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classic car insurance

5 October 2024

Classic car insurance is a special type of insurance that provides comprehensive coverage for antique cars that have historical value and are at least 25 years old, so the most important reason for giving insurance is its value. Owning a classic car is not just about owning a car, must be helped to protect it. Classic car insurance provides special coverage due to its unique value in the event of a collision, comprehensive liability for bodily injury, and property damage coverage, as well as coverage for spare parts, accessories, and modifications. Classic car insurance differs from coverage for regular cars that are used every day, unlike classic cars that are preferably used less frequently to maintain them, but this coverage is ideal for cars that are driven frequently.

Types of Classic Car Insurance

Classic car insurance types vary to provide ideal coverage that suits this distinctive piece of history.

Agreed insurance:

It is a type of insurance whose coverage is determined based on the amount agreed upon between the car owner and the insurance company, and compensation is based on this value in the event of a loss in the event of an accident, theft, or any damage. This type of coverage ensures that you get the full value.

Third-Party Insurance:

Third-party insurance is insurance that covers damages that the "car owner" may cause to other people. It is also an insurance that does not cover damages to the car.

Comprehensive Insurance:

It is also a type of insurance that covers all damages that may be caused to the car, such as accidents or any damages that occur to it. This type is the most comprehensive type for classic car owners who are more vulnerable to the destruction of their cars, as it covers many risks such as car accidents, fires, and theft. All of these risks are covered by comprehensive insurance to ensure that the owner of this antique value is protected.

Value-based insurance:

It is another type of classic car insurance that dates back 45 years and provides coverage due to the value of the car, which includes coverage of spare parts, accessories, and modifications that may be difficult to obtain and expensive. This type of insurance is more suitable for old cars that are not used much on a daily basis.

Factors that affect the cost of insurance

There are many factors that play an important role in the cost of insurance, and they all differ based on factors related to the risks associated with the insured. The most important of these factors are:

Age of the car:

The age of the car affects the cost of insurance by looking at the age of the car, the older it is and the more historically valuable it is, the higher the insurance cost. However, this does not mean that insurance on all old cars is expensive and is also determined according to their need for maintenance and condition since not all cars are the same in quality and manufacturing method.

Car storage:

The place where the car is stored greatly affects the cost of insurance. This is because some people leave their cars in the open, making them more vulnerable to theft or accidents due to congestion in the area, natural disasters, or increased crime rates in this area. The higher the risk to the car, the higher the insurance cost.

Driver age:

The age of the driver affects the cost of insurance, as most statistics indicate that people between the ages of 17 and 25 have a higher insurance cost than older people because they are more prone to accidents compared to the elderly.

Car use:

Car use affects the cost of car insurance because the less the car is used, the fewer distances traveled, and the less exposure to accidents or damage, the lower the insurance cost.

Vehicle record:

The vehicle record affects the insurance cost in terms of the number of violations and accidents you may have been exposed to. If the record is free of accidents and violations, the insurance cost will be lower, and vice versa, the more violations or accidents, the higher the insurance cost. The more experienced you are in driving and the more careful you are, the lower the risk exposure.

Type and value of the car:

The type and value of the car affect the insurance cost through quality and manufacturing efficiency. The insurance cost is determined according to the type, model, year of manufacture, specifications, and performance of the car. The newer the car is and the higher its value, the higher the insurance cost is due to the higher cost of repairing or replacing it in the event of an accident. Therefore, insurance companies request a higher cost to cover this value.

Tips for choosing the right classic car insurance

When choosing an insurance policy, it is preferable to read the terms and conditions carefully and understand all the terms of the policy before signing so that you are not surprised later because you may find some companies setting conditions on the use or methods of storing the car, so you must make sure that all the terms suit your needs.

Make sure to choose a reputable and reliable insurance company to get the service you are looking for. By studying the partnership you have chosen and wish to contract with and knowing the opinions of customers when obtaining their services.

Compare the insurance cost prices for more than one company and the services they provide to ensure you get the best value.

Choose the type of coverage you need that is appropriate for your use of the car and its value and by identifying your business risks.

How to maintain a classic car to reduce insurance costs

Reducing the miles you travel and not overestimating the annual miles because some companies offer discounts when traveling a limited number of miles.

Proper storage of the car and protecting it from risks to reduce exposure to damage, accidents, fires, or any damage.

Repeated maintenance to maintain its value and avoid exposure to breakdowns.

What are the best insurance companies in Egypt?

There are many companies that provide classic car insurance services, including Brokerage, the best company that works as an insurance broker to help you choose an insurance policy and get the best offers that suit you from the best insurance companies in Egypt.

Brokerage guarantees that you get the best service and provides you with the best insurance companies in Egypt, such as:

Royal Insurance Company, is one of the first insurance companies as it provides many car insurance services such as accident insurance, family protection insurance, and travel insurance.

AXA Life Insurance Company is a French insurance company operating in many countries and providing a range of insurance services such as medical insurance, life insurance, savings, vehicle insurance, and commercial insurance for small projects.

Orient Insurance Company, a subsidiary of Orient Companies in the United Arab Emirates, provides you with the best insurance solutions.

GIG Insurance Company, ranked first as the best insurance company, provides many technical services at the highest level.

What is the deductible percentage in car insurance?

The deductible percentage in car insurance is a percentage of the compensation value that a person pays in the event of any damage or harm to the car before the company covers the rest of the amount, and this percentage varies based on the terms of the insurance policy.