Question about Insurance

[MooseJawian]

my car just got total loss this morning..now i have a question about the insurance. when i bought the car 2 yrs ago, i paid 8k bucks, but i only report 5300 bucks sale price to the SGI in order to save some bucks on tax. now I do not know when SGI estimates my car now,will their calculation be based on the price i reported couple yrs ago or just give me a market price that my car is worth rite now, coz rite now my car is still worth more than 5300 bucks.
thank u guyz

[BlackArcher101]

Market price or at least what they think the market price should be

[MooseJawian]

so the final estimate value of my car from SGI has nothing to do w/ my purchase price couple yrs ago?

[frozenrice]

I think most insurance companies don't care what you paid for it. For example, if you paid $10,000 on a car worth $2000, they're gonna only insure it for $2000. Something happens to the car, you're going to be out $8000. Maybe it's done different in Scratchybum.

[CokerRat]

The insurance co may only pay you what you paid for the car. Some cars might match up to blue book / black book values (ie. late model cars) but older ones are all about condition. By telling the insurance co. you bought it for a lower value, there's a high chance that lower amount is all you'd get in the event it is totalled.

The easiest way to check is phone them up and ask them to tell you how they would value the car today.