Are you a classic car collector or hobbyist? If so, then you’ll have a few things to consider when purchasing Smyrna auto insurance that you wouldn’t otherwise think about with a modern vehicle.
In order to protect your investment or heirloom, however, it’s important that you obtain the proper amount of classic car auto insurance coverage in Smyrna. Here are four things you need to know:
1. Is your car really a classic? Some auto insurance companies may consider cars as young as 10 years a classic, but that doesn’t mean you’ll need special insurance for it. Generally, when people are considering special auto insurance for an older car, it will be for one that is considered antique. In order to qualify for that honor, the vehicle must be more than 25 years old.
2. Does the car require a great deal of protection and maintenance? If you have a 1968 Ford that you love to drive around, but you don’t keep it in a locked garage, then classic car insurance in Smyrna may or may not be right for you.
On the other hand, if you take that same Ford, fully restore it, and keep it safely secured, then you’re going to want more protection than a general auto insurance policy will provide. So much depends on the condition, investment, and appraised value, so make sure you have this information in order.
3. There are three basic types of auto insurance available for classic cars. You can take out a policy for agreed value, stated value, or actual cash value. It is very, very rare that actual cash value will be an appropriate level of coverage. The exception would be if you just have the car for the sake of having something to drive and don’t care about an investment.
For most classic car owners, however, you’ll want a policy that will pay out more than the depreciated value of the vehicle, which is often quite low. With stated value policies, you can declare what you think your car is worth. The insurance company may pay up to that value, but it can pay less if it determines the stated value is too high. This may be a good option for classic car owners who drive their cars regularly.
If you’ve invested a great deal of time and money into a restoration for your classic car, then you’ll probably want to opt for agreed value auto insurance. With this type of policy, you will have an agreement between yourself and your Smyrna auto insurance company about the value of the car, and that is what will be paid in the event of a loss. This type of policy typically requires some sort of documentation, such as a professional appraisal.
4. Regular reassessment is a must. The older a classic car gets, the greater the potential value. Likewise, the more investments you make into your car, the more you have to lose. Reassess your Smyrna classic car insurance policy annually at minimum, or any time you make modification to ensure you have the appropriate level of coverage.