Do you know that you can get special value when you shop for classic car insurance? Vintage or classic car insurance is not just car insurance for old cars.
It’s classic insurance for a collectible asset that appreciates in value over time. That appreciation, combined with the limited driving and extra care given to these vehicles by their proud owners, qualifies them for reduced insurance rates.
Remarkably, many collectors do not realize this and pay much higher premiums than necessary. So below are some tips on how to be a smart classic car insurance shopper.
#1]. Shop with a specialty insurance broker
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Contact classic car clubs or search online for brokers that offer “classic” or “collector” car insurance. Interview them to find out how much they know about collector cars.
According to NADA’s Collector Insurance Guide, they should have a strong network of specialty repair and parts providers and knowledgeable claims specialists.
They should be able to advise you about valuation and about any use restrictions mandated by the coverage.
#2]. Shop for service, not rates
State insurance authorities govern local premiums, but they are going to be considerably lower for classic cars. You should be more concerned with finding a broker that you can trust to understand the needs of the collector.
Unlike regular auto insurance, you probably won’t find any discounts for owning more than one vehicle. In fact, most policies assume that you own a regular car for daily use.
#3]. Request Agreed Value
Because most collector cars appreciate in value over time, you want to ensure that you’re covered for the full and current market value, not some depreciated value out of a table.
The “agreed value” that is written into the policy is the amount you will get in the event the vehicle is stolen. You should renegotiate this amount at every policy renewal date based upon the then-current value of the care.
This is even more essential if you own a high-value vintage vehicle, one manufactured between World War I and 1930 a period of severely curtailed automotive production in the U.S. Valuations on these cars tend to be quite high and can appreciate rapidly.
#4]. Pay attention to restrictions
Most of the insurance companies understand that classic cars are more than just vehicles; they are a passion and a labour of love. Their comprehensive cover is usually designed to recognize the true value of your classic car.
It’s unlikely that you can get an insurance policy for your collector car if your vehicle will be driven by anyone below the age of 30. This is why you should pay attention to restrictions when signing up for classic car insurance.
#5]. Know what you’re buying
It’s always a good idea to cover for every contingency. Be sure to ask for a good all-around package of comprehensive, liability insurance, medical, Bodily injury and property damage liability coverage, and towing.
Here are some of the benefits of getting your classic car insured through a right broker:
- You will get the coverage of your car for its actual worth in the current market value.
- They thoroughly check the background and eligibility of both car and the driver before covering it for insurance.
- Also, they consider the modifications done in the car as value added to the car and thus give you the required advantage.
- They consider a huge variety of cars as classic, so it is easy for you to get insurance for your car.
- A clever and specialty broker will help you get your classic car insurance at low premiums.
Conclusion on classic car insurance
As a classic car enthusiast, you already appreciate value. Classic and vintage cars not only provide entrée into a world of pleasurable get-togethers with other enthusiasts, but they appreciate intangible financial value with each passing year!
So if you weren’t aware that you are entitled to special value in your classic car insurance, contact a specialty broker now and comparison shop.
You could save yourself a lot of money AND get better protection for your prized collectible.
12 Comments
Always consider the kind of car you own when shopping for online insurance. Then you will know if your car is qualified for the classic type. To qualify, your car must be a classic one or antique. Great, I have one like this.
Right! Understanding what you’re buying is important. That’s why before making the final decision, everything should have been thought of, particularly the claims and benefits. Be smart enough by fully understanding what is offered by an insurer.
My husband recently purchased a classic car, and he has been worried about insuring it ever since. We were thinking about using a traditional car insurance company, but from reading this article, it sounds like that may not be the best thing. The advice you shared about being sure to get full coverage for your car is something I will be sure to ask for when interviewing potential providers. Do you have any advice or suggestions for finding the right car insurance company for classic cars?
Thanks for sharing all of this advice on getting your classic car covered by the right company! I think it is really nice that you can agree upon a price for your car, especially if your model is rare.
That way, you can be sure that you don’t have to pay for normal rates that could be much higher than normal. Besides, I think getting an agreement could help ensure that you are covered for all of the things that you want, and not for anything extra!
I have the same thoughts on much of this material. I am glad I’m not the only person who thinks this way. You have really written an excellent quality article here. Thank you very much.
I love the idea of shopping for service instead of rates. That’s the best way to find the best classic car insurance for the money. Thanks for the advice!
The idea to shop for service is something I’m just learning to do. I have always just looked for the best rates, but didn’t ever think about someone understanding my car’s needs. I like the idea, and feel like finding a broker like that would help me protect my car the best possible way. Thanks for the tip!
Finding car insurance has been one of the most stressful things I have ever had to do. There are so many little things that go into finding the right car insurance and I obviously have no idea what I’m doing. This helped me understand it a little bit more though and I hope that I can find one soon.
As an addition to tip #1 – go with a local insurance agency. They are much more likely to be invested in the community and to have specialists on board. The big companies are trying for quantity, not necessarily quality, of car insurance. My local company helped me save quite a bit on my ’84 Mercedes 500SL. Thanks for the post!
One thing to keep in mind is that different policies allow the cars to be driven different amounts – if you plan on driving your car a lot, you may not qualify for some of the higher end insurance options.
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