Although there are no fixed guidelines which determine exactly what a ‘classic car’ is, different insurance companies usually have their own stipulations and in most cases classic car owners will benefit from a cheaper policy. HM Revenue & Customs states that any vehicle over twenty years old and worth more than £15,000 is considered a classic, for tax and insurance purposes.
From insurer to insurer that can vary slightly, but it’s worth remembering that older cars will need more care than their modern counterparts and this could mean that going for the cheapest policy on offer may not be the best option. Specialist companies and those who will tailor more specific policies are your best bet for getting comprehensive, but cheap, classic car insurance.
Generally speaking, a classic car owner can expect to be charged less for insurance than other motorists, primarily because the vehicle is likely to be better maintained and driven less than an everyday car.
As with other types of insurance, it’s best to shop around and compare deals before committing to buy, and be sure that you and the broker are on the same page as far as value and policy details go – for example, if you’ve agreed on a maximum mileage, you might want to change this if you begin to approach it, make sure this is something you’re free to do before you sign. Also, many vintage cars do increase in value, and it’s always helpful to be able to negotiate regularly, to make sure the insurance actually covers the true value of the car.
