Are classic cars more expensive to insure? [2024]
Is classic car insurance cheaper? Yes, on average: Full coverage with standard car insurance averages $166/month. The average for classic car insurance is $50 a month. But you have to meet a list of qualifications. We'll cover those qualifications, insurance differences, and how to get the cheapest classic car insurance.
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Michael Vereecke
Commercial Lines Coverage Specialist
Michael Vereecke is the president of Customers First Insurance Group. He has been a licensed insurance agent for over 13 years. He also carries a Commercial Lines Coverage Specialist (CLCS) Designation, providing him the expertise to spot holes in businesses’ coverage. Since 2009, he has worked with many insurance providers, giving him unique insight into the insurance market, differences in ...
Commercial Lines Coverage Specialist
UPDATED: Feb 28, 2024
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UPDATED: Feb 28, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident car insurance decisions. Comparison shopping should be easy. We are not affiliated with any one car insurance company and cannot guarantee quotes from any single company.
Our partnerships don’t influence our content. Our opinions are our own. To compare quotes from top car companies please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- The subject of worth is quite different between a standard vehicle and a classic vehicle
- A specialty insurer may be a better option for your classic vehicle
- Make sure you understand the terms actual cash value, stated value, and agreed value
Are there differences between classic and standard auto insurance? Are antique cars cheaper to insure?
To answer this, simply, yes; classic car insurance does differ from standard car insurance in several important ways.
There is more to this than simply two different types of car insurance, though. There are several factors you need to consider when you are in the market to purchase insurance for your antique or classic automobile.
Before purchasing a classic car, it is important to do your homework so you know what to expect when it comes time to insure your investment. classic car insurance vs. regular
Looking to buy classic car insurance? Is classic car insurance cheap or is classic car insurance expensive? And if so, why is classic car insurance so cheap? Just enter your ZIP into our free quote tool to begin comparing classic car insurance quotes. Read on to learn more about classic car insurance vs. regular auto insurance.
How Classic Car Insurance Differs From Standard Car Insurance
Are classic cars expensive to insure or are classic cars cheaper to insure? How does classic car insurance work? How much is classic car insurance?
First, and probably most important to you, is the cost. Is antique insurance cheaper? Classic or antique vehicle insurance is often cheaper than regular car insurance because you are not driving the vehicle regularly, in most cases.
By allowing insurance companies to place restrictions on the amount you can drive the vehicle you can save significant amounts of money.
This is especially important to do if you only plan to drive the car for the occasional parade or show. In many cases, there is also no deductible with classic car insurance.
Another major difference between a classic car insurance policy and regular car insurance is the way the value of the vehicle is determined.
To illustrate this point, consider a car you purchased in 1974 for $1,400. Dealers may now offer $15,000 for that vehicle and some people have been quoted amounts as high as $21,000.
If the vehicle is totaled and you have classic car insurance you should expect to receive what the car is currently worth; however, if you insured that car with regular car insurance you will be lucky to get your original $1,400 back.
Take a look at the average annual classic car insurance rates by state to get an idea of what you might expect to pay.
State | Full Coverage | Comprehensive | Collision | Liability |
---|---|---|---|---|
Alabama | $43 | $8 | $16 | $20 |
Alaska | $51 | $7 | $18 | $27 |
Arizona | $49 | $9 | $14 | $25 |
Arkansas | $45 | $10 | $16 | $20 |
California | $49 | $5 | $20 | $24 |
Colorado | $49 | $9 | $14 | $26 |
Connecticut | $58 | $7 | $18 | $33 |
Delaware | $62 | $6 | $16 | $40 |
District of Columbia | $67 | $12 | $23 | $31 |
Florida | $63 | $6 | $14 | $43 |
Georgia | $52 | $8 | $17 | $28 |
Hawaii | $44 | $5 | $16 | $23 |
Idaho | $34 | $6 | $11 | $17 |
Illinois | $44 | $6 | $15 | $22 |
Indiana | $38 | $6 | $13 | $19 |
Iowa | $35 | $9 | $11 | $15 |
Kansas | $43 | $12 | $13 | $18 |
Kentucky | $47 | $7 | $13 | $26 |
Louisiana | $70 | $11 | $21 | $39 |
Maine | $35 | $5 | $13 | $17 |
Maryland | $56 | $8 | $18 | $30 |
Massachusetts | $56 | $7 | $19 | $30 |
Michigan | $68 | $8 | $21 | $40 |
Minnesota | $44 | $9 | $12 | $23 |
Mississippi | $50 | $11 | $16 | $23 |
Missouri | $44 | $9 | $14 | $21 |
Montana | $43 | $11 | $13 | $19 |
Nebraska | $42 | $11 | $12 | $18 |
Nevada | $55 | $6 | $15 | $34 |
New Hampshire | $41 | $6 | $15 | $20 |
New Jersey | $69 | $7 | $19 | $43 |
New Mexico | $47 | $9 | $14 | $24 |
New York | $68 | $9 | $19 | $40 |
