We present an updated theoretical treatment of ultraperipheral collisions (UPCs) of heavy ions, within the SuperChic Monte Carlo generator. This in particular accounts for mutual ion excitation through additional photon exchanges between the colliding ions. This effect occurs frequently in UPCs, and indeed can be (and has been) measured in data through the use of zero degree calorimeter (ZDC) detectors installed in the far forward region. The theoretical approach presented here accounts for the non-trivial and non-negligible impact such ion dissociation has on the measured cross sections and distributions of the produced particles in the central detectors. This builds on previous work, whereby the survival factor probability of no additional inelastic ion-ion scattering due to the strong interaction, and its kinematic impact, are also accounted for within the same overall framework. We compare to data from ATLAS and CMS at the LHC, and STAR at RHIC, and find in general encouraging agreement for a range of observables and ZDC neutron tags, with some room for further improvement, suggesting the inclusion of higher order QED effects and/or tuning of the the γA → A * cross section may be desirable. Overall, this gives confidence in the approach considered here and for applications to new phenomena within and beyond the Standard Model.