Classic vintage car insurance

Classic car insurance is not the same as the insurance you buy for your regularly driven, "everyday" cars, vintage car insurance can differ significantly from standard car insurance in terms of availability, coverage and cost. Classic car insurance can be purchased from a specialty provider either directly or through your independent insurance agent. Vintage car insurance is generally not available to individuals with vehicles that are less than 15 years old, you should also have a decent driving record, at least 10 years driving experience, other vehicles for "regular" use, and garage space for your Classic vintage car vehicle when it's not in use.

Standard car insurers provide one of two types of physical damage coverage (insurance for the car): "ACV," or "Actual Cash Value" coverage is the most typical, and is defined as "replacement cost minus depreciation." Obviously this is not a good option for classic or vintage cars, as appreciating car values are not recognized. The second type of physical damage coverage is "Stated Value," which obligates the insurer to pay "up to" the stated amount of vehicle value. Note that "up to" does not guarantee the vehicle's full insured value. Also note that standard auto insurers typically offer £250, £500 and £1000 deductible options. Specialty insurance providers are able to offer "Agreed Value" coverage, which guarantees the full insured value of the Classic car. In other words, you and the insurer agree up front on the value of the vehicle, and this amount is written on the declarations page of your policy. In the event of total loss, the company is on the hook for the agreed amount.

You can buy Agreed Value coverage from specialty providers for generally less than what it typically costs to buy ACV or Stated Amount coverage through a standard auto insurer. Classic car insurance rates are typically so low because specialty providers place certain usage restrictions on insured vehicles, thus limiting the insurer's risk of loss. The restrictions generally include: limited pleasure driving & hobby use only (no daily driving, commuting to work, running errands, etc.), no commercial use, and vehicle must be garage-kept. If you can live with the usage restrictions, a vintage car policy can truly bring peace of mind and save money.