Classic vehicles, including collectibles, custom cars, hot rods, muscle cars, vintage military vehicles, and antique tractors, hold a special place in the hearts of enthusiasts. Owning one of these unique treasures requires specialized insurance coverage designed to protect their distinctive value. Whether you already own a classic ride or are contemplating adding one to your collection, here are some important points to consider.
Understanding Classic Cars
For the purpose of this article, we define “classic car” as an umbrella term that encompasses various vehicle classifications. Insurance companies and automobile associations may have specific definitions for classic cars, antique cars, modified vehicles, replicas, and rare vehicles based on age, usage, and modifications. Generally, a classic vehicle is considered to be at least 25 years old, with historical significance and potential for appreciation over time.
The Distinction of Classic Car Insurance
Many classic car owners may not fully understand the differences between classic car insurance and standard auto insurance. One of the key distinctions lies in how the policies address replacement value.
With a standard auto insurance policy, the value of your vehicle typically depreciates over time. In the event of an accident or theft, the insurer compensates you based on the vehicle’s actual cash value at the time of loss. However, classic car insurance policies recognize that these vehicles can increase in value. They often cover your classic car at a “guaranteed” value, which is determined based on respected collectible car valuation guides, professional appraisals, and thorough research.
Eligibility for Classic Car Insurance
To qualify for most classic car policies, there are a few requirements:
- Limited Use: The vehicle should be used infrequently, such as for exhibitions, car club activities, or parades. If it serves as your primary vehicle, it may not be eligible due to mileage restrictions.
- Condition: Insurers may require that your classic car is restored, maintained, or preserved to certain standards. Additionally, they often mandate that the vehicle is stored in a protected environment, like a garage or storage unit, when not in use.
Best Practices for Storing Your Classic Car
To maintain the pristine condition of your classic vehicle, consider the following storage tips:
- Indoor Storage: Keeping your car in a weatherproof indoor structure is ideal. Use a plastic vapor barrier beneath the vehicle to prevent moisture from seeping in.
- Environmental Control: Cold air can dry out rubber parts. Insulating your storage area with fiberglass batting and weather stripping will help keep the cold air out during winter months.
- Secure Storage: Minimize risks of dings and scratches by properly storing sharp objects away from your vehicle. Lock garage doors and secure all entry points to deter theft, and have a smoke detector and fire extinguisher on hand for emergencies.
Additional Tips for Winter Storage
During longer-term storage periods, such as winter, additional precautions are necessary:
- Battery Care: Remove the battery and charge it on a tender with an automatic shut-off switch.
- Oil Changes: Drain old oil, which may contain contaminants, and replace it with fresh oil.
- Fuel Stabilization: Fill the gas tank and add a fuel stabilizer to prevent corrosion in the fuel system.
- Pest Prevention: To avoid unwanted critters taking shelter in your vehicle, block openings using steel wool.
Conclusion
Each classic car insurance policy may have specific requirements and guidelines. It’s essential to consult with your insurance professional to ensure you follow all necessary storage tips to maintain eligibility for your coverage. By properly caring for your classic vehicle, you’ll keep your insurance policy in good standing and your car in excellent shape, ready for you to enjoy for years to come.
For more information about classic car insurance or to get a quote, contact Bulger Insurance today!
