The BMW 1M has reached a degree the place it’s not only a used efficiency automobile. Costs have climbed, good examples are getting more durable to seek out, and many homeowners aren’t daily-driving them anymore. When a automobile begins to enter that territory, common insurance coverage stops making sense. It values the automobile like another getting old coupe — not one thing that’s holding or gaining worth. That’s why we insured our 1M with Hagerty (not paid commercial), and after going by way of the method, it’s clear that collector insurance coverage works in a different way than an ordinary auto coverage in ways in which really matter.
Agreed Worth — The Half That Actually Makes a Distinction
Hagerty makes use of Agreed Worth Protection. You and the insurer resolve what the automobile is price, and if it’s totaled, that’s the quantity you’re paid. Not a depreciated determine. Not no matter an adjuster finds on-line. The worth is ready in writing forward of time. This issues as a result of most conventional insurance policies use Precise Money Worth — which implies the payout drops because the automobile ages. On one thing like a BMW 1M, the place costs are rising as a substitute of falling, depreciation-based protection misses the purpose.
The place the Numbers Landed for Us
Our automobile is insured for $76,500, based mostly on Hagerty’s valuation device and present market motion. The device is a part of the Hagerty Drivers Membership membership and reveals how pricing has trended through the years, which makes it simpler to regulate the insured worth if the market modifications. With the ability to change the insured worth mid-term, not simply at renewal, is beneficial because the market continues to maneuver.
Modified Automobiles Don’t Trigger Issues — You Simply Need to Doc Them
A 1M doesn’t should be inventory to be insured. If the automobile has a tune, upgraded turbos, suspension, paintwork, inside modifications, or anything that impacts worth, Hagerty will cowl it — they simply need information. Elements and labor may be included within the insured worth so long as the work is accounted for.
Monitor Day Protection Exists, and It’s Elective
Hagerty gives single-event observe day protection for non-competitive HPDE occasions. You don’t want a full coverage to purchase it, and also you don’t have to hold observe protection year-round when you solely drive occasions sometimes. For anybody who desires to take a 1M on observe a few occasions per 12 months with out committing to a devoted motorsport rider, that flexibility helps. I skipped this for now since I nonetheless deal with the 1M like a “storage queen.”
If One thing Goes Fallacious — They Attempt to Repair the Automotive, Not Whole It
A giant distinction from regular insurance coverage is how claims are dealt with. With Hagerty, the default strategy is restore — not totaling the automobile and slicing a test. OEM elements are used when attainable, you possibly can choose the store, and when you’re able to doing the work your self, you may be compensated for it. A complete loss is handled as a final step, not the primary. For a automobile like a 1M, the place originality and VIN continuity matter, that mindset goes a good distance.
There’s additionally an elective add-on referred to as Cherished Salvage. If the automobile is totaled and that endorsement is on the coverage, you get the total payout and you may maintain what’s left of the automobile with out having to purchase it again. Not each automobile wants this, but it surely’s a smart possibility for one thing private or uncommon.
Right here’s What Our Coverage Truly Prices
Our annual price is $1,092, cut up between $649 for collision and $443 for complete, utilizing a $10,000 deductible. It’s not a daily-use coverage — the pricing displays occasional driving and cautious possession. One essential word: Hagerty required our 1M to be saved in an enclosed storage. Out of doors storage wouldn’t have certified the identical method, and it doubtless would have modified pricing, or just the automobile would haven’t been insured.
A Fashionable Benchmark — To See How It Compares
To get perspective, we additionally ran numbers on a contemporary automobile: a 2024 Porsche 718 Cayman GTS 4.0, insured at a assured worth of $113,000 and saved in related enclosed garaged situations. With a $1,000 deductible, collision protection got here in at $1,005 per 12 months, and other-than-collision protection (together with glass) was $665. The one charge connected past that was a small $4 law-enforcement coaching evaluation.
Placing it subsequent to the 1M highlights the distinction between insuring one thing established as a collectible and one thing nonetheless new sufficient to really feel like a high-value street automobile. The Porsche prices extra to cowl regardless of an analogous storage setup and related agreed-value construction. That distinction makes it simpler to know the place the 1M sits out there now: not low cost, however clearly handled like a automobile that has already crossed into long-term fanatic territory reasonably than one thing disposable or simply changed.
