How is this different from any other car insurance? If you own one or more classic cars there are two main differences that should be taken into consideration. First of all, you probably won't be using your collector's item to take the kids to school or get to work and back. Secondly, many classic cars actually increase in value over time. Because of these two factors, insurers often offer classic car insurance at much lower rates than regular car insurance.
If your classic car only leaves home for short weekend drives or visits to motor shows, you could save a lot of money by getting limited mileage coverage This covers your car as long as you don't drive it more than your policy allows. A similar option is "pay as you go" which uses a device installed in your car to track your mileage. If you don't intend to let anyone else drive the car, don't add them to your policy. You'll usually pay a much lower premium if you're the only driver covered. Of course if your prized classic (or collection) sits in your garage year round, then comprehensive coverage may be all you need, as it will protect your car from theft, fire and vandalism while it sits around gaining value.
Some homeowner's insurance or personal property insurance policies may cover at least part of damages to your classic car when it's parked at home. Most such insurances do not cover antiques and out-dated items (items that have been out of production for a long time). But, if you already have homeowner's or personal property insurance, it's worth checking if it covers your collector's item, or can be adapted to cover it. This could turn out even cheaper than comprehensive coverage - as long as your car stays in the garage. If the main objective is real protection for your valuable classic, rather than saving, you'd be best off going with an insurer that specializes in classic cars and understands the full value of your collector's item.
Esurance Classic car insurance from this provider is actually underwritten by Hagerty, a specialist in classic car insurance. This insurer offers guaranteed value coverage if your classic or antique car is destroyed or stolen. That means you get the full amount of the benefit, minus your deductible. This is a good benefit since other insurers many times may deduct claim handling fees and other charges from the benefit paid out. You can get coverage with no fixed mileage, which gives you a bit more freedom to take your car out driving. As a classic car enthusiast, you may appreciate the fact that Hagerty gives 10% of net profits back to the classic car community by supporting the Historic Vehicle Association and providing the Hagerty Education Program at America's Car Museum.
Read our review of Esurance here.
GEICO. Classic car insurance policies from GEICO are actually issued by American Modern Insurance Group, Inc. It offers coverage for lost or stolen car parts, pet injuries, trip interruption and foreign use (your car is covered outside the US). You agree on the value of your car, and receive a benefit to match. If you use your classic car a lot, you will appreciate the flexible usage policies offered. You can even get unlimited mileage coverage as an option. Many other classic car insurers only cover your classic or collectible if you use it on a very limited basis. Depending on the premiums you are willing to pay, you can choose a deductible from $0 to $10,000.
Read our review of GEICO here.
USAA gives you a lot of flexibility as far as what kind of cars they will accept as classics. Many insurers have very strict guidelines, making it almost impossible to get this kind of insurance for cars that may be classics to you, but not to them. With USAA, whether your car is considered a classic or not will depend mainly on how often you drive it and how it is stored. You agree on a benefit to be paid out, and pay premiums to match that benefit. If you get an additional classic car, it will automatically be insured for 30 days at no extra cost. This coverage is available to anyone who is a U.S. military service member, veteran who has honorably served and their eligible family members.
Read our detailed review of USAA to find out more.
State Farm gives you up to $500 coverage for your car's spare parts, loss of sight coverage and loss of earnings coverage. It has a 24 hour call service that lets you get immediate help if anything happens to your classic or antique car, no matter when it happens. If you are injured in an accident, you will benefit by having your lost income covered by the loss of earnings coverage. Since State Farm offers a lot of other insurance policies, you have the option of saving with a multiple policy discount if you purchase other types of insurance from this same provider.