North Carolina | $39 | $7 | $15 | $18 |
North Dakota | $39 | $12 | $12 | $15 |
Ohio | $39 | $6 | $13 | $20 |
Oklahoma | $50 | $11 | $16 | $23 |
Oregon | $45 | $5 | $11 | $29 |
Pennsylvania | $49 | $7 | $16 | $25 |
Rhode Island | $65 | $7 | $21 | $38 |
South Carolina | $49 | $9 | $13 | $26 |
South Dakota | $38 | $13 | $10 | $15 |
Tennessee | $44 | $7 | $15 | $21 |
Texas | $55 | $10 | $19 | $26 |
Utah | $44 | $5 | $13 | $25 |
Vermont | $38 | $6 | $15 | $17 |
Virginia | $42 | $7 | $14 | $21 |
Washington | $48 | $5 | $13 | $30 |
West Virginia | $51 | $10 | $16 | $25 |
Wisconsin | $37 | $7 | $11 | $19 |
Wyoming | $42 | $12 | $14 | $16 |
Countrywide | $50 | $7 | $16 | $27 |
So is classic car insurance cheaper than normal? Full coverage classic car insurance costs about $50 a month. That’s much cheaper than standard car insurance.
Finally, while regular car insurance generally insures your vehicle for the same amount for the duration of time you own the car, classic auto insurance may change.
Not only may the value of the car increase or decrease simply due to years passing, but, if you are restoring an antique car, you will need to adjust the amount you insure it for once you have finished the restoration.
Cars that have been restored can be worth significantly more than those in poor condition. Of course, depending on the car’s condition, your insurance premium will go up as your classic car increases in value. Collector cars are an investment you want to keep protected with the right auto insurance company.
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Qualifications Required for Classic Car Insurance
What distinguishes antique cars from classic cars? Are old cars cheaper to insure? And how does the classification of classic cars differ from vintage cars?
Let’s talk about where affordable classic cars fit into these distinctions.
Antique cars are defined as those 45 years or older vehicles, while classic cars are at least 20 years old. Vintage cars were made between 1919-1930. (For more information, read our “The 25 Best Vintage Cars of All Time“).
Is insurance cheaper for antique cars? How much does antique car insurance cost? You can purchase a general classic or antique car insurance policy or a specialized one for vehicles that are classified as custom, collectible, or exotic.
There are several factors that insurance companies will look into when you apply for a policy. Here is some of the information that may be required.
- You, as the driver, need to be of a particular age or older.
- The car needs to be of a particular age or older.
- The classic car cannot be driven for business reasons, it can only be driven for particular activities.
- A driving record free of any major incidents
- Ten years of driving experience or more
- No teenage drivers or those with poor driving records on the policy
- A secure storage facility or garage, out of the weather, where the vehicle is kept
- Proof that you also own another car for daily transportation
- Proof that the car will have limited mileage placed on it
If you do not meet these qualifications you may be denied classic car insurance, offered a policy that only covers the face value of the vehicle, or charged a very large rate.
Read more:
Car Insurance Types of Value
When speaking to an insurance agent about purchasing a classic car policy, you need to be aware of the different types of value they may speak of.
The actual cash value is what you can expect to get with regular car insurance. This is equal to the replacement cost minus the depreciation of the vehicle.
Another term used when speaking of value is stated value. This is the value you have stated the car is worth.
Since the insurance company is taking your word for it, rates are generally high and deductibles are usually $1,000 or more.
It is rare that insurance companies nowadays will accept stated value alone as proof of a car’s worth.
Insurance for classic cars is based upon agreed-upon value instead of the KBB value. Agreed-upon value is what you and the insurer agree that the vehicle is worth and the amount your rates are based upon. A specialty classic car insurance company can offer aspects of the auto policy that standard companies may not.
Typically there is no deductible or a very low deductible when this type of mutually agreed-upon value is used.
This video from Heacock Classic discusses the difference between agreed value and stated value.
You can also read our article Agreed Value Car Insurance: Explained Simply.
This is pretty important because you don’t want to be out of a lot of money if anything ever happens to your classic car.
How to Get Classic Car Insurance Rates
Many car insurance companies, such as Hagerty and American Collectors Insurance, specialize in classic car insurance policies. (See our Hagerty car insurance review.) Since classic cars are different than regular cars, insurance products are different as well.
It is important to work with an insurance agent and company that understands the intricacies of classic cars and offers you the appropriate insurance coverage.
Classic car insurance companies can offer more coverage options, including cherished salvage coverage, memorabilia coverage, and restoration work coverage.
