Unlike insuring a standard vehicle, insuring a classic car can be a bit more problematic, so it is a good idea to research the types of policies available and learn about the restrictions they commonly include. Insuring a classic car is becoming more and more popular as so many folks are retiring their classic cars from the 50’s to the 70’s.
You can shop to insure a classic car like yours right here with our rapid quoting system partner network for any location in the U.S.. It’s fast, free and we’ll guide you through the entire process and as always, it’s important that you get more than one quote to ensure you’re choosing the lowest quote for the coverage you’re looking for. When you’re quoting to insure a classic car with us, there’s never an obligation to purchase should you choose not to. You can just use the quotes for comparison purposes.
Insuring a Classic Car-Classification
The first thing to consider is when insuring a classic car is whether your vehicle is actually classified as being a ‘classic’ one. Not every insurer will agree on the definition of a classic car, so it is important for you to talk to your agent to be sure that the company will consider your vehicle a classic car.
Most insurers will actually accept classic cars on their standard car insurance policies, but you may face high premiums if you choose to do this. When insuring a classic car, the agreed value clause, which pertains to the minimum amount that you will receive in the event that your vehicle is in an accident or stolen, and is the primary benefit of purchasing specialty insurance, will not apply when classic cars are placed on standard auto policies.
Insuring a Classic Car-Market Value
Most often, insurers will consider the current market prices of your vehicle when insuring a classic car in order to calculate how much to pay you for any claim that you file. This can be difficult when it comes to classic cars, as it is not so simple to figure out their market value. In many cases, the insurer will end up undervaluing your car, and if they do so you will be forced to take that amount, even if you feel that it is unfair. Insuring a classic car can be a little tricky in this respect.
One of the most price-sensitive markets is the one for classic cars; in fact, the value for the same model car can range from 50% to 500%. If your car is in mint condition, is limited edition or has providence, then without an agreed value clause then there is pretty much no way that you will receive its full value. Keep in mind that insurance companies, especially the well-known ones, are in the business to pay out as little for claims as they can.
Insuring a Classic Car – Restrictions
If you want to have an agreed value clause included in your insuring a classic car, you will probably have to follow some rigid insurance guidelines. A yearly mileage maximum is one such rule, as it is expected that a classic car will be driven less, and the classic car insurance policy will reflect this guideline. Other restrictions might include adding security measures and limiting the number of classic car shows that you can take your vehicle to.
These restrictions that are associated with insuring a classic car, will generally allow these types of policies to be reasonably priced, but you should expect to pay a higher rate if your vehicle is a model that is considered very rare and in demand. When shopping to insure a classic car, having the agreed value clause included in your policy, should be a priority for you, and it is recommended that you live with a more expensive premium in order to have this clause included.