classic car insurance

Everything You Need to Know About Insuring Your Classic Car

You spend hours upon hours meticulously ensuring that everything's in its place, listening for the slightest difference in sound, polishing every square inch, and pouring your heart and soul into your classic auto.  When you put this much time and care into a vehicle, you want to make sure you are protecting it with more than a garage and loving care. Classic Car Insurance is essential for anyone who owns a classic auto and wants to ensure that it’s insured for it’s true collector’s value.  

Classic automobiles are generally classified as a vehicle that is over 25 years old but this definition varies widely in the automobile world.  The Classic Car Club of America only recognizes autos as classic if they were produced between 1925-1948 and have also been fully restored. Some insurance companies will allow a car to be considered a classic at only 10 years old while others may not consider a car a classic at all simply because of the high number of cars of a certain make or model produced in a certain year.  

According to PennDot, an Antique Motor Vehicle is a “motor vehicle, but not a reproduction thereof, manufactured more than 25 years prior to the current year which has been maintained or restored to a condition which is substantially in conformance with manufacturer specifications.”  Pennsylvania also has a Classic Motor Vehicle category that begins when a vehicle reaches 15 years of age, as well as a Vintage Motor Vehicle category that covers vehicles manufactured between 1906-1976. Regardless of the category you registered your classic car under, you need to make sure that you have the auto coverage that you need for your specific vehicle.  

Classic Car insurance differs greatly from the normal, daily driver car insurance we are accustomed to.  The biggest difference is that regular car insurance depreciates in value. This means that the older a vehicle is, the lower its replacement value should it be in an accident.  This is why many people who own cars that are 10-20 years old often find that their car has been “totaled” by their insurance company after a seemingly minor accident. A car is “totaled” when it is not worth more than the repairs necessary to make it road worthy again.  A “totaled” 2019 Ford Fusion would have sustained massive damage exceeding it’s $20,000 average value whereas a “totaled” 2006 Ford Fusion would have relatively minor damage exceeding the $5000 average value in today’s market.  

This is why it is extremely important to have the proper policy in place for your classic car.  A classic car insurance policy will take into consideration more factors than just the age of the vehicle.  These policies normally offer the same types of coverage (liability, collision, comprehensive) that your regular auto policy does.

 These policies are normally negotiated between you and your insurance carrier.  The amount insured will be determined when you and your insurance agent come to an agreed upon value for your classic auto based on comparisons to similar vehicles and their auction prices or comparable sales.  Most insurance companies will require you to have another vehicle that you use as a daily driver; therefore, reducing the amount you will pay for your classic car policy compared to your daily driver auto policy.  Contact us today to discuss your classic car insurance needs.