Classic car insurance is cheaper than regular car insurance
Date: Sep 10 2009
Filed In: Auto Insurance101
Classic cars need to have specialized auto insurance coverage, which many of the classic cars owner do not realize and many experts also agree that all classic cars need specialize insurance. The reason is that classic cars increases in value unlike regular cars and that’s why it is very important to have the classic cars covered with a specialized car insurance because of the change of value.
Nevertheless, half of classic car owners in North American don’t have specialize car insurance for their classic automobiles, but instead get the regular car insurance policies without know the real value of specialized classic car insurance. Throughout the insurance industry, sources say most vintage classic car owners just add their classic vehicles to their regular auto insurance coverage, when in effect classic cars need more consideration.
Experts agree that the regular car insurance is based on how much the current car depreciates in a period of time. However, when it comes down to classic cars, the value does not decrease over the years, in fact classic cars increase in value. This is why the conventional car insurance coverage is not efficient for classic cars.
Classic car owners and the classic car insurer usually come to agreement on the value of the classic car. The value will be agreed by both the policy owner and the provider based on the assessment of the car value. The appraisers will have to reply on classic car auctions, other similar events or certificate of value from the car owner before the appraiser decide on the value of the classic car.
Believe it or not, in reality classic car insurance is cheaper than regular car insurance plan. The experts say the cheaper cost to cover classic cars is because most classic cars are not driven every day and most are park in a safe location. The classic car is less at risk from accidents because it is not on the road on a regular basis and this also means less cost for classic car premium payments.
Here is an example of the car insurance premium cost difference between today’s car and classic car. An annually insurance cost with an ordinary insurance provider for a 1968 Corvette cost $469 annually for a regular driver with good driving record. If the owner of the Corvette declares the car a classic car, it would save the car owner up to 20%. Which bring the annual premium insurance cost to about $380.
In the other hand, if the same Corvette owner go to a classic car insurance provider that specialized in classic cars. The classic car insurance providers will only be charging $290 per year without having to check the owner’s driving record. To come up with the value for the classic cars, the insurance providers rely on the car’s value and how often the car will be driven in order to come up with the rates. This will result in lower premium rates for classic cars.
Related Articles:
- Protecting your classic car with classic car insurance
- What the auto insurance companies doesn’t want you to know about sports car insurance
- Auto Insurance cost
- Gap insurance and why we need it
- How to save money on teen drivers
Janine Gargani on 
car insurance quote on
There is 1 Comment to "Classic car insurance is cheaper than regular car insurance"
When insuring your classic car make sure that you get the right insurance and has full protection because a classic car is expensive and buyers should not need to spend extra unless absolutely needed. Because classic cars are hardly driven (except on rare days out and to classic car shows) so the insurance can balance out as there is less risk of accidents and breakages. This can also apply for theft as most buys keep their cars safe buy keeping them in secure garages and living in nice safe parts of the country i which theft is low.