Best Classic Car Insurance Companies in 2023

Your classic auto isn’t simply a car. And the insurance that protects it shouldn’t just be a standard policy either.  Whether you’re meticulously restoring a Porsche 911 or showing off your Shelby Cobra on a Friday night, it’s important to find an insurance provider that loves cars as much as you do. Unlike your everyday ride, classic cars require speciality policies and expertise that most of the larger carriers aren’t equipped to provide. If you’re looking for the best classic car insurance for your souped-up hot rod, we’ve rounded up the nation’s leading underwriters. 
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American Modern will insure just about anything with wheels. The list of vehicles eligible for its Collector Car Insurance includes muscle cars, classic cars, antiques, exotics, customs, and replicas, to name a few. It will even insure vehicles of historic importance such as fire engines, tractors, and retired military vehicles.

Standard policies allow usage for car shows, parades, and occasional pleasure drives. However, an optional policy will cover those who use their classic cars for the daily grind — just be aware that you’ll swap the agreed value for the stated value, which provides less protection in the event of an accident.

One big drawback is that you’ll have to speak with an agent to get specific coverage details for your collectible car. Furthermore, American Modern doesn’t offer online quotes. So those who like to conduct business digitally may want to consider another provider.

There may also be some customer service issues with this carrier. The National Association of Insurance Commissioners (NAIC) ranks American Modern as having a higher than average number of complaints. However, its A+ rating with the Better Business Bureau (BBB) should give potential customers some peace of mind.

SafeCo might be a good choice for those who want to drive their pride and joy more frequently. Its regular use coverage allows up to 10,000 miles per year, which is the equivalent of about 27 miles a day. What’s more, you’ll still enjoy the benefit of SafeCo’s agreed value coverage with this higher mileage limit.

SafeCo also offers several discounts, which is less common for classic car insurers. Policyholders will save money when they restrict their annual mileage to 5,000 miles or less, take an accident prevention course, insure a car collection, and bundle policies with regular auto, motorcycle, boat, RV, or homeowners insurance.

Still, SafeCo does have disadvantages. This carrier only underwrites policies for modern classic cars that are less than 10 years old, classic cars that are over 10 years old, and antiques that are at least 25 years old. 

Moreover, drivers in Delaware, Hawaii, New Jersey, Rhode Island, and the District of Columbia will have to look elsewhere for coverage. As will owners of vintage vehicles that are not classed as “automobiles” or “street vehicles,” which includes kit cars, tractors, military vehicles, and restoration projects that are less than 50 percent complete.

In addition, SafeCo has more complaints logged with the NAIC than one would like to see. Indeed, this is a sentiment that is echoed by Trustpilot reviews that highlight difficulty during the claims process. Still, the insurer does hold an A+ rating with the BBB, and many customers find SafeCo meets their coverage needs. 

State Farm doesn’t typically help classic car owners save money on insurance through discounts. Instead, because it is a major insurance company, you can save quite a bit of money by bundling all of your policies under one roof. Generally speaking, the money saved by bundling will often far exceed savings from policy discounts. 

State Farm’s rates are regarded as competitive, too. Along with the more common coverages for collision, comprehensive, and liability, the carrier also provides emergency roadside assistance, usage-based pricing, agreed value pricing, and spare parts coverage up to $500 per claim.

However, owners who prefer a wholly online experience may find State Farm’s in-person service old fashioned. But others may enjoy working with the carrier’s nationwide agent network — it really depends on how you like to do business. Still, you’ll need to speak with an agent for a quote as well as specific details about your policy.

State Farm has an unusually high number of complaints filed with the NAIC, but this could be partly due to the sheer volume of policies it underwrites. On the bright side, State Farm regularly places in the top three positions in J.D. Power’s Auto Insurance Customer Satisfaction Survey, and it keeps an A rating with the Better Business Bureau.

Grundy could be a good choice for enthusiasts who need to insure an entire collection of classic cars. This provider has a line of policies just for collections valued between $500,000 to $5 million or more. Just like with its individual classic auto coverage, you can insure your entire collection at an agreed-upon value. What’s more, Grundy will pay 150 percent above that agreed value in the case of a total loss claim. You can even protect against reduced value of your collection due to repairs or even theft with its Diminution of Value insurance.

However, those who want to use their collectible cars more frequently may find Grundy’s definition of “unlimited mileage” slightly deceptive. While the carrier claims to offer unlimited miles, the fine print shows that this benefit only applies to “pleasure driving and in collector car-oriented activities,” meaning car shows, parades, and exhibitions. 

Not only does Grundy not offer options for daily drivers, it requires the policyholder and every licensed member of their household to provide proof of a “modern car for everyday use.” Still, for those with a multi-million-dollar car collection, this requirement is likely not a deal breaker.

Grundy Insurance is accredited with the Better Business Bureau, where it maintains an A+ rating. The provider has no complaints filed with the NAIC, and it’s earned 4.5 out of 5 stars on Trustpilot.

Hagerty may be the ideal provider for those who restore classic cars. Many other providers will only insure restoration projects that are at least 50 percent complete, but Hagerty’s Vehicle Under Construction policy will cover any “vehicles that are being actively restored.” 

