How to Insure Collectible and Vintage Cars

Posted on Dec 9th 2009, 03:38 pm, under Are You Covered?

Just what makes a car a "classic" or "collectible"? These days, it's hard to say, since tastes are becoming so inclusive. Cars labeled "antique" still qualify, naturally. But now people have started collecting other vehicle types, such muscle cars, sports cars, seventies-era cars, and even newer sports cars. 

Whatever your individual preferences, when you're the proud owner of a vintage or collectible car, you’ll need protection for your prized possession. However, regular insurance just won't do for special cars. This is where classic car insurance firms come in. Standard auto insurance companies don't offer the same services that classic car insurers provide, and if you opt for a conventional insurance plan, you'll probably end up paying a higher premium, sometimes up to 500 percent more than a specialized plan!

Here's how you insure a collectible car:

1. First off, you must get a good estimate of your car's value. In most cases, the person who knows this best will be its owner, namely you. Check the market price for your vehicle, and take into account the money you've spent on restoring your car or adding features. You should know the prices of all the options installed, as well as the cost of replacing or repairing these. This is because you want to insure your car for its stated value. Stated value is your personal estimate of its worth, not one provided by an insurance company.

2. Next, find a firm that specializes in insuring classic or collectible cars. Some of the best known US providers include Hagerty Classic Insurance, Grundy Worldwide Insurance, and J.C. Taylor. A full list is available here. 

3.  Make sure you own a "daily driving" vehicle for your everyday use. If you use your vintage car for your daily commute, you might not be eligible for specialized insurance. 

4. Consider the added limitations that classic car insurance plans may impose. You may not use your vintage car for commercial transportation of passengers or goods, or for racing. In addition, some plans have mileage restrictions on your vintage car (often 2,500 miles or less per year).

5. Get several quotes for comparison. Ask these classic car insurers about their features and policies. Prepare all of your vehicle's relevant information before you ask for quotes. If you're getting wondering how much your insurance deductible should be, check out our article on the topic. 

Negotiating Your Insurance Claim Successfully

Posted on Dec 9th 2009, 03:35 pm, under Are You Covered?

Being in an accident is never pleasant, and all too often, neither is dealing with your auto insurance provider. We already gave you advice on how to handle your insurance affairs without the services of a lawyer. Now, let's talk about negotiation. Exactly how do you make your claim when an insurance claims adjuster is sitting in front of you? Here's what you need to know:

1. Never start negotiations without the information you need to support your claim. Get your facts straight, and collect the necessary documentation to back them up. The insurance claims adjuster will want to see copies of the documents you are referring to. Show your insurance company that you're serious about your position and that you came prepared to defend it.

2. In addition to evidence and documentation, come with an idea of how much compensation you'd settle for. Before you negotiate, do research on how much it would take to repair your vehicle with decent working parts (and not used pieces).

3. Medical bills will probably make up the biggest portion of your claim. In addition to your previous medical bills, you need to provide proof of future health expenses. Ask your doctor to write you a formal description of your injuries and what other medication and procedures you may still need.

In negotiating for compensation, you should include an amount for the pain and suffering caused by the accident and injuries. Typically, this is around three times your medical bills. This is another reason why you need to keep all the documents from your health-related issues.

4. Don't be intimidated. This is very important. The insurance adjuster will probably try to rattle you by comparing your case to the countless others they've settled, using these to imply that the damages you're asking for are excessive and unreasonable. You mustn't let this affect your argument.

5. Don't settle for a low compensation amount. Firmly state that you are not there to talk about previous cases he or she may have settled, and that you want to discuss your accident and personal injuries. Your case should not be compared to others, so stick to your position.

6. In your discussion, you should talk about compensation for the days you took off from work while recuperating. Bring official documents from your company with the amount you want your insurance provider to reimburse. If you were paid using your days off, such as vacation time or sick leave, you should still ask for compensation. 

How to Get Auto Insurance Without A Car

Posted on Dec 2nd 2009, 04:07 pm, under Auto Insurance 101

Automobile insurance is required for almost everyone who intends to drive a vehicle, whether they actually own one or not. If you're planning to borrow or rent a car, it may already come with its own insurance coverage. However, you should also look into getting personal liability protection for yourself as well, in case you ever get into an accident.

First off, besides a valid driver's license, you need to know how much time you'll be spending driving your borrowed or rented vehicle. Get complete information on the ownership of the vehicle, and whether you are covered by any other person's existing insurance policy.

If you've been assigned a company car that you may use during non-working hours, ask your employer about their policy on auto insurance. You may be asked to carry a minimum level of coverage if you're using a company car.

You'll also need an accurate estimate of the total value of your personal assets. This includes your home, furniture, electronics, and other valuables. Estimate your future income as well. These factors must be taken into consideration when buying liability coverage.

Check online for free auto insurance quotes. If you already have rental or homeowners insurance, ask your insurance agent for an additional quote. If you buy coverage from your current insurance provider, you might be eligible for a multi-policy discount.

Make sure that the quotes you get are for liability coverage only. Since you don't own the vehicle, you don't need to buy insurance against theft, fire, collision, or comprehensive damage. You should also ask your insurance agent about the minimum liability coverage rules for your location, since these differ from state to state.

Lastly, inquire about the costs of insurance based on the value of your assets and your estimated future income. You need to protect yourself and your future income; therefore, it may be wise to buy as much liability coverage as you can afford, because a single accident can result in hundreds of thousands of dollars in damages.