Having a classic car is a joy. Whether it sits in a showroom or cruises around Boston, MA, you want the proper insurance to protect your vehicle. Classic car insurance is designed to do exactly that, but you might want to know what makes these policies special. To help with that, we’ve created this quick Smoller Insurance Agency guide.
Coverage and Cost
In terms of coverage, classic and traditional car insurance are more similar than not. You can choose how comprehensive you want your coverage to be, and the details of that coverage will vary by policy.
That said, classic cars typically see less frequent driving. Because of that, the premiums (for similar levels of coverage) are usually lower on classic car insurance (remembering that this can vary case by case).
In addition, classic insurance can also include specialized car show coverage that gives you specific protections for car shows and events.
Eligibility
The next major difference is eligibility. Most cars don’t qualify for classic coverage. There is no exact, universal set of rules, but a few guidelines can help you consider when a car counts as a classic. Typically, it must be at least 25 years old and must be "exotic."
There is no perfect definition of "exotic" in this sense, but the less common a car is, the more likely it will count.
Lastly, most classic car insurance vehicles will be in relatively good condition. If you purchase your favorite classic with plans to restore it, you might not want classic insurance until the restoration is complete.
Claims
The last major difference concerns claims. Classic cars do not depreciate over time in the same way that most vehicles do. In some cases, they might even appreciate, which affects claims.
In most cases, you and the insurance company initially agree upon classic car values. If you think your classic car is worth $30,000 (just as an example), you would seek a $30,000 policy. That means the maximum payout in the case of a total loss would be $30,000.
While that covers the biggest differences between classic and traditional car insurance, you always have plenty of options — especially when you work with Smoller Insurance Agency. Contact a representative today to cover your classic car in Boston, MA.