Tracey L. Wells Licensed Insurance Agent & Agency Owner
Speak to your agent about insuring your vehicle, and be sure to shop around and compare different companies to ensure you save on the cost of your classic car insurance. Finally, make sure that the coverage is relevant to your situation.
Read more: Best Classic Car Insurance Companies
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Classic Car Insurance Availability
Do all insurance companies offer insurance for classic cars? It’s important to know that not all insurance companies offer classic car insurance. The company with which you insure your regular vehicle may not offer specialty car insurance coverage, so you may have to look around.
In general, most insurance companies will give multiple policy car insurance discounts if you insure more than one product with their company. If you find a company that sells both classic car and standard car insurance, you may be able to save money by insuring all of your vehicles with them.
When searching for a company that offers specialty classic car insurance, one of the considerations you should consider is whether the company is financially stable. You can find that information from the insurance rating company A.M. Best.
Insuring Your Classic Car With a Standard Car Insurance Company
Many of the classic cars that are being driven on the road are insured by standard insurance companies, so some do offer that as a policy.
Is collector car insurance cheaper? Collector car insurance costs more than regular coverage most of the time.
Standard insurance companies tend to charge more for the premiums, even though they are more restrictive policies. You may find that insuring with a specialty car company will save you more money.
The Bottom Line: Classic Car Insurance vs. Standard Car Insurance
Watch this video to learn the pros and cons of buying a classic car.
Some people like the convenience a modern car can offer, but a classic car can be much cheaper.
There are even groups and clubs, like the Classic Car Club of America or the Antique Automobile Club of America, that have their own definition of a classic or antique car and allow members to connect.
Read more: Pros and Cons of Cheap Car Insurance Companies
What’s the best insurance for a classic car? If you’re wondering, “Should I get classic car insurance?”, you definitely should search for a specialty classic car insurance company in certain situations, as they offer aspects of the auto policy that standard car insurance companies may not.
One situation may be that you would like to use a mechanic of your choice in the event it needs repairs. You may also want to check out specialty companies if you want the car insured for the actual amount you think it is worth.
Keep in mind that you may need to insure with a specialty insurance company if you are looking for liability insurance at club events, would like coverage for any damage that may occur at car shows, or would like coverage during the time the car is being restored.
Other situations may include wanting to be covered if you are shipping your classic car somewhere overseas or out of state, or flexible premiums based on how many miles you drive it per year.
Now that you understand the difference between classic and regular car insurance and can answer, “Is it cheaper to insure a classic car?” and “Is antique car insurance cheaper?”, get started comparing affordable classic car insurance coverage today. Enter your ZIP to get quotes for cheap antique car insurance.
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Case Studies: Classic vs. Standard Car Insurance
Case Study 1: The Vintage Road Trip
John owns a vintage car that he enjoys taking on occasional road trips. He decides to insure his vehicle with classic car insurance. His policy includes usage restrictions, limiting his annual mileage to 3,000 miles.
One summer, John plans a cross-country road trip with his vintage car, exceeding the mileage limit. Unfortunately, during the trip, his vehicle is involved in an accident. John contacts his insurance company to file a claim.
However, since he exceeded the mileage limit, his claim was denied, and he is left to cover the repair costs himself.
Case Study 2: The Restored Classic
Sarah restored a classic car to its former glory and decided to insure it with classic car insurance. After completing the restoration, Sarah gets her car appraised and adjusts her insurance coverage to reflect its current value.
A few years later, Sarah’s classic car becomes highly sought after, and its value skyrockets. She contacted her insurance company to update the agreed value of her vehicle.
The insurance company reviews the documentation and agrees to adjust the coverage accordingly. In the event of a total loss, Sarah can expect to receive the current market value of her restored classic car.
Case Study 3: The Everyday Commuter
Mark owns a standard everyday commuter car and opts for a standard car insurance policy. He uses his car for daily commuting, errands, and occasional long-distance trips. One day, while parked in a shopping mall, Mark’s car is stolen.
He immediately reports the incident to his insurance company and files a claim. The insurance company processes the claim and reimburses Mark for the value of his stolen car, minus the deductible. Mark can now use the insurance payout to replace his stolen vehicle.
Case Study 4: The Antique Showpiece
Emily owns an antique car that she only displays at classic car shows and exhibitions. She insures her vehicle with classic car insurance, which offers coverage tailored to the unique needs of collectible vehicles.
One day, while transporting her antique car to a car show, Emily gets into an accident due to another driver’s negligence. She contacts her insurance company to report the incident and files a claim for the damage caused to her antique car. The insurance company sends an adjuster to assess the damage and approve the claim, covering the cost of repairs.
