Classic Car Insurance Quotes, Cost, Coverage in 2024

If you're the proud owner of a classic car, you know it's not just about the joy of driving—it's about protecting your beloved treasure. However, standard car insurance often doesn't meet the needs of classic cars that require specialized coverage.

That's where classic car insurance fills this gap, providing coverage that respects your vehicle's true worth and distinct needs. But how does it work? How do you get the best plan? We've got you covered.

In this guide, we tell you everything you must know about classic car insurance: cost, coverage options, eligibility, and more. You can use our free tool to compare Canada's best classic car insurers to find the perfect plan for you based on your unique needs.

What is classic car insurance?

Classic car insurance is a specialized type of auto insurance designed for older vehicles that meet certain criteria, typically being at least 20-25 years old and having significant collector value.

Compared to standard car insurance, classic insurance for cars generally offers:

• Lower premiums: Due to the limited use of classic cars and the careful nature of their owners, they are statistically less likely to be involved in accidents. This translates to lower insurance costs for policyholders.

• Agreed value coverage: Unlike standard car insurance, which depreciates the value of your vehicle over time, classic insurance for cars allows you to agree upon a set value for your car with the insurer. This ensures you receive the full value of your car in the event of a total loss.

• Limited use restrictions: Classic car insurance policies typically limit the annual mileage you can drive your car, reflecting their use for pleasure cruising, car shows, and other hobby-related activities, rather than daily commuting.

• Specialized coverage: Some policies may offer additional coverage options, such as spare parts coverage, car show and event coverage, and roadside assistance.

Before you choose any policy, get classic car insurance quotes from multiple providers, using our free comparator. Compare them and pick the one that best meets your budget and requirements right here.

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How old does a car have to be to be considered a classic for insurance?

Wondering when does a car become a classic for insurance? Well in Canada, there's no single, definitive age requirement for this. While age plays a role, it's just one factor alongside several others that insurance companies consider:

1. Insurance Provider: Each insurer sets its classic car insurance requirement.

• Major players:
  • Hagerty Classic Car Insurance: Typically requires 25+ years, with exceptions for rare/valuable models below 25
  • Allstate Canada (partnered with Hagerty): 25+ year minimum
  • Aviva Canada: No explicit age requirement, but focuses on 20+ years old with collector value

• Other providers: Might have different age requirements, depending on the company and program

2. Vehicle Type: Certain types like motorcycles or trucks might have specific age criteria
3. Car's Value: Highly valuable cars under typical age ranges might qualify due to collector appeal
4. Condition and Modifications: Your car's condition and originality influence the eligibility

What does classic car insurance cover?

It offers coverage similar to standard car insurance, with some key differences tailored to the needs of classic car owners.

Basic coverages:

• Liability: Pays for injuries and property damage you cause to others in an accident. Mandatory in most Canadian provinces.
• Collision: Covers damage to your car if you collide with another object.
• Comprehensive: Covers damage caused by events other than collisions, like theft, fire, vandalism, or weather.

Classic-specific coverages:

• Agreed Value: Unlike standard insurance, which depreciates your car's value, classic insurance covers it for a pre-agreed amount, ensuring you get its full value in a total loss.
• Limited Mileage: Classic cars are typically driven less often, so policies often limit annual mileage to reflect usage patterns and lower premiums.
• Specialized Parts Coverage: Covers the cost of repairing or replacing rare or hard-to-find parts specific to your classic car.
• Car Show and Event Coverage: Protects your car while attending shows, parades, or other events.
• Roadside Assistance: Provides towing, flat tire changes, and other services if your car breaks down.

Many insurers offer discounts for storing your car in a secure location, belonging to a classic car club, or having a clean driving record.

How much is classic car insurance?

The cost varies greatly depending on several factors, such as:

1. Car's Value: The agreed value of your classic car significantly impacts the premium. Higher-value cars lead to higher insurance costs.
2. Driver's Age and Experience: Younger drivers or those with less experience typically pay more.
3. Car's Usage: Policies with lower annual mileage limits often have lower premiums.
4. Coverage Level: Choosing more comprehensive coverage with additional options increases the cost.
5. Insurance Provider: Different classic car insurance companies have varying pricing structures and discounts.
6. Driver's Location: Premiums can vary based on factors like province, city, and driving environment.

While specific costs depend on the factors mentioned above, classic insurance for cars in Canada typically falls within the $300 to $1,000 per year range. However, premiums can reach several thousand dollars for highly valuable cars or those requiring extensive coverage.

Use our comparator to compare prices and coverages from different classic car insurance companies to find the best deal.

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Is classic car insurance Ontario coverage the same as other provinces?

