How Does Classic Car Insurance Differ from Auto Insurance?

Unlike traditional vehicles that depreciate the moment you drive them off the dealer’s lot, classic cars have appreciated in value because of their collectability status. Whereas a traditional auto policy uses the actual cash value for claim settlements, collector or classic car insurance takes into account agreed on value. What this means is that the owner of the classic vehicle and the insurance company agree on the value of the vehicle before the policy actually starts which offers peace of mind to know that if you are in an accident the totality of your vehicle’s value will be covered.

Generally, a collectible automobile is at least 15 years old with many companies mandating that the vehicle be at least 25 years old. However, since vehicles are collected for numerous reasons whether they are a specialty vehicle or limited edition a classic car insurance policy will take all these factors into account when customers like to open an account. Keep in mind that if you do further restoration work on your classic car after opening an insurance policy for that vehicle, the insurance company may only consider work that was done up to the date of signing so it’s important to work closely with an agent to make sure that the totality of your vehicle’s value is protected. Another advantage of classic car insurance is that many policies will allow a customer to select their preferred repair shop that specializes in collector vehicles instead of having to go to a place that lacks the required skill set.

If you are the owner of a classic car in Huntington Beach, CA give the team at Western Republic Insurance Services a call. Since we specialize in antique and collectible vehicles we have the knowledge to customize a policy that exceeds all of your needs.