Case Study 5: Vintage Restoration Project
John owns a vintage car that he is in the process of restoring. He wants to insure the car during the restoration period to protect his investment. He contacts a specialty classic car insurance company that offers coverage for cars under restoration. With the agreed-upon value policy, he can ensure that any damage or loss to the car will be fully covered.
Case Study 6: Collector Car Show Coverage
Emily owns a collection of classic cars and frequently participates in collector car shows. She wants insurance coverage that includes protection for any damage that may occur during these events. She finds a specialty classic car insurance company that offers coverage for car shows and other club events. This ensures that she can enjoy the shows without worrying about potential damages.
Case Study 7: International Shipping of a Classic Car
Mark plans to ship his classic car overseas for a vintage car rally. He needs insurance coverage that will protect his car during transit and while it is abroad. He discovers a specialty classic car insurance company that offers coverage for international shipping. This gives him peace of mind knowing that his car is protected throughout the journey.
Frequently Asked Questions
What is the difference between classic car insurance and standard car insurance?
Classic car insurance is specifically designed for vintage, antique, or collectible vehicles, while standard car insurance covers everyday vehicles used for regular transportation. Classic car insurance often offers specialized coverage and benefits tailored to the unique needs of classic cars.
How are the rates for classic car insurance and standard car insurance determined?
Rates for both types of insurance are determined by several factors, including the driver’s age, driving history, location, type of vehicle, coverage limits, and deductibles. However, classic car insurance rates may be influenced by additional factors such as the vehicle’s age, value, rarity, and usage restrictions.
Are there any discounts available for classic car insurance?
Yes, insurance providers often offer various discounts for classic car insurance. These discounts may include multi-vehicle discounts, low mileage discounts, membership or affiliation discounts (e.g., for members of car clubs or enthusiasts’ organizations), and safety feature discounts (e.g., for vehicles equipped with anti-theft devices).
What are the requirements for classic car insurance?
The specific requirements for classic car insurance can vary between insurance providers. However, common requirements include the vehicle’s age (typically at least 15 to 20 years old), limited usage (e.g., for hobby or exhibition purposes), proper storage and security measures, and a clean driving record for the insured driver.
Can I use classic car insurance for my everyday vehicle?
Classic car insurance is generally intended for vehicles used on a limited basis, such as for car shows, exhibitions, or occasional pleasure driving. It is not typically suitable for everyday use or primary transportation. For regular vehicles, standard car insurance is more appropriate and offers the necessary coverage.
Are older cars cheaper to insure or are older cars more expensive to insure?
This depends. If you own an older vehicle that doesn’t qualify as a classic, chances are good that insurance for it will be pretty cheap. One factor insurance companies use to determine your rates is the monetary value of your vehicle. They go by the Kelley Blue Book antique cars value and cheaper vehicles are cheaper to repair, so they don’t charge as much.
Generally speaking, a newer car is not cheaper to insure than an older one.
Are classic cars cheaper to insure for young drivers?
In most cases, older drivers have much cheaper insurance than young drivers.
While your driving record and credit history have a massive impact on your rates, your age does as well. 17-year-olds can pay multiple times as much as a 60-year-old driver, for instance. Insurers determine risk partly by how much experience you have out on the roads, so more years out driving means less risk to them and more money in your pocket.
Is it more expensive to insure classic cars?
Classic cars are generally more expensive to insure due to several factors. First, the value of the vehicle is calculated differently, often using an agreed-upon value rather than the stated value.
Second, classic cars may require specialized repairs and parts, which can be more costly. Lastly, standard car insurance policies may not offer enough coverage to replace or repair a classic car adequately.
How much does it cost to insure a classic car?
The cost of insuring a classic car can vary depending on factors such as the car’s value, age, condition, usage, and the insurance company. Specialty classic or antique car insurance offers the coverage needed to fully repair or replace the car but often comes with a higher price tag.
Is full coverage worth it on classic cars?
Full coverage car insurance is likely to be a poor investment for cars over a decade old. After 10 years, the annual cost of insurance typically represents 46% of the value of older-model vehicles. An at-fault crash could result in rates likely to exceed the value of cars that are 15 years old or older.
Do all insurance companies offer insurance for classic cars?
Not all insurance companies offer classic car insurance. It’s important to research and find a company that specializes in classic car insurance coverage. Some insurance companies may offer both classic car and standard car insurance, allowing you to insure all your vehicles with one company.
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Enter your ZIP code below to view companies that have cheap car insurance rates.
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Michael Vereecke
Commercial Lines Coverage Specialist
Michael Vereecke is the president of Customers First Insurance Group. He has been a licensed insurance agent for over 13 years. He also carries a Commercial Lines Coverage Specialist (CLCS) Designation, providing him the expertise to spot holes in businesses’ coverage. Since 2009, he has worked with many insurance providers, giving him unique insight into the insurance market, differences in ...
Commercial Lines Coverage Specialist
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.