Why Classic Car Auto Insurance Is Better Than Regular Insurance For A Classic Car

After struggling for months to know what to do about our family finances, I realized that there were some pretty big loopholes in our plan. I knew that I needed to insure our family so that I could protect our money in the event of an accident, but it was really difficult to find the perfect plan. I started talking with an insurance broker who could help, and it was amazing to hear the solid advice that he had for us. This blog is all about insuring your family by finding the right insurance policies and keeping your costs as low as possible.

Why Classic Car Auto Insurance Is Better Than Regular Insurance For A Classic Car

25 July 2016
 Categories: Insurance, Articles


Purchasing a classic car is an exciting event, especially if this is something you have always longed for; but after making the purchase, you will need to make sure you obtain the right type of auto insurance for this car. There are two main options to choose from for insuring this vehicle, but the best choice you have is to purchase a classic car insurance policy. Before you decide what insurance to get for your new classic car, here are a few things you should understand.

The Two Options

The first way to insure your classic car is to add it to your regular auto insurance policy. This will provide protection for the car; however, the protection is limited. When you choose this option, your insurance company will base the policy on the age of the car. It will cover any losses you experience on the car due to accidents, but it will base the value on your car by its age. In other words, a regular policy does not take into consideration the true value of this classic car.

The second method you have is to choose a classic car insurance policy. These policies are not available through all auto insurance companies, and they are designed specifically for valuable classic automobiles. With a classic car policy, the insurance company will discuss with you the actual value of this car based on what you paid for it or what you could sell it for. This will be the basis for any losses you may experience from car accidents.

For example, if you had a car that you could sell for $20,000 that was 20 years old, a classic auto insurance policy would pay you the entire $20,000 if you suffered a total loss from an accident. If you had only had regular coverage, the insurance company would look at the age of the car and determine its value based on normal depreciation. This could result in only getting a small amount for the car, such as $1,000, even though the car is worth so much more than this.

Qualifying For Classic Insurance

In order for you to qualify for a classic car insurance policy, your car typically must be within 19 to 24 years old. It must also be in good-working condition, and the insurance company will usually want to see it to make sure it is what you say it is. If your car is older than this or not as old as this, the insurance company might recommend a different type of policy.

In addition, you may have to agree not to drive the car over a certain number of miles each year. This amount varies depending on the insurance company you choose. There may also be other rules you must follow, such as keeping the car in a garage when not in use.

The Cost Of The Policy

Classic car insurance offers better coverage for classic vehicles, but it is also usually less expensive to buy. The reason is that most people take great care of old vehicles like this. They save up and spend a lot of money to get these cars, and this is why they take better care of them. Because of this, insuring classic cars poses very few risks to insurance companies, and this is how they can offer this type of coverage for a low price.

In most cases, the costs of a classic car insurance policy will be around 20% to 40% lower than the policy would cost through a regular auto insurance policy.

If you want to protect your investment to the fullest, you should contact an auto insurance company that offers classic car insurance to find out if this is the best option for your situation. If you have just a normal car though, a regular auto policy through a company like Wolf Insurance Agency should work just fine.