[ricardo]

This whole thing over the option packs is a bit of a disaster area. I've done some more research today: looking at various insurer's proposal form/statement of fact questions and also speaking to the guy at the ABI who deals with group rating.

It looks as though the correct approach could depend upon the insurer you end up with - the questions and stance on this issue vary considerably. For example, Zurich uses the old Eagle Star approach of very detailed info about changes to the car's spec: there are 4 separate questions and the form asks if the car has been "altered/modified/changed in any way from the manufacturer's standard UK design or specification."

The issue therefore is: are factory optional extras and "packs" part of the MINI standard UK design or specification? Are they just variations in the standard design/spec? It seems crazy to argue that the vehicle is "modified" since that would mean every MINI built between launch date and November 2001 is non-standard!!

Other insurers' questions seem much simpler to answer without feeling uncomfortable about the response. For example, Norwich Union: "Have any changes been made to the maker's specification other than being adapted solely to cater for any physical disability?"

Just to add further to the dilemma, the group rating allocated by Thatcham may or may not take into account options - it depends on what BMW/MINI submitted for testing. For example, if the MINIs examined at Thatcham were fitted with option packs then clearly the allocated group rating takes this into account. If they were unadorned "base" editions, then it does not. The trouble is, the ABI can't tell me one way or the other.

Of course, none of this would matter if simply telling the insurer produced a sensible response. But the chances are the person you speak to won't have the time or inclination to enter into this sort of debate and will just quote you a higher premium or decline altogether.

After some debate today, my employer's approach is as follows: anything that can be specified as a factory option without changing engine performance is NOT regarded as a modification and need not be referred to underwriters. To protect clients who have added options, we will request that they write on the proposal form (or statement of facts) brief details of the spec: e.g. "vehicle is fitted with manufacturer's factory fitted Chili option which includes alloys, Sports Suspension Plus and various other enhancements." Writing this on the form gives the client total protection since detailed information about the car has been disclosed at the outset.

Only a factory option which fundamentally alters the vehicle's appearance (such as a bodykit) will require referral for rating - I'm not sure if this is a factory option anyway.

Whether or not you can achieve the same result over the phone/internet with direct insurers/telebrokers remains to be seen. Using intermediaries can be useful as they act as a buffer between you and the insurer and can take the blame if they misadvise you. They must be adequately insured against errors and ommission and wrongful advice.

Pick an insurer or agent who is a member of GISC and put your instructions/comments in writing, or ask them to write to you to confirm everything.