Insuring Classic Cars: What You Need to Know

Classic car enthusiasts don’t simply own cars; they cherish them. That’s because classic cars often hold significant value, both sentimentally and monetarily. If you have a classic car, make sure you’re doing it justice by having suitable classic car insurance protection.

Why Pick Classic Car Insurance Over Normal Auto Insurance?

If you own a classic or collectible vehicle, it may benefit from specific coverage features. Namely, classic car insurance can cover the car for its agreed value, which can be higher than its market price. It can also cover spare parts and offer discounts for low mileage. Your broker can explain more about available coverage features.

What Is a Classic Car?

When it comes to insurance, classic cars must conform to certain criteria. Generally, these cars are considered collectibles or have a unique history; however, not every vintage car will qualify. Specific requirements can vary, but may include the following:

• Vehicles at least 20 years old

• Vehicles driven infrequently (i.e., not daily drivers)

• Vehicles stored in a climate-controlled space or enclosed garage

• Vehicles that aren’t for racing

Again, each insurer may have different rules for vehicles that qualify for classic car insurance. Talk to your insurance broker to learn more about your situation.

How Much Does It Cost?

The price of insurance for vintage and classic cars depends on a variety of elements:

• Age and market value of the vehicle—The specific year, model and overall worth of your antique car are key factors that influence your insurance premium.

• Driving habits—How frequently you drive your classic car can affect your eligibility and the cost of coverage. These policies are typically designed for occasional use, not everyday driving.

• Storage conditions and security features—Where and how you store your vehicle, such as in a locked garage or with added security systems, can impact your insurance rate.

• Coverage options and limits—The type and extent of protection you choose will shape your premium. Classic car policies often use an “agreed value” approach, where you and the insurer decide on the car’s insured value upfront. The higher this agreed value, the more you can expect to pay, though other factors also contribute.

Contact A Advantage Insurance Agency to learn more about the value of classic car insurance. We can help assess your unique circumstances and discuss the right coverage for you and your cherished vehicle.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.