A classic car, whether it is an all original 1965 Ford Mustang or a meticulously restored 1935 Duesenberg SJ Speedster, calls for special attention and protection. Owners of cars in this category would not dream of using them to commute in daily traffic. In fact, they probably travel very few miles with the exception of light pleasure driving, car shows and club events. When it comes to insuring a vehicle of this rare quality, specialty underwriters of classic and collectible car insurance afford the vehicle’s owner the perfect combination of coverage and rates to match the particular risks that exist for such a car.
The Cost of Classic Car Insurance
Classic car insurance rates are usually lower than standard insurance due to the reduced risk that the owners of these vehicles represent and the stipulations that the owners must follow. Most insurers who underwrite policies for classic and antique cars include in this category any stock vehicle manufactured from the turn of the century to 1969. Classic car owners are usually particularly protective of their vehicles and go the extra mile to prevent damage to their cars. In addition, to qualify for classic car insurance, owners must agree to limit the use of their vehicles :
- Owners agree to restrict driving their vehicles to organized club functions, exhibitions, and limited driving for pleasure.
- Most insurers require that you always store your vehicle in a fully enclosed locked storage space.
- Owners with less than perfect driving records may be refused, especially if they have had a DUI conviction in the last 3-5 years.
- Owners must have a separate vehicle for every day use which is insured in his or her name.
Not Covered by Classic Car Insurance
There are motor vehicles which could arguably be called “classics” but are not included in the classic car category. Any vehicle used for off-road recreation may not be covered, including dune-buggies. Street race cars or performance motorcycles which are equipped with nitrous or other high performance fuel are not qualified. Also prohibited are vehicles used for daily commuting.
Classic Car Insurance Coverage
A classic car insurance policy may also cover automobile memorabilia used for your display, spare parts, and tools. A deductible is usually not required for claims on this type of vehicle. You may opt for liability coverage for your club or medical reimbursement if a friend or family member is injured during a show. For the most part, classic cars are usually transported from car show to car show. In the more popular shows like the Pebble Beach Concours d’Elegance, owners may drive their pieces of automotive art in a classic car procession on a closed track before throngs of admiring spectators. Special coverage can be arranged for foreign car shows, including coverage for overseas transit and during the show. You have probably developed a working relationship with a reputable garage for restoration or repairs. Most policies will allow you to choose the repair shop in the event of a claim.
Classic Car Insurance has its Place
The purpose of a specific category of auto insurance to cover classic cars is to assure that the classic car receives the appropriate amount of coverage in relationship to how the vehicle is driven, stored, and maintained. Although many of these vehicles are rare, irreplaceable, and very valuable, by limiting the number of miles driven and properly storing the vehicle when it is not in use, owners can save considerably on auto insurance rates.