If you are a true car enthusiast, then you probably know that owning a classic vehicle is a significant investment of your time and money. Whether it is a Porsche 911 or an Aston Martin DB4, your classic car is a true work of art and needs to be protected accordingly. While taking it out for a spin every now and then is a great way to upkeep your classic car, another thing you should do to protect it is to obtain insurance.
In general, vintage car insurance is a type of special insurance that is reserved mainly for collector vehicles. It is something anyone driving a classic car should have so they protect their ride from accidents and other unforeseen mishaps.
So, whether you are planning to make your first vintage car purchase or you are already a collector, it is crucial that you understand the importance of obtaining classic car insurance. In this post, we outline the benefits of this insurance as well as the requirements, cost, and types of coverage available.
The importance of classic car insurance
Generally speaking, there are many benefits you can get from obtaining classic car insurance for your vehicle.
First off, these classic cars are typically older than twenty years and aren’t used to run your daily activities. Instead, people drive them when they want to go on a cruise down memory lane or take their loved ones out for a spin to give them the ultimate classic experience. This makes these cars extremely valuable and owners need to protect them properly in order to retain and eventually increase their value over time.
Another benefit of obtaining classic car insurance for collectibles is to provide drivers with financial protection in the event of an accident. In other words, if you get into an accident while driving your classic vehicle, you can rely on your insurance to cover the damages your ride sustains in the crash.
Classic car insurance requirements
In order for your classic car to qualify for insurance, you will have to meet a few requirements, besides factoring in the age of your vehicle. These include:
- Usage. This refers to using your car for periodic leisure drives and not as your main means of transportation to go to work, travel, and run personal daily errands.
- Storage. This indicates that you need to store your vehicle in a private garage, pole barn, or storage unit for greater protection.
- Driver eligibility. This requires drivers to have no serious infractions or traffic violations.
- Good condition. This requires your classic car to be driveable and in good working condition.
What does classic car insurance cover?
Classic car insurance is very similar to a standard auto insurance policy in regard to the types of coverages available which are bodily injury liability, property damage liability, collision, and comprehensive coverage.
For example, if you get into an accident with your classic car and cause any property or personal damage to another party, you can rely on your vintage car liability insurance to cover the cost of damages and injuries sustained in the crash.
In addition to this, classic car insurance can also provide financial coverage for specialized repairs or restoration if your vehicle is damaged. Whether you need to replace classic car parts like wheels or engine components, you can rely on your insurance to cover the costs and avoid paying out of pocket for your expenses.
The cost of classic car insurance
When it comes to determining the cost of classic car insurance, there are several factors that are taken into consideration. These include:
- Your vehicle’s value in terms of age, model, and condition;
- Location and storage of the vehicle;
- How you drive your vehicle and the mileage it is allowed to reach;
- Your driving record.
Although the premiums for classic car insurance are almost always cheaper than standard car insurance, there are also plenty of ways you can reduce your costs and get a discounted premium.
For example, if you own a regular car or have more than one classic vehicle, you can get multiple policies with the same carrier to lower your premium. Also, try to keep your driving record as clean as possible because that can also help reduce your monthly insurance costs.
Final thoughts
Classic cars are a big investment and as such, you need to protect them properly. The best way to do so is to obtain classic car insurance to provide yourself with financial coverage in the event of accidents or other unforeseen events.
For more information, refer to our post and read about the importance of having vintage car insurance for your collectible.
