Insurance Glossary

Agreed value

Last reviewed 25 July 2026 · by the Savvy Insurance editorial team

What is agreed value?

Agreed value cover fixes the amount the insurer will pay for a total loss when you take out the policy, rather than using market or retail value at claim time. It is often used for classic, collectible or specialist vehicles.

Example

A restored classic car insured for an agreed value pays that fixed sum if it is written off, regardless of book value.

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