Classic Car Insurance

So, you just bought that vintage American muscle car, hot rod, original Model T.  You probably want to do everything you can to protect your investment and ensure many years of fun and enjoyment with your pride and joy. That means keeping it clean, well-maintained and sheltered, as well as making sure you have the right automobile insurance coverage in place.

What Is Classic Car Insurance?

With conventional automobile insurance, your car is typically covered only up to its actual cash value, which is equivalent to its replacement cost minus depreciation.

By contrast, classic auto insurance usually covers your collectible vehicle for an agreed (often called “guaranteed”) value that is mutually agreeable to you and the insurance company – an amount the automobile is worth based on respected collectible car valuation guides like the Old Cars Report Price Guide, an appraisal by a professional, research conducted by the underwriter, or some form of documentation.

By their very nature, collectible cars generally increase in value, especially if they are well cared for and/or restored. Everyday automobiles that we drive to work, schools, stores and our favorite destinations, on the other hand, usually lose value over time and don’t require agreed value-type coverage.

When insuring one of these classics you need an agent that understands the intricacies of this special coverage.