Hello and welcome to the Lockton roundup. Every month, we'll be bringing you news and views from the classic and specialist motor world. This will be a mixture of industry news and insurance updates and we might even include the odd competition!
Your feedback is important to us – if there are things you'd like to know more about then please let us know and equally if you don't like the content then we'll improve it.
Auction news from Glenmarch
May's auction results continued to show improving stats as the major auction houses got to grips with online sales – in some cases the slight easing of restrictions allowing viewings by appointment.
Image - Karissa Hosek ©2020 Courtesy of RM Sotheby's
RM Sotheby's set a new record for the most expensive car to be sold at an online only collector car auction when its two-owner 1,250-mile 2003 Ferrari Enzo went for $2,640,000 (est. $2.6-2.9M). RM's impressive sale total of $16.38M was further bolstered by a 23,500-km 1985 Ferrari 288 GTO which fetched $2,310,000 (est. $2.2-2.4M) and a 2017 Ford GT with 1,471 miles at $836,000 (est. $850-950K).
In the UK, Silverstone Auctions pulled off a remarkable result at its May sale, with 89% of the cars on offer finding new homes and a sale total of £4.64M. Notable above-estimate success included a tool-room copy Jaguar D-Type which achieved the highest price of the day at £390,500 (est. £225-275K); a Peugeot 205 Turbo 16 Group B at £336,600 (est. £260-290K); and a 1971 Porsche 911 2.7 RS Recreation smashed its £75-90K guide, selling for £161,700.
Meanwhile at Osenat's Fontainebleau sale, a matching-numbers 1969 Lamborghini Miura S with 54,550km, owned by the consignor since 1982, brought a well-deserved €844,500 (est. €700K-1M); helping the French auction house post an encouraging 80% sell-through rate and total sales of €2.5M.
Upcoming auctions and results can be found at Glenmarch
Covid-19 Update
It is now some 12 weeks since the government gave out the stay at home message and restricted our ability to travel and to enjoy the pleasure of driving our cars. Most of us probably experienced the eerie sensation of driving on near empty roads to be joined by only a few cyclists and pedestrians taking their exercise.
The reduction in road traffic has been dramatic with some estimates suggesting an 85% reduction from normal levels. Clearly, with so few people driving there has been a dramatic fall in the number of accidents and claims raised with motor insurers. To take a positive from this is to recognise that accidents are miserable events that can only deliver pain and financial suffering when they occur.
So how are motor insurers reacting? The Association of British Insurers announced that its motor insurance members are offering support to all customers who may be affected by Covid 19. This might range from financial help in paying premiums to up grading the policy cover to include business use on a temporary basis. Each insurer has reacted differently so you should check with you own insurer to see the changes. Most have a Covid 19 FAQ section on their web site.
After this initial response very little else has happened. To be fair with such a rapidly changing landscape it is very difficult for any industry to predict the medium to long-term outcome of Covid 19. Insurance is based on a promise to do something in the future – it is in a contract detailed by the policy document but when the future is unclear, planning is challenging.
As we move through the various stages of the Government road map to recovery motor insurers will respond and develop solutions to setting premiums and providing policy cover and structures to recognise the new norm. Will we see motor insurance priced by the mile, or an increase in telematics to deliver an equitable motor insurance premium to its customers? Will road traffic and accident levels return to pre lockdown volumes? What will be the new norm? Too many questions with too few answers.
At Lockton Performance, it is business as usual – we are still here to advise and answer your questions. Our teams are all working from home and they have all adapted to this new working environment. Although the office setting maybe different they continue to provide exemplary service to all our existing and new customers.
Car news
June sees a raft of performance car releases.
BMW's M2 Competition sees its production run come to a close with the CS edition. At around £75,000, its almost 50% price increase over the outgoing car included plastic bonnet and carbonfibre roof to add lightness and a power increase, to 444hp.
Also from BMW is the M8 Competition. Boasting over 600hp, this range-topping model is the fastest and most powerful 2-door car ever made by the German manufacturer.
From Ferrari, we have the SF90 Stradale. A petrol V8 twin turbo engine producing almost 800hp coupled to 3 electric motors to give a total output of almost 1000hp and their flagship replacement for the La Ferrari will be a full-time model and not a halo limited run version.
More big horsepower numbers from Mercedes' AMG division and this time it's the huge GLS63 packing over 600hp, enabling this 7-seater SUV to reach 60mph in a scarcely credible 4.2 seconds – we hope that sick bags for the family Labrador will come as standard.
From the might of Mercedes to the quintessentially English car maker Morgan. Its new Plus Four may look exactly the same as it has for over 70 years but increased use of aluminium, revised steering and suspension and BMW's 4 cylinder turbocharged engine sees one of the biggest set of changes in the company's history – and that's before you factor in the first digital driver infotainment display and the option of an eight speed automatic gearbox; the first time this has been offered from the factory.
Polestar One – almost sounds like a sci-fi movie but no, this is Volvo and their flagship model line which will be marketed under the futuristic brand. The first model will be a sleek luxury coupe powered by a hybrid motor providing over 600hp. Costing over £130,000 and limited to just 1,500 cars, the One will be available in LHD form only.
Sadly, this month's news includes a farewell to arguably one of the industry's greatest engineers with the passing of Porsche's Hans Mezger. It's a fitting tribute to anyone's life and career that almost 30 years after retirement, they are still not only present at many motorsport events but remain being deferred to by colleagues.
Mezger-designed engines include the famous flat six used by numerous generations of the 911 (the original project brief being to design a compact motor to be fitted to the original 911).
He was also instrumental in Porsche's motorsport programme from the 910 to the all-conquering 956/962 – not forgetting a small sideline working with TAG to produce engines which claimed 3 driver's and 2 constructors' world F1 titles.
His engines saw use through to the 2011 GT3 4.0RS with almost 500hp.
Few engineers can claim as illustrious a career with so many accolades.
Insurance news
“It's only insurance fraud – they'll get their money back anyway. Not like fiddling your taxes or stealing from a shop, right?”
Actually, no. The costs of insurance fraud are passed on to all of us via unavoidable premium increases; it's a criminal offence committed by a small minority and successful convictions are rarely pursued.
In a landmark case, however, Allianz pursued a fraudster and their solicitors have secured an immediate conviction as reported here so we hope that this might mark the start of a more aggressive approach to this unacceptable behaviour.
In other news, it won't come as a surprise that claims have reduced significantly during the lockdown, due primarily to the reduction in the use of cars. Some spikes are being reported as restrictions ease so we'd advocate caution if and when you do need to drive again and a bit of empathy towards other road users – for many, the enforced layoff from regular car use may have caused a little rust.
We've compiled some guidance here to help you make sure that you return to driving is a safe and pleasant experience.