With some 18 million classic car collectors and enthusiasts across the country, according to Hagerty, you might among the Americans ready to get your own wheels on the road. But insuring a classic car isn’t as simple as adding it to a standard auto policy. Many insurance companies undervalue collector cars or leave out coverage you might need.
With millions of classic vehicles and collector cars on the road, the right insurance depends on how you use and protect yours. Storing it securely, picking a mileage plan that fits your driving habits and skipping extras you don’t need can all help you avoid overpaying. Get it wrong, and you could spend too much or not get enough if something happens.
Before you dust off your roadster for warmer weather, here’s how to insure a classic car without spending more than you need to.
How classic car insurance differs from standard policies
Not all “old cars” qualify for classic car insurance. Insurers use different classifications:
Classic car — generally 10 to 24 years old with historical significance
Antique car — typically 25 years or older with historical significance.
Collector car — could be any rare or unique vehicle that gains value as it ages
Standard auto insurance usually pays out actual cash value (ACV) based on depreciation. But classic or collector car insurance typically offers agreed value coverage.
This means you and your insurer set a guaranteed payout up front using an appraisal, photos or market data. If your car is totaled, you get the full agreed-upon amount, minus a deductible, rather than a depreciated payout.
Classic car requirements
You’ll typically need to meet these strict requirements to qualify for classic car insurance:
You can’t use it as a daily driver. Classic car insurance is meant for pleasure drives and car shows — not running errands or commuting to work. Many policies limit mileage to 2,500 to 7,500 miles a year.
It needs to be stored securely. Many major insurers, like USAA and American Collectors Insurance, require you to store your classic car in an enclosed building, locked garage or storage unit. But some, like Progressive, Allstate and Hagerty, may allow carports, driveways and even trailers in some cases.
You need another car for daily driving. Classic car insurers won’t cover your only car. They’ll usually ask for the declaration page or policy number of your regular auto insurance to confirm you have a daily driver.
Your driving record matters. If you’ve had a DUI, reckless driving or excessive speeding ticket in the past, you might have trouble getting approved. Beyond your record, your credit score can also affect rates.
Your car needs to be well-maintained. Some insurers require photos, appraisals or proof of restoration work to make sure your car is in good shape before covering it.
If you don’t meet these rules, your application could get denied or your rates could be higher.
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How to get the right coverage for your classic car
The right insurance depends on how you use your classic car — whether it’s a ’67 Mustang Fastback, a vintage Porsche 356 or a Chevy Bel Air that only sees the road on sunny weekends.
Essential coverage
Every classic car insurance policy should include:
Agreed value coverage. Instead of a payout based on depreciation, you and your insurer agree on a set value up front. If your car is totaled, you get the full insured amount after any applicable deductibles.
Comprehensive and collision. Covers damage from accidents, theft, vandalism, fire, hail or even a tree branch falling on your car.
Liability insurance. Covers injuries and damage you cause to others while driving. It’s required by law in most states, just like standard auto insurance.
Additional coverage to consider
Depending on how you use your car, some extras might be worth adding, like:
Spare parts coverage. Covers the cost to replace any lost or damaged spare parts, up to your policy limits.
Under construction coverage or restoration endorsement. If your car is a work in progress, this protects both the car and tools used for restoration. Allstate and GEICO are two insurers that offer it.
Roadside assistance. Some insurers offer specialized towing for classic cars to prevent damage during transport.
What you might be able to skip
Not every add-on is worth the extra cost. The best way to decide? Think about how you actually use your classic car.
If your 1965 Ford Falcon mostly sits in the garage or only comes out for casual weekend drives, you probably don’t need high-mileage coverage. Likewise, you might not need to pay extra for a no-deductible plan if you have enough in your emergency fund to handle a $1,000 deductible.
Before paying for extras, ask yourself if they truly fit your driving habits or if they’re just padding your premium.
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How to find an insurer that specializes in classic cars
You have two main options when it comes to insuring your classic car: go with a nationally recognized name or look for a specialty insurer. So, which is right for you?
If you like the idea of bundling your classic car insurance with your regular auto policy, a national insurer might be the way to go:
State Farm. A good option if you already have State Farm auto insurance, but coverage comes with strict rules. Your car needs to be securely stored, rarely driven and in good condition. In some states, State Farm Classic+ (powered by Hagerty) offers better perks, like cherished salvage coverage and automobilia protection.
Allstate. Doesn’t offer its own classic car insurance but partners with Hagerty. You get specialty protection while still working with Allstate for billing and claims.
Liberty Mutual. Covers classic and antique cars but only if you already have a Liberty Mutual auto policy. You must store your classic car in a fully enclosed locked structure, like a garage.
GEICO. Doesn’t insure collector vehicles directly but partners with Assurant and American Modern to offer coverage. You apply through GEICO but are covered by a specialty insurer.
