An Overview of Classic Car Insurance 

You’ve invested time, money and care into your classic car, and standard auto insurance may not give it the necessary coverage. Classic car insurance is often built specifically for vehicles that have high value or hold collector significance, offering coverage terms that reflect what these cars are actually worth to their owners.

What Qualifies as a Classic Car

While exact criteria can vary, many insurers define classic cars as vehicles that are 25 or more years old. Some companies also offer coverage to certain antique and vintage vehicles and even newer limited-production or specialty models. The key factor is that the vehicle is maintained for hobby or collector purposes rather than daily transportation.

How Classic Car Insurance Differs From Standard Auto Coverage

Standard auto policies typically pay actual cash value after a loss, which accounts for depreciation. Classic car policies are usually written on an agreed value basis, meaning you and the insurer establish the car’s value upfront. If the vehicle is totaled, you may receive the agreed amount without depreciation deductions.

Other aspects of a policy that may be available and set classic car coverage apart include:

• Mileage limitations that reflect limited, pleasure-only use
• Coverage for original manufacturer spare parts and specialized restoration equipment
• Provisions requiring certain storage conditions, such as in a locked garage
• Roadside assistance and towing coverage tailored to vintage vehicles

Who Should Consider a Classic Car Policy

Collectors who use a standard auto policy for a vehicle that has gained value over time may be underinsured. If your car holds significant sentimental value, requires specialty parts and services or is worth more today than when you purchased it, a classic car policy is worth exploring. Additionally, if you drive your classic car on public roads, no matter how rarely, you’ll also need to comply with applicable state laws, which typically require minimum amounts of liability coverage.

Getting the Right Coverage

Our team is ready to help you find auto insurance solutions for your every need. Contact GEC Insurance Services to learn more about classic car insurance options available to collectors in Arlington, TX and beyond.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.