Classic Car Insurance: Tips For Finding Coverage

There’s nothing like a classic car. From hot rods to retro Japanese beauties, classic and antique cars are a blast from the past and are a joy to drive. For car enthusiasts, these vehicles are a labor of love, and whole communities are dedicated to appreciating the glory of these classic beasts of the road. 

Given how much time and effort are put into classic vehicles, it’s important that you have coverage to match. In our inaugural blog, we discuss classic cars and how to find the appropriate insurance to cover them. 

What Counts As A Classic Car?

So you may have a unique car, but does it count as a classic car? According to the Insurance Information Institute (III), a car is considered classic when it is at least 25-30 years old. For most insurance policies, your car will need to be at least this old to qualify. 

But does a car simply have to be old enough to count? Well, not exactly. Often, these vehicles will also need to be rare, used for specific purposes, and/or be of significantly higher than average value. The definition can vary quite a lot depending on the insurance company, so it’s best to be familiar with multiple definitions and interpretations of what a classic or antique car is. 

Normal Car Insurance vs. Classic Car Insurance 

First things first: what even is the difference between normal car insurance and classic car insurance? 

Normal car insurance is…well, normal. Standard car insurance take into account factors like: 

Age of the vehicle (and driver)
Make/Model
Depreciation
Driver history
Credit score 
Insurance history 
Location
Annual mileage 

Standard insurance includes coverages like collision, comprehensive, bodily injury liability, and property damage. This type of insurance, while adequate, may not fully factor in the value of an antique or classic ride. Thus, classic car insurance is there to fill the gaps that standard coverage may leave while still having all of the basics of standard insurance.

Benefits of Classic Car Insurance 

So, if classic car insurance is so special, what exactly are the benefits? 

Agreed value 

One major issue with standard insurance is that they offer “actual cash value” in the event of a total loss. Since this type of coverage takes depreciation into account, you will likely get less money for your vehicle than it takes to re-purchase the vehicle. 

With classic car insurance, they operate on what is called “

Optional coverage 

Classic car insurance normally has the option of optional coverage, which expands what kind of coverage you can use. 

Lower premiums 

Given the nature of classic cars (and those who restore them), these plans are generally cheaper and have lower premiums. This is because these cars are driven quite infrequently compared to other vehicles, and that classic car owners are typically very safe with their vehicles. Thus, you will likely save money over using standard insurance. 

Tailoring Your Insurance To Your Ride

Given the ocean of variety when it comes to classic rides, it can be tough to figure out what the right policy is for your vehicle. Here are a few tips for settling on the perfect classic car insurance: 

Make sure they understand your ride

It is of the utmost importance that your insurance company actually understands your vehicle and what makes it unique and valuable. If your car is very unique, try to find a plan that is specific to your ride—don’t settle! 

Check out their track record

Before you sign on to an insurance company, be sure to check out how they have dealt with previous and existing customers, especially those with classic/antique cars. Have any customers had any noteworthy problems, and do they seem like recurring issues? Did the insurance company respond in a way you find acceptable? 

Compare insurance policies 

As with all other insurance, you should shop around and compare rates and policies. If your car is truly unique, you may need to look for a specific classic/antique car policy that most closely fits your car. 

Common Mistakes and Pitfalls 

When looking for the right insurance, there are a few common mistakes that classic car enthusiasts will make. Below are a few of the common pitfalls that insurance seekers will make: 
Using normal coverage for a classic ride
Driving their classic car over the mileage requirements 
Not finding the right coverage 
Not communicating with their insurance company about concerns/questions

Choose El Paso Low Cost Insurance For Your Classic Ride! 

No matter what your needs are for your classic ride, our team here at El Paso Low Cost Insurance can help. We partner with insurance companies to get you your perfect coverage!