Due to COVID and its significant impact on global supply chains, the values of vehicles, plant & machinery have significantly increased in Australia. This increased value will continue for some time as buyers look for quick fixes and waiting for new equipment is not an option. 
 
Car valuation expert Redbook, estimate that used vehicle values have increased by up to 35%. The same applies to used trucks and yellow equipment.

How does this impact your insurance?

When a vehicle claim is lodged the insurer will look at the terms of the policy – if you show market value there is a good chance a fair return can be achieved, but it is vital to understand the terms of the market value. You may have a problem if you have nominated a lower amount at renewal that does not accurately reflect the true value.

If the policy is the agreed value, you then need to carefully review that number to make sure that you can get a similar vehicle of similar quality, for that agreed value. 
 
There are solutions. Fleet owners can obtain valuations that will help them negotiate the correct sum insured at renewal. If you have a current claim some valuers will provide pre-accident valuations. 
 
The key is to seek advice and discuss with your broker to confirm the terms of your policy.