All About Classic Car Insurance

    July 23, 2018

    You find a lot of different old and very old cars in the car market – and we’re not talking about rusting, neglected and ill-maintained modern vehicles, we’re talking about a Classic Car.

    Some people call them vintage cars, while others call them veterans but we still see them as a classic car.

    However, insuring them can be a nightmare. We will look at classic car insurance and tell you all about it.

    So What’s the Difference Between Old and Classic?

    Classic CarClassic vehicles are cars that are known by make and year and usually have a high value. Re-sale and purchase. These cars need to be between 30 and 49 years old to be called classic.

    Replacement parts are a nightmare to come by and often scarce.

    Old cars on the other hand are simply just that – old cars. Your 30 year-old Ford Escort may be worth R3000 where the same aged Ford Escalade is worth up to ten times as much.

    In addition to monetary value, vintage types usually have sentimental value attached to it too. The problem with classic cars and their insurance is the high costs of replacement parts and their  high replacement value.

    Why is It So Difficult to Find Classic car Insurance?

    The insurance of a classic car is a very specialised form of insurance. There are so many variants and changes to consider. Some classic cars are worth millions while others are not.

    With all of these different variants, insurance companies just do not want to insure a classic car. Most of these companies do not even offer car insurance quotes or packages for a classic car.

    Where Can I find Classic Car insurance?

    You need not worry that you will be able to find insurance for your special car. A few companies in South Africa do offer this type of insurance.

    Some of the companies include AA insurance, Hollard Insurance, FNB insurance and New Wheels. Insurance for these vintage motor cars are often quite expensive though.

    Why is Insurance for Cars of This Type so Expensive?

    The insurance costs for classic vehicles are expensive because of the rapid changing values, the rarity and costs of replacement parts.

    Expensive paints may need to mixed and matched in the case of a scratch or dent also these cars have a high theft rate. Even though these ‘cost increasing’ factors seem simple it is quite complicated and specialised.

    The companies that do offer this type of insurance need experts in the field of vintage motors. This expertise increases the cost of insurance.

    Where Can I find Insurance Quotes?

    • Use an insurance broker. The broker will contact all the known companies that offer insurance for vintage vehicles and provide you with quotes.
    • Contact the companies yourself. The chance of getting a quick quote online is very limited. The company would need some time to send out an assessor to evaluate the car first.
    • Use an insurance agency. These agencies work on the same concept as insurance brokers, and they will provide you with multiple quotes.

    Conclusion                                                                                   

    Finding classic car insurance is a difficult and expensive but necessary process.

    Your best option to find car insurance companies that offer this service is to use a broker or insurance agency to assist you. Or when you buy a classic car from a company like Frost Brothers they can advise.

     

    To request a car insurance quote, please complete the form on this page and then “click to send” it to us. We will return with a personalised quote

     

    All info was correct at time of publishing