USAA. USAA offers agreed-value policies with underwriting through an alliance with American Collectors Insurance.
Specialty insurers focus mainly on collector cars and might offer better perks or flexibility than national brands:
Hagerty. Among the biggest names in classic auto insurance. It offers agreed-value policies, spare parts coverage, and restoration protection. Hagerty allows occasional pleasure driving, unlimited car show participation and mileage options with no fixed limits. Plus, Hagerty Drivers Club includes roadside assistance and discounts on events and gear.
Grundy. One of the only insurers that lets you drive your classic as much as you want — as long as it’s for pleasure, and not commuting. Grundy also covers hot rods, modified vehicles and high-value collectibles with perks like no deductible in many states and inflation guard.
American Collectors Insurance. Great for cars undergoing restoration. American Collectors offers flexible mileage plans, inflation guard (which raises your insured value as the market changes) and coverage for in-progress restorations, including tools and spare parts.
Dig deeper: How to switch car insurers: 5 simple steps — and why it pays to shop around
How to compare quotes for your classic car
Antique car insurance rates depend on the type of vehicle you drive, how you store it and how often you take it out. A low-mileage car kept in a locked garage will usually cost less to insure than one that’s frequently on the road.
But as you compare classic car insurance quotes, don’t just look at which policy is cheapest. Some could have strict mileage caps or won’t cover expensive spare parts, so it’s worth reading the fine print before you buy.
As you compare policies, ask:
Will my payout be based on agreed value or ACV?
Are there mileage limits, and can I buy extra miles if needed?
What storage requirements does this policy have?
Does coverage extend to spare parts, restoration projects, or car show events?
A little extra research up front can help you find a policy that fits your needs without paying for coverage you don’t.
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How to avoid overpaying for your coverage
Classic car insurance is already cheaper than standard auto coverage. But that doesn’t mean you should overpay. Insurers reward low-risk owners with lower rates, and there are plenty of ways to cut costs without sacrificing coverage.
Here are some ways to find affordable classic car insurance:
Stick to mileage and use limits. The less you drive, the less you’ll pay, so pick the mileage tier that lines up best with your needs.
Store your car securely. A locked garage = lower rates. Some insurers allow covered carports, but if you park in the driveway, you might pay more.
Bundle with other policies. If you already have homeowners, auto or umbrella insurance, you might qualify for a multipolicy discount.
Increase your deductible. If you can afford a higher out-of-pocket cost in a claim, raising your deductible can lower your monthly premium.
Ask about “lay up” coverage. If your car sits in storage for months, some insurers will pause liability coverage to help lower your costs.
Own multiple classics? Insure them together. If you own more than one collector car, some insurers offer multivehicle discounts.
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FAQs: Insuring your classic car and saving money on coverage
Learn more about classic car coverage and saving money on your policy with these common questions. And take a look at our growing library of personal finance guides that can help you save money, earn money and grow your wealth.
What is the oldest car that can be insured?
There’s no set age limit, but most insurers cover vintage cars and antique vehicles from the early 1900s. Some even insure classic military vehicles, tractors and fire trucks.
How do I insure my classic car as a daily driver?
Most classic car insurers won’t cover daily drivers. Some, like Grundy, offer unlimited mileage for leisure drives. But if you start using your classic for daily errands or commuting, it could void your policy. In most cases, you need a standard auto policy if you plan on using your classic car for daily driving (though this usually means losing agreed-value coverage).
How much does classic car insurance cost?
Costs vary, but classic car insurance is typically 30% to 50% cheaper than standard auto insurance. For instance, Hagerty reports that its classic car insurance is 27% cheaper than standard auto insurance. Grundy reports that its policies are 50% less than standard policies. Your vehicle’s value, mileage, storage and driving record all affect your premium.
How much does it cost to insure a sports or exotic car?
Insurance coverage for a sports car will cost you more than a standard car insurance policy, though actual costs largely depend on the specific car’s make and model. A full-coverage policy for a Dodge Charger, for example, could run you about $5,000 a year, according to Bankrate. Exotic or rare cars can be even higher due to the higher vehicle value, with only a handful of specialty insurers — like Hagerty Insurance — willing to cover them.
Sources
The Collector Car Market: By the Numbers, Hagerty. Accessed May 12, 2025.
About the writer
Cassidy Horton is a finance writer who specializes in banking, insurance, lending and paying down debt. Her expertise has been featured in NerdWallet, Forbes, MarketWatch, CNN, USA Today, Money, The Balance and Consumer Affairs, among other top financial publications. Cassidy first became interested in personal finance after paying off $18,000 in debt in 10 months of graduation with an MBA. Today, she’s committed to empowering people to stand up and take charge of their financial futures.
Article edited by Kelly Suzan Waggoner
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