Classic car ownership can be an enjoyable hobby. Individuals who have the privilege of maintaining a classic car should take added precautions to ensure that it remains in good condition and will be protected in the event of an unexpected accident. The following will highlight several important issues owners should consider.
Determine Whether the Vehicle is Truly a Classic
Merely being old does not automatically mean a car should or will be bestowed classic designatio. The insurance industry has set forth specific “classic criteria” that will determine if the vehicle’s owner will qualify to receive a classic car insurance policy. Such qualifying criteria include that the vehicle in question is not the owner’s primary mode of transportation, is valued by car collectors, and is in excellent condition. Other criteria may vary from provider to provider.
Limit the Policy to Specific Coverage Provisions
Because such vehicles are not always driven extensively, potential classic car policyholders might consider obtaining coverage that excludes certain more costly coverage provisions. For example, a classic car that is stored under protective covering inside a garage the vast majority of the time may not require more expensive coverage such as collision coverage.
Consider Individual Insurance-Impacting Factors
In many instances, the cost of insuring a classic car will not be exorbitant simply because the car is labeled a classic. Often, the premiums an owner will be required to shell out will depend upon personal influencing factors including their driving record, credit history, if the car in question has a history of being stolen, if the vehicle to be insured possesses any anti-theft protection, the prospective insured individual’s age and the geographical location within which the prospective insured person resides.
Determine How Expensive Repairs Would Be
Because many classic cars are old, replacing or repairing damaged parts could be a very costly proposition. Therefore, a classic car owner should realize that pricey repairs are likely eventual and unavoidable. Such knowledge could impact how significant an insurance budget such individuals might choose to create.
Be Willing To Shop Around
It is important to reiterate that classic car insurance typically does not exceed standard insurance policies. In fact, in many cases, classic car insurance is a significant percentage less than standard policies. However, certain providers require that specific mandates be met to qualify for classic car coverage. Therefore, an owner might have to shop around until they find a provider that can author a policy that meets their specific needs. Owners shouldn’t necessarily stick with the first policy they find.