Porsche Financial Services announced June 20 that Oregon and Illinois Porsche owners can now sign up for an OEM insurance policy, with more states on the way.
The FAQ for Porsche Auto Insurance describes a system focused on repair quality and customer service, as well as privacy. Any Porsche from the 1981 model year forward is eligible.
Porsche will charge a base rate and then an additional amount based on the miles you drive, according to the OEM. The driver merely needs to shoot a photo of his or her odometer and upload it monthly — no dongles or other monitoring is required.
“Our patented computer vision technology verifies the vehicle and the mileage from the photo sent,” Porsche wrote.
Mile Auto is Porsche’s partner on the coverage.
“Porsche customers deserve an insurance product that fits their lifestyle and their Porsche. Mile Auto is excited to partner with PFS in delivering a product worthy of the Porsche Crest,” Mile Auto CEO Fred Blumer said in a statement.
In addition to a tow to a Porsche-certified body shop and OEM parts, the coverage includes a “Claims Concierge” and 30 days of rental coverage at up to $125 a day for a “high-end rental vehicle.”
“When life happens, we get you back on the road and behind the wheel of your Porsche vehicle as quickly as possible,” Porsche wrote in a paragraph describing standard features. “With Accident Assistance we tow your vehicle to the nearest qualified Porsche Approved Collision Center. Our network of Porsche Approved Collision Centers provides quality collision services and uses Porsche Genuine Parts. Our Claims Concierge is with you every step of the way during the claims process to answer any questions. While your Porsche is being repaired, we provide rental reimbursement on a high-end rental vehicle to drive until your repairs are complete.”
Porsche insurance also includes agreed value coverage up to $300,000 and diminished value coverage. Both are standard, Porsche confirmed June 24.
A Porsche FAQ indicated its insurance included comprehensive and collision. We asked if Porsche felt drivers would be willing to split off those lines of coverage rather than pursue all policies at a single carrier — or even bundle auto with even more coverage, such as home.
“Porsche Auto Insurance offers full coverage auto insurance, including property damage and uninsured/underinsured coverages, to help protect you if your vehicle is involved in an accident or is stolen or damage,” Porsche wrote in a response June 24. “Porsche Auto Insurance also offers homeowner, multiple vehicle, and Porsche Club of America member discounts.”
Porsche said auto glass coverage also was included in all policies.
The launch of the Porsche program could make it an attractive time to become a Porsche-certified body shop.
“You accept no substitutes,” Porsche’s insurance site states. “Neither do we. Our network of Porsche Approved Collision Centers provide quality collision services and use Porsche Genuine Parts. These parts are tailored to your Porsche to ensure optimal results after restoration.”
OEM certification and insurance might focus more on quality than traditional insurance direct repair programs, which emphasize cost-cutting. But automakers do care about cost of ownership on the front end — such as higher insurance premiums driven indirectly by higher claim costs. With in-house insurance programs, the repair costs would directly affect the automaker.
However, when we asked Porsche if it was requiring further concessions on its certified shops following the launch of Porsche Auto Insurance, it said no.
“There are no specific requirements, caps or limits when it comes to vehicle repair,” Porsche wrote in a response. “Porsche Auto Insurance is committed to properly repairing each Porsche vehicle.”
Porsche late last year said it had 130 dealership and independent certified auto body shops, close but not quite enough for its 192 dealerships, according to a Porsche collision representative.
The OEM wants each Porsche dealership to own its own certified body shop or have sponsored an independent repairer which can receive its collision work, said Mike Kukavica, Porsche aftersales technical training collision repair technology instructor.
Sponsorship is required for independents, Kukavica told a VeriFacts Guild 21 audience in during a Dec. 13 presentation on Porsche’s wheel repair ban. One hundred of the 130 certified shops are independent body shops, he said. Two of the 30 dealer shops are housed within Porsche retailers; the other 28 are dealership collision centers shared by multiple retail sites in a particular dealer chain, according to Kukavica.
Porsche, June 20, 2019
Featured image: The dash of a Porsche Macan S is shown. Porsche’s insurance program is per-mile; drivers just have to send in a photo of the odometer monthly. (Provided by Porsche)