If you own a rare or classic car, chances are that you treat it like a baby, and would do anything you can to protect it.
Just like real parenting though, it is impossible to protect your four-wheeled treasure from all the threats out there in the world. Therefore it’s important to make sure you have the proper insurance coverage.
What coverage do you need?
Even if your rare vehicle sits in storage for most of the year and you only take it out on the occasional Sunday drive, you are still required to have liability insurance to protect against any potential damage you may cause. If it is a show car and never sees the road, you’ll want to check your local laws to see what’s required.
Your need for collision coverage can vary. For example if you only trailer your vehicle to car shows collision coverage may not be needed, or worth the cost. You probably are going to want to buy coverage to protect against fire or theft.
There are three main types of policies for rare vehicles you should look into:
Limited mileage
This is a common type of policy to purchase for a rare vehicle, like that classic Mustang that sits in your garage waiting for the perfect sunny day. This policy is often referred to as a “storage” policy, meaning the vehicle usually sits parked for most of the year. This policy allows for a limited amount of mileage, typically not to exceed more than 5,000 miles annually. If you exceed the mileage, your insurance company may charge you more or convert your policy to a more standard type of coverage.
Standard
Many insurers will offer a standard policy that takes into account the number of miles you drive your rare vehicle each year. For most of these policies, your rates will increase the more you drive the car, and there may or may not be a limit. As with the other types of rare vehicle policies, the insurer may require that you store the vehicle in a secure garage.
Specialty
When your car is irreplaceable, especially valuable, or highly modified, you’ll probably want to take out a specialty policy. This may require you to work with your agent and shop around to find an insurance company that offers a policy that fits your needs. Typically, the owner will suggest a value, and work together with your agent and the insurance company to develop a customized policy.
Talk to an agent
Speak with a knowledgeable agent when you’re insuring your rare vehicle. The car itself, and the way you use it, are unique, and policies for rare vehicles usually contain quite a few restrictions. Therefore, you want to choose a policy tailored just for you and your baby. Contact the insurance professionals at John B. Wright to get all the answers to your auto insurance questions.
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