Classic Car Insurance
In the UK to
be classed as a classic car a vehicle’s production date will usually need to have
been post World War II but before the end of December 1973.
The term ‘classic’ is also often used to denote a vehicle over ten
years of age and considered to be collectible.
However
finding car insurance for cars that are classed as classic can be difficult as many
conventional insurance providers will charge a higher premium to insure them because of
the increased risk of theft and the higher repair costs that they incur. So what are the car insurance options that are
available?
What to look for with classic car
insurance
The first
step to take would be establish the car’s category based on its age. This would normally be out of five classifications:
- Veteran: Manufactured up to and including
December 1904
- Edwardian: Built from January 1905 up to and
including December 1918
- Vintage: Manufactured between 1918 and 1933
- Classic: Typically pre-1973 but there are
exceptions to this rule.
- Cherished: Typically collectable or rare
cars between 5 and 10 years of age
As owners of
Mark1 Escort's your car will likely fall into the 'classic' category. Although the
production did run to just beyond the typical classic category cut off it would be worth
checking since the classifications can vary from company to company. Some insurers will prefer to be selective about the
cars they insure and may not offer insurance for your vehicle at all. This is where the specialist car insurance
companies become so important.
The
specialist insurance companies in the market will generally offer cheaper insurance
premiums for these types of car than the conventional insurers. This is because they will be suitably geared to the
insurance needs of classic car owners and as such they will usually take into account that
these cars tend to be well cared for, and usually stored in a garage and used over a
limited mileage in a year.
In addition
to simply looking for the cheapest insurance policy some amount of importance should be
directed to what you get in that policy. When
looking at classic car insurance it is worth
considering whether you should look for a policy that includes such options as:
- An agreed valuation – This is the
amount that will be paid out if the vehicle is written-off or stolen and should be
guaranteed to ensure a pay out.
- Increasing value – Looking for a
policy with this allows you to increase the car’s value annually because a classic
car will generally be worth more with age.
- Limited mileage – As you’re
only likely to use your classic car infrequently, and almost certainly not for the daily
commute, agree to a mileage limit to secure a discount.
It is also a
worthwhile idea to ask your insurer about their policy towards repairs, particularly
concerning replacement parts. Many classic car
owners will prefer to have authentic replacement parts and if you are one of this type of
owner you should establish your insurer is able to accommodate this.
A two-pronged
approach should be taken when seeking classic car insurance.
Firstly, use a car insurance comparison website to compare multiple quotes
from both conventional and specialist insurers (although quotes from the latter may be
limited). Then, search online for specialists. It is recommended that you give any potential
insurers a call to discuss your needs in a policy, that way you can be the policy you buy
offers the right protection for you and your car.
Many insurers
will also insist that you be at least 25 years of age – younger drivers will pay a
higher premium on classic car insurance.
Which companies offer specialist classic
car insurance?
There are a
number of specialists on the market including:
- Adrian Flux – Includes limited mileage
policies, track and rally cover, wedding hire cover, agreed value cover and laid up
policies to protect classic projects.
- Footman James – Includes agreed value,
motor legal expenses, and personal injury due to road rage and car-jacking in EU
countries.
- Performance Direct – Offers comprehensive, third party
fire and theft and third party only schemes for everyday and popular classics.
- Hagerty International – Offers a range of benefits
including agreed value, event and rally coverage, restoration coverage, limited mileage,
salvage options and cherished plate cover.
- Lancaster Insurance – Policy benefits include:
up to 65% introductory discount; limited mileage discount; classic car club member
discounts; guaranteed agreed valuation; and personal effects cover.
- Express Insurance – Offers cover for track days and
long distance rallies.
How to make a classic car insurance
claim
Notify your
car insurance provider as soon after the damage or theft has occurred as you possibly can. Most insurers usually have a 24hr dedicated line
for this. In the case of damage be prepared to
complete an accident form but ensure you ask if the insurer requires any supporting
evidence or documentation.
Where
possible supply as much evidence as you can, including photographs and witness contact
details. Consult your insurer BEFORE booking
your car in to a repair centre as if you are happy to use their approved repair centre the
claims process may be quicker and simpler.
A claim may
include the cost of: repairing your vehicle; loss of earnings; damage to your property;
transport costs while your vehicle is unusable; your policy excess; and personal injury
– although these will all very much depend on the terms of your individual policy.