1. Regulations and Options: Ontario's insurance regulations shape classic car insurance, with slight differences in eligibility and coverage options compared to other provinces, ensuring policies are aligned with the specific regulatory environment.
2. Cost Effectiveness: Despite Ontario's higher auto insurance rates, classic car insurance remains affordable due to the limited use and meticulous care of classic vehicles, offering a cost-effective solution for owners.
3. Agreed Value Coverage: Policies typically feature agreed value coverage, setting a mutually agreed upon value for the car at the start, contrasting with standard policies that consider depreciating actual cash value, thus better reflecting the vehicle's worth.
4. Usage Restrictions: Insurers may impose restrictions on usage, like limiting daily driving and requiring secure storage, which helps reduce risk and contributes to lower insurance costs for classic car owners.

How much is a classic car insurance Ontario plan?

In Ontario, premiums might range from around $300 to $1,000 per year for most classic cars under agreed value policies. This cost reflects Ontario's higher insurance rates due to its regulatory environment and market conditions.

In comparison, Alberta, with a different insurance regulatory environment and generally lower car insurance rates, might offer classic car insurance Alberta premiums that are slightly less, typically ranging from $200 to $600 annually for similar coverage.

This variation accounts for regional differences in insurance regulations, market competition, and risk assessment practices between the two provinces.

It's important to remember that these are approximate figures, and actual premiums can vary widely. Owners are encouraged to get personalized quotes from insurers to understand their specific costs.

How does classic car insurance work?

It works similarly to standard auto insurance. We have already discussed what qualifies for classic car insurance.

Here are other details that you should know:

Application and quoting

• Contact your preferred insurance company or a broker specializing in classic cars.
• Provide details about your car (year, make, model, value, condition, modifications, planned usage), driving history and location.
• The insurer will assess your car and eligibility, and then provide a personalized quote based on these factors.

Then the policy coverage comes into action, which we have already discussed. Once you have chosen your coverage, you’ll have to pay monthly premiums.

• Premiums are generally lower than standard insurance due to factors like limited usage and careful driving habits of classic car owners.
• Several discounts are available, including safe driving records, secure storage locations, classic car club memberships and multi-vehicle policies.

Claims and renewal

If you need to make a claim, contact your insurance company immediately.

• Be prepared to provide details about the incident, including photos and documentation.
• The insurer will assess the damage and, if covered, repair or replace your car according to the agreed value or policy limits.

Also, your policy will need to be renewed annually.

• Your insurer might re-evaluate your car's value and adjust your premium accordingly.
• Inform the insurer of any changes in your car's condition, usage or driving habits to ensure accurate coverage and pricing.

Is classic car insurance cheaper?

Yes, it can be cheaper than standard auto insurance in Canada. Here's why:

Lower risk:

• Limited usage: Classic cars are typically driven less frequently, resulting in fewer accidents and claim risks, leading to lower premiums.
• Careful drivers: Classic car owners often take extra care and precaution when driving their cherished vehicles, further reducing risk.

Tailored coverage:

• Agreed value: Instead of depreciating value, you agree on a set value with the insurer, ensuring full compensation in a total loss.
• Limited mileage: Policies reflect lower usage with capped annual mileage, keeping premiums down.

Due to these factors, classic car insurance premiums can be 30-60% lower than standard insurance, sometimes even more.

Which is the best classic car insurance in Canada?

The best option will depend on your individual needs, but here are some well-reputed companies that offer classic insurance for cars:

1. Intact Classic Car Insurance: Popular choice for 20+-year-old classics, offers agreed value and limited mileage options, discounts for secure storage, club membership, and good driving history.
2. Hagerty Classic Car Insurance: Specialist provider known for expertise and customer service, offers various coverages like agreed value, limited mileage, event protection, discounts for multiple cars, safe driving, and club membership.
3. Amica Classic Car Insurance: Similar to Intact, covering 20+-year-old classics with agreed value and limited mileage options.
4. TD Classic Car Insurance: Doesn't have a dedicated program, but might insure your classic car under regular auto insurance depending on details.

Compare price, coverage, reputation, and available discounts across providers to find the best fit for your specific needs. You can do it right here, using our comparator.

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How to get the cheapest classic car insurance?

1. Compare Quotes: Research and compare quotes from insurers specializing in classic car insurance to find the best rates.
2. Adhere to Requirements: Ensure your classic car meets the insurer's criteria, such as limited use and secure storage, to qualify for lower premiums.
3. Utilize Discounts and Higher Deductibles: Seek out discounts for club memberships or multiple policies and consider a higher deductible to reduce your premium cost.