Demont Insurance Agency Blog

Auto Insurance for a Classic Car

Classic cars turn heads. Whether you are driving your own classic vehicle or admiring someone else’s, classic cars are a fun and thrilling part of a car enthusiast’s life. Some people drive their classic car every day, while others prefer to keep their vehicles safe in storage. No matter what your preferences are, classic cars need the best protection that an automobile insurance policy can offer.

The definition of what a classic car is can vary. For most people, a classic car is a vehicle that reminds them of their younger selves, one that holds sentimental value. It might be the car they owned when they were 16, or a vehicle passed down and cared for by family. Some cars are considered classic because of their scarcity, while others are considered to be classic because of their age.

If you have invested in caring for a classic car, you know that you have invested in a piece of history. Part of protecting your investment means keeping your classic car safe from harm, in addition to keeping it clean, in running shape, and sheltered from the elements. This also means finding the right kind of classic car insurance to protect your vehicle.

Classic Car Insurance

There are a couple of important differences between regular automobile insurance and classic car insurance. A regular auto insurance policy covers vehicles for their actual cash value. Most regular cars will depreciate in value over time, which means they will lose value over the years. Classic cars are often insured for an agreed value determined by the car owner and the insurance company.

An agreed-upon value for a classic car insurance policy can come from the Kelly Blue Book value of a car, a professional appraisal, research on similar classic cars, or by insurance underwriters. It can be helpful to have documentation about the value of your classic car when looking for the right auto insurance policy so that you know how much your classic car is worth.

Classic cars can also increase in value over time, so it’s important to regularly check the worth of your classic vehicle in addition to updating your insurance policy when needed. Some insurance companies impose a mileage limit on how much a classic car can be driven per year, as these classic vehicles shouldn’t be used as your primary source of transportation.

Auto Insurance for a Classic Car

 There are classic, antique, and collectible cars, and some cars might fit into one or more of those categories. Different insurance companies will classify various cars as classic, antique, or collectible depending on their own specifications for each of those categories.

Classic car insurance often has a term insurance policy limit of 12 months. This allows classic car owners to regularly check the value of their classic vehicle to see if their policy limits need to be changed at all. Classic car insurance will include liability coverage, collision insurance, uninsured/underinsured motorist coverage, medical coverage, and additional add-ons if needed.

For instance, a classic car insurance policy could include roadside assistance for classic vehicles, where a tow company would use a flatbed tow truck to haul your classic car instead of risking damage with a regular tow truck.

Typically, insurance companies will require classic car drivers to meet the following requirements in order to get classic car insurance:

  • Over 25 years of age.
  • Good driving record.
  • Live in a low-risk area.
  • Keep your vehicle in a safe garage or another storage area.

Classic Car Insurance Costs

 Classic car insurance policies are often cheaper than regular auto insurance policies. This is, in part, because classic car drivers drive their vehicles less and are safer when they do so. Classic car drivers, although their vehicles can be worth a lot of money, don’t pose as much of a risk to insure as other drivers might.

When looking for an auto insurance policy for a classic car, it’s important to know the value of your vehicle so that you aren’t underpaying for the coverage you need. Remember to read the fine print on your policy and understand what you are covered for.

Protecting your investment means more than just keeping your car in tip-top shape. Purchasing the right kind of classic car insurance can make all the difference in enjoying your special car with peace of mind.

To learn more about auto insurance for a classic car, contact the experts at Demont Insurance Agency at (850) 942-7760. Our licensed insurance experts will be happy to answer any questions you have.


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