Maybe you purchased a classic Mustang or your grandparents gave you their old ’69 Charger. Now that you have the beauty restored and sitting in your garage, it’s time to think about insuring it for the road. Choosing the right car insurance for your classic is the next important task to ensure it is adequately covered for the right value.
Traditional Coverage
You can choose to pay for a policy which meets state liability coverage. This ensures you are legally allowed to drive your vehicle. However, it won’t protect you from damage to your vehicle.
You can purchase full coverage, which includes comprehensive and collision insurance. If you need to file a claim and the car is totaled, you won’t get the full value back because the insurance will look at the cash value.
The problem with these types of policies is that you either lack the coverage you need to restore your vehicle or you pay high premiums even though you may seldom drive the car. Regular car insurance policies aren’t usually the best solution for a classic vehicle.
Classic Coverage
Many car insurance providers offer special policies to cover classic vehicles. This doesn’t mean your car has to be recognized as a vintage model or have an excessive value. Even more recent models may qualify if they meet the criteria of the provider.
Each provider will have specific requirements, but generally the car must be kept in a garage and not driven on a regular basis. It must be in driving condition. If you qualify for classic car insurance, you could end up saving quite a bit of money on your policy.
How to Find Collector Car Insurance
Take the time to shop around for insurance for your classic vehicle. Get quotes from specialty insurance companies as well as from those that offer traditional products. Compare coverage limits and prices to see who has the best deal. Consider purchasing coverage for agreed-value, which means a specific value amount you and your insurer agree upon. This may not necessarily be the same as the stated value of the car.
Ask about conditions for coverage. You may be limited to how much you can drive your vehicle or who can drive it. You also want to find out about claims. Ask about what parts will be used and if custom parts and paint will be covered. Another option is temporary car insurance. If you only drive your classic to car shows once or twice a year, you may only need to carry car insurance for those days. Just remember that your car won’t be covered when it’s sitting in your garage, should something happen.
Insuring a classic car is a different process than with a traditional vehicle. You want to protect your investment in the most affordable way. You also want to ensure you receive money to restore it if something should happen to it. Make sure you understand your options before you commit to a product.
