In February 2009 a 1937 Bugatti Atalante 57S coupe that had been gathering dust in a garage in northern England for 50 years sold at auction in Paris for 3.5 million euros. However, since the global economic downturn began some auction houses have recorded falling sales – with some even reporting that around a third of vehicles are failing to meet their reserve price. If you are planning on investing your savings in a classic car then now is a good time to buy, however as a classic car owner your vehicle will undoubtedly be among your most prized possessions, and as such it`s vital that you protect it with a sufficient level of insurance cover. Let`s take a look at the options.
How to choose car insurance for a classic car
Before shopping around you must determine which category your classic car fits into for insurance purposes. Broadly, there are five classifications:
– Vehicles manufactured up to and including December 1904 are classed as `veteran`.
– Vehicles manufactured from January 1905 up to and including December 1918 are classed as `Edwardian`.
– Vehicles manufactured between 1918 and 1933 are considered `vintage`.
– Classic vehicles were typically manufactured pre-1974 although there are exceptions to this rule.
– Cherished vehicles are collectable or rare cars that are five to ten years old.
A good way to compare car insurance policies is to use a comparison website – by entering your details and the details of your vehicle into a search tool it will return quotes with the cheapest listed first. However, given the unique nature of many classic cars, not all conventional insurers will offer quotes. Similarly, most conventional policies won`t provide cover suitable for such a specialist vehicle. Therefore, it`s always worth comparing quotes from specialist classic car insurers too.
There are many of these on the market and their main selling point is that they are used to dealing with the specific needs of classic car owners. Their policies are also designed for classic cars and feature unique incentives including agreed valuations, limited mileage discounts and coverage for events such as historic rallies.
Classic car insurance providers in the UK market include:
Footman James
A specialist insurer with incentives including agreed valuations; laid-up insurance; and limited mileage discounts.
Heritage Motor
Has a wide variety of benefits designed specifically for classic cars including car club member discounts; limited mileage discounts; cover for rallies, hill climb and sprint events; and agreed valuations.
Lancaster Car Insurance
An array of discounts for classic car owners including club membership and limited mileage discounts; the company also offers courtesy cars if your classic car is your main vehicle.
Performance Direct
Offers car insurance for both vintage cars and modern classics.
Peter Best Insurance Services
From American classics to MGs, this company will cover a huge variety of classic cars.
The key is to look at what each policy offers and weigh up how suitable it is in relation to your own needs.
Where to find cheap classic car insurance
Use comparison websites to your advantage to find cheap classic car insurance. Some of these search tools will include quotes from specialist classic insurers alongside those from conventional insurers but even if they don`t you could take a quote from a conventional insurer through these tools and ask a specialist to match or better the deal.
Remember too that you have a responsibility in keeping your car insurance premiums down by driving safely and building up a no-claims discount. Also consider parking it in a garage at night to earn extra car insurance discounts.
[Please note that the deals quoted were available at the time of writing, 05.02.09, and are subject to change]