Frozen Tub + Insurance = depreciated value

[mecac]

Hello, new member and glad I found this site.  I’m hopeful someone can direct me to the right information.  We have a 2005 Sundance Optima Spa that was in very good shape until this past winter when we lost power and the tub froze.  Unfortunately with the temp dropping to -20 and staying well below 0 for so long we did not get outside to use the tub and by the time we did it was pretty much frozen solid.   We called our local service company and have determined that the spa is most likely a total loss as we have water pouring out of every side of the tub.  We called our insurance company and will know more in a few days as what options we have.

They said they cover the depreciated cash value and not the full replacement cost.  Was shocked to hear that but it is what it is.  My question resides around how I determine the depreciated value and not take the word of the insurance company who is more interested in low balling me.  I’ve searched high and low for a site that would help with the value – any suggestions?  Anyone been through this before and can offer up some lessons learned?

[Hottubguy]

Hello, new member and glad I found this site.  I’m hopeful someone can direct me to the right information.  We have a 2005 Sundance Optima Spa that was in very good shape until this past winter when we lost power and the tub froze.  Unfortunately with the temp dropping to -20 and staying well below 0 for so long we did not get outside to use the tub and by the time we did it was pretty much frozen solid.   We called our local service company and have determined that the spa is most likely a total loss as we have water pouring out of every side of the tub.  We called our insurance company and will know more in a few days as what options we have.

They said they cover the depreciated cash value and not the full replacement cost.  Was shocked to hear that but it is what it is.  My question resides around how I determine the depreciated value and not take the word of the insurance company who is more interested in low balling me.  I’ve searched high and low for a site that would help with the value – any suggestions?  Anyone been through this before and can offer up some lessons learned?

Unfortunately your probably be looking at 2-3000. It's a 10 year old hot tub and probably isn't worth much more then that. Have you had any repairs done lately?  Insurance companies sometimes take that into account and will give you more. MSRP on that tub is probably around 17k so get a quote. From a local dealer. The quote should include removal of the old unit because that's a extra charge. I would try to get 5-6k from insurance company. I don't think you will be able to get anymore. Also try googling used spa dealers and see if any of them have a comparable model for sale. Try to get a quote to show what the tub is selling for. Good luck

[wmccall]

Welcome to the forum even if its on such a sour note.   Other than that Hottub guys advice sounds right on.

[TwinCitiesHotSpring]

like hottubguy said your prob. looking at 2k or so...not sure why your shocked, your not paying for full replacement insurance so you shouldn't receive full replacement, may want to look at modifying your policy if you get a new tub in place

[Chas]

One way of looking at this is to simply go shopping for a 2005 Optima tub. Craigslist, ebay, or local dealers. If you find a nice one (you may) connect the seller with your insurance agent and see if they will buy THAT spa and have it moved to your yard.

What I'm proposing may sound wacky, but think about it: you are insured for the current value of your hot tub, and there is no better way to prove the current value of that tub than by finding a replacement tub of the same type, same age.

It also may be an eye-opener to you, as this is a great way to understand why the insurance company is willing to pay you what seems like such a low amount - but may, in fact, be totally fair.

HTH

 

[Dr. Spa™ Ret.]

So I searched all the craigslists in the US for, "2005 Sundance Optima"

Searching exactly like that, with the quotes, there's nothing listed.

There's a 2006 in MN for $4500
A 2003 for $3500 in St Louis

[Chas]

Ironically, I installed one (2005) in the backyard of a rental unit we own - leased to some good friends.
They LOVE it, and don't seem to be interested in selling it...
Useless info, for the masses...