Antique Car Insurance
In the United States, a car over 25 years old is considered to be antique. However, in the United Kingdom, antique is used to refer to those items, which are over 100 years old. Usually, the terms classic car and antique car are used synonymously.
Practically, a car more than 25 years old is not economical for regular transportation. Also, antique car repairing costs may be too expensive. Many hobbyists own and maintain an antique car for their personal interest, or for the sake of investment. However, purchasing an antique car, is akin to investing on a white elephant; where even though you may not use it, you will have to spend on its maintenance. In such a case, buying an antique car insurance may be a convenient way to meet its repair and maintenance costs.
Insurance for Antique Cars
Whatever may be the objective of owning an antique car, it is equally important to find the cheapest antique car insurance. Though premiums for auto insurance vary, it is observed that the cost of these insurances is less than that of a modern car. Let's take a look at some of the important aspects of antique car insurance to help you find a good insurance cover at a cheaper rate.
Insurance companies provide a discount for antique car insurance, provided that the car is at least 30 years old and is not modified with a fixed nitrous system. Most antique car policies put forth a condition that your car has to be locked in the garage, when it is not in use.
Most insurance companies do not provide coverage for an antique car, if it is used regularly. Some antique car policies even place restrictions on its use in auto shows and Concours events. So, while buying an insurance plan for your antique car, make sure that you read the policy document carefully. Otherwise, there may be a problem during the settlement of the insurance claim.
In case, you have a second car, other than the antique car, you may have better chances to get a cheap insurance policy for your antique car. However, it is necessary that the other car should also be insured and for that you can take up a minimum liability coverage.
While buying antique car insurance, do not forget to ask for an agreed valuation, even if you need to pay extra for it. Agreed valuation is the amount that the insurance company agrees to pay, in case the insured car is stolen or written-off. Also, make sure that the agreed valuation is guaranteed, since there have been cases of denial of claims.
In case, you get to the agreed valuation, check with the insurance company, whether the agreed valuation will increase after each passing year or not. Since, the value of an antique car increases after one year, it may be very costly to replace any of the accessories and rare embellishes.
In order to get a cheap antique car insurance, always opt for limited mileage policy depending upon your car mileage. In case, you don't drive your antique car, it is advisable not to take the full insurance package. Instead, you can take coverage, according to your needs and save the premium amount. Nowadays, many auto insurance companies provide a custom policy depending upon the requirements of their clients.
