Insurance for Classic Cars in California

Classic cars are bought for different reason, to some people they buy them for luxury while many buy them for a hobby. When someone buys a classic car, it’s always important to consider the uniqueness of classic car insurance. Contrary to popular belief classic car insurance in California is cheaper than traditional Californian car insurance, this is because these cars are being owned by a responsible adult and more often they are highly pampered. Given that collector car insurance will be cheaper and it’s a mistake to insure a classic car under a traditional insurance policy.


Photo By – dfirecop

Low Depreciation  in Value

The basis for  high prices associated with the modern cars is the idea that their value depreciates with time, and with a classic car the value only increases with time. This means that if you placed your valued collector car under a tradition car insurance California policy, you risk getting a depreciated value for your classic car in case anything happen to it. You may wonder why a car with a high replacement cost  attract cheaper insurance rate, it is simply because the car has been aforementioned and are extremely pampered. The collector car insurance is based on the premises that the owner of the car values the car and will do all they can protect the car from damage.

20% Reduction Rate

The rates vary with the different classic car insurance companies in California which range between 20% reduction and these differences rates between companies are mainly because of the way a car is being valued by the company. Most California classic car insurance companies only concerts on the value of the car and its intended use, while others are looking for many factors. So you will also realize that most of this low cost of the insurance is having many restrictions which may be applied. For example, you will find that most Californian insurance providers will not cover a car driven by younger driver, and in some cases it’s important that the car is parked in a garage and not an open driveway or the number of miles the car can be driven per year will/may be restricted.

Seek Legal Advice Before Insurance

The companies which offer classic car insurance in California they differ on certain restrictions because of the insurance market for classic cars are much more specialized, therefore it’s incumbent for any car owner or a prospective car owner  to make an informed decision on the right type of policy to go for insuring their car. Most policies are tailored to suit the insurer but not insured because of unlike the latter, the formal is in business. Why may be surprised with many cases of clients crying foul over their money lost on insurance because of wrong decisions in the light of the best way to insure their cars. Before insuring your classic car, you should seek legal advice before making any legal agreement.