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April, 2014Archive for

Insuring Classic Automobiles the Way You Drive

Tuesday, April 22nd, 2014

Most people have a type of car they love to own one day. For a few motorists it is a dream to own a classic and trot around like a movie star in it. It takes a lot of determination to get the money for it, searching to find. Then you have to plan carefully and locate the tradesmen for the work you like to be done. You will probably spend days planning exactly how you want it to look.

Once you brought a vintage automobile back to mint condition again you will need to consider how you will enjoy it. Are you going to lock it in the garage and only take out for very special occasions or you want to enjoy a bit more of it? Is it going to be a seasonal use auto or your preferred drive at least once a week?

These choices will have implications when it comes to registering it with DMV and insuring it. If you want to drive it only occasionally you can find a cheap insurance coverage for it. After spending a small fortune you may not be worried about the costs of insurance. Some companies can still offer you great rates for moderate use. It may also be possible to insure it as part of a multi-car policy.

One thing you must keep in mind is that you are on the same page with your insurer in every aspect. First of all you have to agree the valuation of the classic automobile. A similar car can be sold on the open market for only the fraction of the money yours cost you. You do not want the insurer come back and only offer you an average price of the similar age vintage cars available on the market.

The auto insurer has to understand that you put blood, sweat and money on yours and it is a lot more than any old car of same model and age. A well looked after classic auto should be insured on agreed valuation bases. Otherwise, you will put yourself in a laughable position, only you won’t be laughing at all.

Unless there is an explicit agreement and clear endorsement on the policy a claims adjuster will treat it as an old vehicle if it is ever totalled and offer you peanuts for it. It would never be his mistake as that is the way they work every day. You have got to make it clear that this is painstakingly restored vintage and an agreed valuation should be placed on it while insuring.

Then depending on the way you like to drive it you can have occasional leisure drive coverage, moderate usage coverage or even coverage for every day driving. This is totally up to you. You just have to make sure that you have appropriate registration and insurance for this prized asset you own.  If you are not sure as to how to proceed to arrange the auto insurance policy for your vintage car you should talk to your broker or agent and they will be happy to talk you through.