All restoration policies come standard with $750 worth of coverage for automotive tools and automatic value increases of 10 percent each quarter. This is ideal for restorations that will appreciate in value upon completion.

The provider’s concierge service will also help you find replacement parts for your restoration projects.

Hagerty also provides the protections that you’d expect as well as options for 24/7 roadside assistance, spare parts insurance, and cherished salvage coverage that allows you to keep your salvaged automobile in the event of a total loss.

Additionally, this is one of the few carriers to offer evacuation expenses in the event of storms, wildfires, or a declared state of emergency. You even have the option to insure your automobilia such as vintage gas pumps, station displays, hood ornaments, and so on. 

Hagerty has no complaints logged with the NAIC, and it features an A+ rating with the BBB. The underwriter also boasts 4.2 out of five stars on Trustpilot, where 87 percent of its thousands of reviews give it an “excellent” rating.

The average cost of classic car insurance is 34 to 50 percent less than a standard auto policy, based on estimates from two popular providers. Hagerty reduces its prices, on average, by 34 percent for classic cars, while Grundy claims to discount its policies by upwards of 50 percent.

In fact, one insurer ballparks the average cost of its classic car insurance to be between $200 to $600 per year, depending on the types of coverages you select. 

Classic cars traditionally spend less time on the road, which means that they’re lower risk and cheaper to insure. However, keep in mind that the rates you’ll pay will be based on a number of variables specific to the type of historic vehicle that you’re insuring and your age and driving history. 

Further, your state of residence is also a factor in determining your coverage costs. Each state has its own insurance laws, which means price points will vary widely depending on where you live. The best way to find out the average cost of classic car insurance in your area is to calculate rate quotes from at least three providers.

The best way to save on classic car insurance is to comparison shop. Requesting rate quotes from several insurance companies will always yield a lower price. Just be sure to gather quotes for similar coverage, so that your side-by-side comparisons are consistent.

Classic car owners can also save on insurance by bundling all of their policies with one provider — homeowners insurance, regular auto, life insurance, and so on. Some of the largest insurance providers in the nation actually contract their classic car coverage to the boutique carriers on this list.

As an example, Progressive partners with Hagerty and Geico with American Modern. This allows policyholders to bring all of their coverage needs under one roof to save money on insurance.

Additionally, you can save money on classic car insurance by:

Unlike conventional auto insurance, discounts for classic cars are not standard issue. Discount availability and eligibility will vary by provider.

As with everything, there are a host of variables that will affect the cost of your insurance as no two vehicles or drivers are exactly alike. With that in mind, here are the variables that’ll change the cost of your insurance. 

Standard auto insurance policies often take into account everything from a driver’s gender to their credit score when it comes to pricing premiums. 

While some providers still may use these types of variables to determine cost, when it comes to classic car insurance — the most significant personal traits are, by far, a driver’s age, experience, and driving record.

Many providers have age requirements, and they won’t extend classic car insurance to young drivers. Similarly, those with less-than-desirable driving histories may find it difficult to get coverage at all.

How you use your collectible car will impact your premiums. Because they are driven infrequently, classic cars stored in private collections or museums carry a lower risk. But those that are driven to car shows or taken out for the occasional joy ride have a higher risk and will cost more to insure.

Most insurance underwriters offer various annual mileage limits. Policyholders agree to adhere to these limits in exchange for higher or lower insurance premiums.

As an example, SafeCo has two annual mileage tiers: regular use and restricted use. SafeCo’s regular use policy is more expensive than its restricted one, but it allows an owner to drive up to 10,000 miles each year, instead of just 5,000 miles.  

Understanding your mileage needs will help ensure that you’re not overpaying for car insurance. 

If you’re thinking of parking your 1971 Pontiac Firebird in your driveway, you may want to reconsider. 

Many insurance companies require collectible car owners to store their classic autos in either a private building, dedicated storage facility, or a secured residential garage. And — you guessed it — the type of storage can affect your premiums.

Because theft and vandalism are among the biggest risk factors to insure a classic car against, security is a big concern for most providers. Having the right type of storage for yours can help keep insurance costs down.

Not only is the age of your hot rod a cost variable, it will also determine whether you’ll be eligible for classic car insurance in the first place.

Each provider has eligibility guidelines for their collectible car insurance. Some, like American Modern, have fairly flexible requirements, while others have stricter rules as to which cars qualify for coverage.

State Farm has three main categories, for example, and each will carry different price points:

The term “classic car” is often a catchall phrase. Automobile enthusiasts collect a wide variety of “vehicles of historic interest,” and each insurance company has its own categories and definitions for what they consider to be a classic or collectible car.

In addition to its category, the type of car and its value will also be a significant cost variable for your insurance premium. 

Common types of historic automobiles that are covered by classic car insurance include:

The type of classic car coverage you carry — and the deductibles and policy limits — will also affect your insurance rate. 

Classic car insurance generally offers similar coverage to personal auto insurance.

Additionally, your provider may offer optional coverage that is specific to a classic car policy. These include:

You’ve got questions. The Drive has answers.

To choose the best companies and products for this list, the team at The Drive looked at a large number of financial products from various providers. We focused on cost, product features and options, ease of use, customer service, and past customer ratings as the most important factors in our ratings.