Insuring an automobile is a common practice in today’s society, but this does not mean that providers treat all cars and vehicles the same way. For those who enjoy collecting, owning and operating antique, classic or rare automobiles, it may be necessary to obtain a special auto insurance policy.
The insurance experts at The Peterson Agency are well equipped to help those in the Burlington, Durham and Goldsboro areas insure their treasured vehicles.
What Is Special Auto Insurance?
Special auto insurance is imperative for car enthusiasts to protect their investments. This type of policy functions similarly to standard auto policies regarding coverage for bodily injuries and property damage. In addition, special auto coverage includes several additional provisions that can help maintain and protect your vehicles, such as:
· Maintaining value—Insurance providers will work with you to determine your vehicle’s value. Throughout the duration of your policy, this figure will not depreciate.
· Accessing optimal maintenance—This type of coverage can allow you to choose shops or garages that specialize in repairing or restoring vehicles like yours. They may also cover specific parts intended for your automobile, even if such choices are more expensive than generic alternatives.
· Transporting via towing—Those who own and collect rare, classic or antique vehicles may not wish to drive them on the open road very often. Most special auto policies will provide towing as a transport option.
Do I Need Special Auto Insurance?
Special auto insurance should be considered by anyone who owns or collects the following types of vehicles:
· Antique or classic cars
· Hot rods
· Custom-built or modified vehicles
· Show cars
· Race cars
· Exotic or luxury vehicles
It’s necessary for vehicle owners to understand that not all automobiles are eligible for special auto coverage. For example, just because a vehicle may be of a certain age does not mean it will qualify for such protection. In general, providers will consider the following criteria:
· Frequency of use—Regardless of make, age or model, vehicles used for commuting, errands and other everyday trips or that exceed certain mileage limitations may not qualify.
· Storage—To obtain coverage, providers may require your vehicle to be stored safely in an enclosed structure with restricted access, such as a storage unit or residential garage.
· Driving record—Like standard auto policies, your driving record may affect special auto coverage. Providers may be more hesitant to offer you a policy if you have a history of unsafe driving.
· Show participation—Some providers may restrict travel to car shows and meetings or require additional coverage for such activities.
Get the Right Coverage
Classic, custom, antique and other types of special vehicles are significant investments. Automobile enthusiasts may spend significant amounts of both time and money collecting, restoring and maintaining their prized possessions. With that in mind, it’s necessary to acquire adequate insurance coverage.
The agents at The Peterson Agency are ready to help you assess the insurance needs of your vehicles and build optimal policies. Contact us today to get started.
This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.