Agreed value

A big difference between a collector car and a regular vehicle is the insurance value of the vehicle. Most insurers of daily driver vehicles offer Actual Cash Value policies, which is what an insurance adjuster says your car is worth, usually based on used car values — not the enthusiast car market. Classic car insurance on the other hand, helps ensure you'll be compensated for the true cost to repair or replace your collector vehicle.

For example, if a fully restored 1966 Shelby Cobra 427 roadster is in an accident or stolen, a standard insurance appraiser can't easily pull estimates of comparable cars from a website and give you a fair value of the vehicle or cost for the necessary repairs.

A classic car insurer works with the vehicle's owner to assign the vehicle an "agreed value" at the time of writing the policy. That number may take into consideration current market value, condition and improvements and cost of replacement and special-order parts. This is usually a much higher valuation than a traditional auto insurer would give the car based on age and mileage alone.

Usage restrictions

The more your classic car is on the road, the greater the chance there is of it being in an expensive accident.

Be sure to ask about usage options for your coverage. Some classic car policies have strict mileage limitations and coverage for certain types of driving, while others are more flexible. So, you may not be able to use the vehicle for daily commuting.

Safe storage

Although storage requirements vary by company and location, we suggest keeping your vehicle properly stored so your ride stays in top shape.

Vehicle condition

If you're restoring a "project car," you may be able to add an endorsement to your classic car policy to help protect both the car and your tools.

Type and age of vehicle

Classic and collector cars vary. What makes a classic different than a regular vehicle is the type and age of it. A car is considered a classic when it is 25-30 years old. A collector is a vehicle that is not a daily driver, and maintains or appreciates in value.