For most collector cars owners, the absolute worst thing that can happen is that your most prized possession gets damaged in some way. Even a scratch can send you into either a fit of rage or despair. So, you drive carefully down the road with an eagle eye out for any impending danger. When you park your car, you are hyper alert as you maneuver carefully into each parking spot. No matter how careful you are, however, there is always a chance that your car may be vandalized or even worse, end up in an accident.
While it is always difficult to find repair shop that has the skills and the knowledge to repair an older, collector vehicle, the worst part of dealing with a post-accident can be dealing with your insurance company. This is because, depending on whether or not you insured your car correctly in the first place, it’s not uncommon for them to not fully cover the value of your vehicle. It is also not uncommon that you might not even realize this until you are filing a claim.
So how can you avoid paying out of pocket for accidents when you own a collector car?
Prepare in Advance
The first step is to never assume that regular insurance is going to cover a classic car. Today’s insurance policies are designed to cover modern vehicles. While they might partially cover the value of your car, it is highly unlikely that they cover the true value of it.
Know What Qualifies as a Collector Car
In general, most insurers consider cars built before 1979 to be “classics.” However, there are some models, both stock and high-end, post-1979 that are still considered collector items. In order to know for sure whether or not your collector car is categorized as such by your insurer, you will need to contact your insurer directly and ask them. If your car is “vintage,” a “hot rod,” or is an “antique,” it has a high likelihood of also being a collector car.
Find an Insurer that Understands the True Value of Collector Cars
Car collectors also need insurance that covers the total value of the car, which is going to be much higher than it was when the car was first manufactured and driven off of the lot. The laws of depreciation do not apply here. You are not simply insuring a car from 1975, you are insuring something that actually appreciates in value over time. Look for an insurer that is willing to consider agreed value, over actual value, in order to make sure that the cost of repairing your car would be covered if an accident were to occur.
Does the Insurer Take into Consideration Mileage?
Always ask about mileage. Many collector policies will limit mileage, some cut you off at 2500 miles, others at 5000. There are policies that have no mileage limits at all, though there may actually be restrictions on what those unlimited miles can be for, so read your policy carefully.
How do You Use Your Collectable?
The best way to be completely covered for everything you do with your car is to be honest with your insurer about how you use it.
Most baseline collector cars policies do not cover driving your car on a daily basis. In order to cover that activity, you would need regular insurance (often on top of collector car insurance). If you are only going to drive your collector in parades, however, a classic policy may be more than enough for you (though it would, by no means, be considered full coverage). Many collectors do not need insurance that covers their vehicles when it is sitting in a garage. They need insurance that covers them on the road, while shipping their vehicle and during car shows.
You will ultimately want to look for a policy that covers how you use your car. If you only want to drive it in parades, then you really don’t need to worry about full coverage policies. However, if you want to drive your classic like it was any other car, you should be on the hunt for an insurer who doesn’t limit your mileage or your use. It’s impossible to know whether or not an insurer offers these options until you ask each company directly.
Be aware that even if they do not limit your use, there might still be restrictions on where you can store your vehicle (usually they must be stored inside of a garage), and whether or not you have made modifications to the vehicle. Age may also play a role if the company is going to get specific about policies just for “antiques,” or just “muscle cars,” or just “classics.”
How to Get Cheap Full Coverage Insurance
If you are looking for cheap full coverage auto insurance for your classic car, the best approach is to compare as many quotes as possible from competing insurance companies.
Two of the most well-known companies specializing in collector car insurance are Grundy and Hagerty. Make sure you include them on your list of companies to contact for classic car coverage. Since they are specialists, they often know the most about how to provide a full range of coverage. Both companies also claim that they offer low rates specifically for collector cars.
There is no guarantee, however, that they will live up to that promise and give you best price. This is why it is always smart to get quotes from at least 5 difference companies. That way you have a lot better chance to find the lowest rate and compare back to back what level of coverage each has to offer.
Final Words of Advice
Always ask questions if you are unsure about what a term means or about how it applies to your vehicle. Getting full coverage for a classic is more complicated than getting full coverage for a normal vehicle, so make sure you ask all the right questions that will insure that you are getting all the coverage you need.
