Owning a classic or luxury car is a dream come true for many auto enthusiasts, but insuring those prized vehicles is a different story. If you’re not careful, you could find that your priceless antique only has a few thousand dollars in coverage, or that the auto insurance for a luxury car is more than you can afford. Understanding how these special policies work can help ensure you get the insurance you need without overpaying.
Understanding Classic & Luxury Auto Insurance
Insuring a Classic Car
As a general rule, auto insurance companies assume that vehicles are worth less over time, so they generally base policies on the Blue Book® value. While a certain vehicle might be worth $25,000 to a collector, the listed value of the car may only be $1,500 or so, which is all you’ll get if the car is destroyed. Classic auto insurance policies, on the other hand, are based on your stated value of the vehicle. Premiums on these policies can be quite low, especially if you choose one with low mileage restrictions and keep your car mostly in the garage.
Luxury Vehicle Insurance
Expensive sports cars and luxury sedans often have extremely high repair costs, which naturally drive up your insurance premiums. Fortunately, you can lower your rates by keeping moving violations off of your driving record and paying for minor repairs out of your own pocket. High-deductible plans offer much lower monthly premiums than other plans, which help contain costs without sacrificing coverage. However, make sure you have the funds available to cover your share if you do have to file a claim.
As a dedicated Nationwide® Insurance office, the Phillip Kent Beck Agency offers high-quality policies from one of the nation’s leading carriers. If you’re purchasing a Porsche® or rebuilding an old Chevy®, their experts will have an auto insurance policy perfectly tailored to your needs. Visit their website or call (336) 434-2111 to request a quote from their office in High Point, NC, and follow their Facebook for regular news and updates.