The assessment of classic autos increases (not decreases) with each passing year. This is in contrast to newer autos, which decline in value with every year. It is relatively difficult to precisely determine the market value of a vintage auto for insurance purposes.

To make things even more complex, there are not all that many vintage vehicle insurance providers that are available either. These vintage “works of art” are sought-after by collectors who are sometimes willing to pay a great deal more than their tangible value.

Standard Auto Insurance

In the instance of an average car that isn’t quite old enough to be considered an antique (usually 20 years), the assessment of the car is determined by using the original cost then taking a depreciation for each year from that amount. Naturally, this presumes no major accidents, etc.

For antique autos, though, a bit stickier. The cost can’t be calculated using average methods. Particularly since the value of a antique automobile grows as time passes, not lessens.

Computing Antique Vehicle Insurance 102

There are 3 primary methods for determining the assessment, insurance-wise, for an antique automobile.

The First Method: The worth is mutually agreed upon between the owner and the insurance company. This can yield a higher coverage sum than other two ways.

Method 2: The car’s value is determined based on the existing values for similar autos as listed in well-known vintage automobile publications and price indexes that are in vogue. In some situations, an third-party assessor might be called in to help determine the worth of the auto.

Method Number 3: A lesser-used method is to compute the worth of the auto as the total of the actual vehicle cost plus the numerous upgrades and amount spent on restoration and such over the years. In other words, the assessment of the automobile is the amount determined after deducting the depreciation with age from the original cost of the auto, then adding back in the restoration and upgrades.

Insuring Your Classic Car

Summing to all up, antique auto insurance providers have their own set of rules they use to determine the insurable amount of the vintage vehicle. For example, these insurers many times require that the vehicle being insured should not be used as a means of regular transportation. The insurer may also require that the vehicle be garaged.

Other requirements could include that the vintage automobile can’t be used for racing, and proof that other household members have access to other modes of transportation. Oh, and the owner needs to have a clean driving record, to boot.

Whether you call them vintage vehicles, classic cars or antique autos, they are a slice of automotive history…albeit a slice that must be insured!

Is Your Car Too Young to Be Vintage? Not to Worry, Here’s FREE Insurance Information!

Does your heart thump wildly at the thought of owning a classic? But ordinary cars need insurance, too. Here’s some totally free information on finding affordable auto insurance, no matter where you live.