While the legal definition of an “antique car” often varies from state to state, a vehicle is usually considered an antique car when it is over 30 years old. Most cars are only meant to have a life of about 10-15 years, which is why they are considered antiques around the 30 year mark. Typically, antique cars aren’t meant to be driven on a regular basis, if ever. Restoring and collecting antique cars is a popular hobby in the United States and otherwise. When it comes to insurance, regular car insurance on an antique car is usually impractical, especially if they are rarely ever driven.
Insuring an Antique Car
Insuring an antique car is similar to insuring a normal vehicle, though you may find that your current insurance carrier doesn’t offer insurance for antique cars. Rest assured there is almost certainly an insurance company offering antique car insurance in your area though. Insurers have different ways of determining your car’s value, but they usually hire an appraiser to view the vehicle or simply use the blue book value. Most insurance companies will have an appraiser or representative out to view your antique car at some point, as it’s important for them to establish the vehicle’s condition before giving you an insurance policy.
Types of Antique Car Insurance
- Stated Value Insurance: Stated value insurance for an antique is fairly safe form of insurance. Basically, you’ll be covered for the stated value of the vehicle during the entire life of the insurance policy.
- Agreed Value Insurance: This form of antique car insurance is typically meant for those who may not use their vehicles for extended periods of time, such as only during spring or summer. You pay a monthly premium for the car, but can eliminate certain coverage when you don’t plan on using it for a while.
- Cash Value Insurance: Generally, cash value insurance is the least preferable antique car insurance for most people. Here, the vehicle’s cash value is determined when the insurance policy is issued. The problem is your antique car’s value may increase over time and your policy wouldn’t reflect it.
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