How to Buy Classic Car Insurance

Lucy Lazarony
June 4, 2020

Like you, the car you drive is a classic but is your car insurance up to snuff? Let’s take a closer look at classic car insurance and what is involved in getting the very best deal on auto insurance for your classic car. Unlike what you’d think, classic car insurance doesn’t necessarily cost more than standard auto insurance and you should always buy specialty classic car insurance to protect your special asset. Below, you’ll find everything you need to know about it.

What Is a Classic Car?

Classic cars maintain and even appreciate in value and are primarily used for pleasure driving, which usually means lower mileage and savings on car insurance.

The age of a classic car is between 25 and 50 years old. Different states have different requirements for classic and collectible cars including the car’s age, weight, usage and manufacturing. So check with your state to see if your beloved vehicle constitutes a classic. If it does buy classic car insurance.

Are Classic Cars More Expensive to Insure?

A classic car insurance policy actually costs less than a standard auto policy. According to Progressive, a classic car insurance policy is about $276 cheaper than a standard auto policy. You may even be able to get a lower rate than that by comparing several car insurance rates.

Insurance Requirements for a Classic Car

For a classic or collectible car to be insured the car needs to be parked in a garage and used as an extra car or a show car, not a car that you use for daily driving. The vehicle also must be in good working condition.

If your car doesn’t qualify for a classic car insurance you can always buy a standard auto policy, which may cost more money but at least your car will be properly insured. If you drive it infrequently, and less than 5,000 miles a year, you may be able to get very cheap auto insurance rates, when you compare quotes.

Storage for a Classic Car

To qualify for classic car insurance you need good storage for your car. Good storage means a garage or storage unit or carport. A driveway or other storage area may work but check with your insurance company.

Low Mileage for a Classic Car

A classic car is not for everyday driving. Classic cars are meant for occasional driving and pleasure driving and going to exhibitions, car shows and on classic car tours and that’s how insurance companies like it.

Your Driving Record and a Classic Car

In many states if you have a messy driving record, you may not qualify for classic car insurance. How bad does the driving record have to be? Excessive speeding tickets, reckless driving and other serious driving violations would prevent you from getting classic car insurance.

Classic Car Insurance Coverage

With classic car insurance your classic car is covered up to an agreed-upon value. And you and your insurance company agree to this amount in advance.

In contrast a standard insurance policy would only cover your classic car up to its actual cash value, which includes depreciation. Because classic cars often increase in value you will need classic car insurance that fully protects the value of your vehicle.

Deductible-free options are available on most classic car policies, which is another reason why you will want to see if your vehicle qualifies for a classic car insurance policy rather than a standard auto insurance policy.

And here’s a third reason. Standard auto policies usually rebuild cars with aftermarket parts but classic car insurance allows for original parts for rebuilds and repairs.

Keep in mind that classic car insurance is designed for secondary vehicles. These vehicles aren’t meant for daily driving. So if your classic car is a car that you plan to drive every day you’ll need to cover it with a standard auto policy.

More Than Just Cars

Classic car insurance covers more than just classic and collectible cars. Covered vehicles include vintage motorcycles, military vehicles, milk trucks, sport vehicles, exotic cars, street rods and antique vehicles including tractors.

All these types of vehicles would enjoy the same benefits of classic car insurance as a classic or collectible car.

Factors Influencing Classic Car Insurance Rates

The value of your car, the age, model and condition impact your classic car insurance rates. But there are other factors to consider as well. Your age, gender, where you live, your driving history and even your credit score all play a role, as do the policy coverage choices that you make such as choosing comprehensive and collision coverage and liability coverage for your classic car.

You want to have enough insurance coverage to protect against theft, damage and accidents and to handle repairs. So make these coverage choices carefully. How you choose your insurance impacts the premium that you pay and the coverage that your classic car ultimately gets.

What Can I Do to Lower My Classic Car Insurance Rates?

Keep a clean driving record, avoid speeding and at-fault accidents and moving violations. In most states, you’ll also need to maintain a good credit record. If your credit is not that great, work on paying down debt since that is a fast way to lift up your credit score. Avoid taking on any new debt as you work at paying down your credit bills. Pay your bills on time! Doing these things in tandem will help to improve your credit score.

Embrace the Joy of Being on the Road

Take good care of your classic car and enjoy the pleasures of strictly pleasure driving. Enjoy being behind the wheel of your classic car. Drive safely, and compare car insurance rates to make sure you’re getting the best price. Start by entering your zip code below.

Get a Free Auto Insurance Quote Online Now.

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