Nobody wants to buy insurance. But when you have significant money invested in classic cars, you go out of your way to make sure they are insured. Fortunately, you no longer have to break bank to do so. You can now get cheap car insurance for classic cars. Following are tips you can use to get the lowest insurance rates while maintaining quality coverage for your investment.
Stick With Liability Insurance
Just because your car is a classic does not mean it has any value other than sentimental. If this is the case, insurance companies may not be willing to insure it beyond the state required minimum amount. However, if your classic is actually a collector car, you have more options available to you. Unless you are independently wealthy, you probably want more than liability insurance to protect your car. But if you do have the financial resources, you can settle for liability and take care of any damages yourself.
Consider a Collision and Comprehensive Policy
The purpose of this is to make sure you have an opportunity to recoup some of the value of the classic car if it is damaged. Medical expenses will not be covered. And you are unlikely to receive the real value of your classic car. Rather, you will get the depreciated cash value if you file a claim. Determine what the maximum per vehicle and per accident coverage you can get on your car. Do not pay for more than is reasonable.
Ask For a Specialized Policy
There are two main types of special cheap car insurance for classic cars: a stated-value policy and an agreed-value policy. With a stated-value policy, the owner establishes the car's value. This particular type of insurance allows owners to buy only the coverage amount they can afford. It is possible this amount is much less than the car is worth. An agreed-value policy involves negotiation between the owner and insurance agent. You both agree on the car's value at the time you purchase a policy. If your car is totaled or stolen, that is the maximum amount you can claim.
A benefit of classic cars is that they do not pose the same type of risk as your average car. They are not driven much so the likelihood of a classic car being involved in an accident is very low. This makes it much easier to get cheap car insurance.
