) 15 years no claims and I gave them the Spanish arm of the firm I worked for details to get a good deal. 
This year my policy has gone up €7.00 which I think is OK. 

Linea Direct have a dedicated foreign language system. A Dutch friend has a different number to ring than me and she says its great because they start out in Dutch. I phoned the number to ask a question (and while the person was not English) he started the conversation in English.


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## tarot650 (Sep 30, 2007)

Been with the same agent now for 25years,Car insurance and house insurance.We left for one year and went with Linea Directa and it was the biggest mistake we ever made.Was back with the agent the following year.It's so nice to have an oficina you can walk into and speak face to face and not somebody at the end of a telephone.These online sites are OK but if you have a problem that's when the true colours come out.At the end of the day it's down to personal choice.


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## xicoalc (Apr 20, 2010)

tarot650 said:


> Been with the same agent now for 25years,Car insurance and house insurance.We left for one year and went with Linea Directa and it was the biggest mistake we ever made.Was back with the agent the following year.It'snice to have an oficina you can walk into and speak face to face and not somebody at the end of a telephone.These online sites are OK but if you have a problem that's when the true colours come out.At the end of the day it's down to personal choice.


Well, this is why i am now favouring Generali because the personal service has been second to none. I bought life insurance amd moved my funeral cover tp them but have a mobile of the woman who will deal with everything. It seems very very good. 
Having said that, for car insurance (touch wood) I have never had to claim and work with many peritos and know the sector well but linea directa have so far been best on price. With house insurance they were a disaster when making a claim and I'd ever use them again. But for car, as I'm connected in the industry im confident and they really have a good rate for me. I am keen to see what generali will quote me. They promise to match. We'll see. But yes, a good agent is a blessing and i still say a Spanish one even more so!


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## tarot650 (Sep 30, 2007)

xicoalc said:


> Well, this is why i am now favouring Generali because the personal service has been second to none. I bought life insurance amd moved my funeral cover tp them but have a mobile of the woman who will deal with everything. It seems very very good.
> Having said that, for car insurance (touch wood) I have never had to claim and work with many peritos and know the sector well but linea directa have so far been best on price. With house insurance they were a disaster when making a claim and I'd ever use them again. But for car, as I'm connected in the industry im confident and they really have a good rate for me. I am keen to see what generali will quote me. They promise to match. We'll see. But yes, a good agent is a blessing and i still say a Spanish one even more so!


Stuart Seviour started his business a few years before we went with him,Stuart is English but his wife is Spanish,Stuart is now retired and Mark his son and Louise his daughter have now taken over the business and like I said it's nice to walk into an oficina and talk to a friendly face.The only one down side for me was when we sold the bar on I could not get insurance for my vinyl collection no matter who I tried with and some of my 45's are worth considerable amounts of money.In the end they went back to the UK where I have them in storage with a friend.As I said at the end of the day it's down to personal preference but for me an agent beats somebody at the end of telephone hands down.A greeting.


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