10 Classic Car Insurance Facts You Need To Know:
Are most collector cars insured with classic car insurance?
Less than one-half of collector vehicles on the roads are insured by specialty insurance policies. The majority of vintage car owners still choose to insure their collector car with standard insurance companies, even though they most often cost much higher and are much more restrictive.
Are specialty insurance premiums less than standard premiums?
Yes. Standard insurance annual premiums can cost up to 500% more than collector auto insurance premiums.
What kinds of vehicles are considered collectible?
It is not just the standard ’57 Chevy that can be covered. Now, hot rods, muscle cars, classic trucks, vintage racers, sports cars and even 70’s cars are being insured through classic and antique car insurance companies. The old categories of “antique and classic” are still there for the purists, but today people are collecting more and different cars than they used to and the insurance companies are meeting this demand.
Do specialty insurance programs have a vehicle age cutoff?
While the old standard used to be 25 years and older, vintage car insurance companies take a much broader view about the age of the vehicle in question. There are newer vehicles that are insurable as collector cars, but most of these are either sports, exotic, or collector edition automobiles.
Do collector car insurance companies impose mile restrictions?
Many insurance companies will limit owners to driving their collector car to 2,500 miles per year. Many even require annual odometer readings. Some are flexible with their usage guidelines and will not strictly limit the mileage driven. It’s important to check around with various companies to find this type of information out.
Are there other usage limitations?
Most likely. Many specialty insurance programs will not allow cars to be used for the commercial transportation of goods or passengers, for racing, or for daily transportation.
Are young drivers covered in a specialty insurance policy?
A driver who is 25 years and older is usually the standard requirement, with some even requiring 30 years of age or older. There are a few classic auto insurance companies out there that will insure 21 year olds and up with clean driving records.
What is the main factor of figuring an annual premium?
Everything is figured out state by state. Physical damage coverage, comprehensive, and collision make up the majority of a given premium. The value of the car and its age are highly figured into the premium amount.
Is there a break in price on premiums for multiple vintage cars?
Almost all classic motor insurance companies will give a discount for individuals needing collector car insurance for multiple vehicles.
What is the bottom line?
It is much more cost efficient to obtain collector car insurance from a classic car insurance company than through a standard automobile insurance company.