How does car insurance work for classic cars?

How to Insure a Classic Car

To qualify, your car typically needs to be at least 15 to 25 years old,well-maintained, and not used for daily commuting. Many insurers also require that the car is stored securely, preferably in a garage.

Classic car insurance is usually based on an agreed value. This means you and your insurer decide on the car’s value beforehand. In the event of a total loss, that agreed amount is what you’ll be paid no depreciation.

Things to watch out for

• Mileage Limits: Most policies have a yearly mileage cap (e.g., 5,000 km).
• Limited Use: Coverage may exclude daily driving or business use.
• Proof of Value: You may need an appraisal or detailed photos.
• Maintenance Requirements: Some insurers ask for proof of upkeep.

No-Claim Bonus

Here’s a key difference: classic car insurance does not build upno-claim years the same way as regular car or motorcycle insurance. Sowhether or not you file a claim, your premium usually remains unaffected. Youwon't gain a discount over time, but you also won’t be penalized for occasionalclaims.

Always check the fine print, especially if you're used to transferringno-claim years between policies this typically isn't possible with classic car insurance.