Becoming an Adult

Insuring Your Classic Or Custom Vehicle Against Theft Or Damage

1 March 2017

Robin King

Insurance really only has one purpose and that is to provide monetary value to something and compensating for the loss or damage of that thing. In some cases, it is hard to determine the value of the item that will be insured and when this is the situation, an insurance company will often turn to an appraiser to set the value. Insurance for a classic or custom car can be one of these situations. Depending on the condition, year, and features of the car, the value needs to be determined before the insurance company knows what they may have to pay you if something happens to it.

Appraising the Vehicle

To determine the value of the car, an appraiser will look at the vehicle and most likely ask questions about it. The appraiser will want to determine the year of the car if the condition is original; or whether it is a restoration, and what custom work has been done. The market value of the vehicle can come into play and of course, the replacement cost of the car in the same condition as yours is. If the car is very rare, the value is likely to be set much higher than that of one that is readily available on the market.

Getting The Quote

Once the vehicle has been properly appraised and the value set, the insurance company can offer you a quote for covering your car. It may be a great price or maybe be very high priced. In either case, look at the coverage that comes with that quote carefully. You need to be sure that whatever you are paying, the car will be covered with enough insurance for you to fix or repair the car if something happens.

Specialty Classic Car Insurance Companies

There are insurance companies out there that will insure your car for the value of it based on more detailed factors. They specialize in insuring classic cars, restored cars, and unrestored or original condition vehicles. The premiums may be a little higher but at the end of the day, these companies know the cars and the market so well that they can accurately assess the value of your classic and offer you a quote that will be realistic and provide the ability to replace or repair the car in case of loss or damage. In some cases, cars that are valued so high that they are considered irreplaceable or priceless can only be insured by companies like this. Those cars will not only carry a very high premium, they will often provide additional coverage and the cars are commonly transported by specialty transport companies as well.

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