Choosing The Right Specialty Car Insurance For Your Needs

Choosing a auto insurance company for your collector car can be a difficult process. The auto insurance industry gives you conflicting information about policies and coverage. Specialty insurance coverage can be had for a reduced rate over a traditional insurance policy, but you need to understand its limitations. It is important to do your research to make sure you’re getting the best value available.

There are a lot of important factors you need to review before choosing an insurance company:

1. How many miles do I plan on driving each year?
2. What’s my acceptable risk in the case of a claim?
3. Do I want to drive my classic car every day?
4. How difficult is it to find parts in the case of a repair?
5. Do I need a local agent?

Allowable Mileage is an important point for collector car insurance companies. They offer insurance coverage for your classic car at a reduced rate because they determine that your usage is restricted. The average specialty insurance company allows for a maximum of 2,500 miles per year driving for their insurance plans. The restricted driving means a limited amount of exposure for the insurance company. Some companies, such as Grundy, offer unrestricted driving privileges but impose other limitations, such as no driving to work or daily driving uses.

Old Cars Are Risky To Cover

Standard insurance coverage typically pays for repairs based on the industry standard prices established for your vehicle. This pricing assumes the parts are readily available and can be purchased by normal processes. They are unable to guarantee that your 1969 Ford Mustang will be repairable with NOS parts, as these are only available in limited quantities. To guarantee your collector car is covered completely for any damage is to purchase stated value insurance. Stated value insurance allows you to set a price to the value of your car, and in the case of a claim you can be sure that your car is covered for damages up to that amount. This is perfect for limited production vehicles or cars that are of special value.

Please Don’t Drive Your Classic Camaro To Work

Insurance companies that cover collector vehicles typically ensure that you have another vehicle to drive on a daily basis. They do this because they don’t want you driving your collector car to work every day. This is because they limit their risk by restricting your mileage. Many companies give you a clear limit to how many miles you can drive. Others simply have rough guidelines.

Collector Cars Are Expensive To Insure

Some vehicles are collectible because of their rarity. Standard insurance policies will not cover sourcing original New Old Stock (NOS) parts for a specialty car. They’ll only use generic replacement parts. This may effect the value of the vehicle when it comes to resale value.

Please Make sure you understand the importance of finding the right insurance company for your vehicle. Sites like Classic Car Insurance Reviews and Classic Car Insurance Tips are great places to start your research. Find out what’s the best choice for your needs before you take to the streets this car show season.