If you are considering buying your dream classic car, you’ll need to take out specialist insurance to cover it. Here’s some useful information to bear in mind when seeking insurance cover for your classic car:
1. What makes a classic?
Not all insurers use the same criteria to determine what makes a classic car, so it’s advisable to seek the advice of an insurance broker before making a decision on which insurer to use. This is important, as classic car insurance is often cheaper than cover for more modern vehicles. Generally speaking, a classic car is deemed to be one that is over 20 years old.
2. No claims
When choosing insurance for your classic car, do bear in mind that comprehensive cover terms are not the same as for a newer vehicle. For a start, classic car insurance does not usually attract a no-claims bonus.
3. Independent valuation
In order to ensure that your car is covered for its true value, it is well worth obtaining a specialist valuation report from an independent expert. The vehicle’s true value can then be agreed with the insurer at policy inception. Always have the valuation updated annually, as classic models appreciate in value as they age and your insurance policy should reflect this.
4. Replacement parts
Your insurance policy should cover any replacement parts that may be required in the event of an accident. If parts for your car are particularly difficult to obtain or are likely to be very expensive, always check that you are fully covered for their replacement.
5. Mileage limits
Insurers do not expect classic cars to clock up as much mileage as the family run about and will usually cap your annual mileage at less than 10,000 kilometres. If you are likely to do more than this, tell your insurer and be prepared to pay a slightly higher premium. On the other hand, if you do less mileage than the insurance company’s maximum, you may be able to negotiate a lower premium.
6. Showing off
If you enjoy showing your car at rallies and other such events, classic car insurance will generally cover this. However, if you plan to hire the vehicle out for weddings and the like, you will require extended cover.
7. Owner’s clubs
Classic or vintage cars generally have recognised societies or clubs. If you decide to join one of these clubs, you may also be able to qualify for a discount on your insurance premium if you take out cover with an insurer affiliated to the club.