Classic Commercial Vehicle Insurance Explained

Are you looking for a classic vehicle insurance policy but wondering where to start? We’ve got you covered.

This guide explains everything you need to know about classic vehicle insurance policies – from the eligibility criteria to the different types of coverage you should consider.

Defining Commercial Vehicle Insurance

Commercial vehicle insurance is a specialized insurance that protects vehicles used for business operations.

Based on the terms of the commercial auto policy you purchase, an insurance company can protect your business vehicles against several risks, like accidents, theft, vandalism, and damage from harsh weather conditions.

For classic vehicles insurance policies cater to the unique needs of the vehicle owners. This includes paying for the hard-to-find replacement parts if your classic or antique vehicle gets damaged in an accident or any other unexpected event.

The type of classic car insurance you qualify for and should get depends on the qualities of your classic truck and how you use it.

Qualities of Classic Trucks

The term ‘classic truck’ commonly refers to an old truck that is at least 15 or 20 years old. But there’s more to a classic vehicle than just age. Almost all classic vehicles have the following qualities:

  • Their value increases as they age, according to the vehicle’s make, model, year, design, and physical condition.
  • They participate in car shows, parades, and other exhibitions.
  • Most classic trucks are rare collector vehicles with enough historical interest to make them worth restoring and preserving.

classic vehicle insurance
The Necessity of Specialized Coverage

To most car enthusiasts, classic vehicles are prized possessions that cost a fortune to acquire and restore.

With the ongoing collectible cars investment craze, classic cars command millions of dollars at car auctions. Comprehensive specialized coverage is, therefore, necessary to help classic car owners protect their investments.

What Does Classic Truck Insurance Cover?

Classic car insurance policies typically offer the same coverage as regular auto insurance policies, plus more options specific to classic and exotic cars.

Some of the usual insurance coverage to expect include:

  • Medical payments and personal injury protection to cover the medical expenses of injured accident victims
  • Property damage liability insurance
  • Comprehensive insurance
  • Uninsured and under-insured motorist insurance coverage.

Check out our comprehensive guide on commercial vehicle insurance to learn more about what commercial insurance policies for regular-use vehicles cover.

In addition, there are a few policy provisions specific to collector cars you ought to consider:

Spare Parts Coverage

spare parts coverage
Because classic trucks are rare, finding spare parts for repairs after an accident is often challenging and expensive. Be keen to purchase adequate spare parts coverage to help you access original spare parts without breaking the bank.

Towing Coverage

Towing coverage can be helpful when transporting your collectible car over long distances for auto shows and other occasions.

Worldwide Coverage

This collector car insurance cover protects your vehicle when operating out of the U.S. It’s helpful if you plan to take your classic truck to shows and events abroad.

Auto Show Medical Cover

Auto show medical covers you if someone gets injured at a car show or other events your collector vehicle participates in.

Specialized Care Coverage

You can also get specialized care to have your classic truck worked on by mechanics specialized in your specific type of collector car.

Agreed Value Coverage

Agreed value coverage guarantees maximum compensation for your classic car’s value if it gets damaged beyond repair after an accident. ‘Agreed value’, in this case, refers to the amount you and your insurance company decided the classic truck was worth when you took the classic car insurance policy.

Determining Eligibility for Classic Car Insurance

Usually, an insurance company will look at the body type of your collector truck, its year, make, model, and engine size to determine its eligibility for collector car insurance. The company will also assess your classic truck’s condition and perform a car valuation to determine its value.

Besides this, you’ll have to meet the following requirements to qualify for classic car insurance:

  • Have a clean driving record
  • No more than one at-fault accident within the previous three years
  • Own another vehicle for your daily use
  • Don’t use the classic car for racing
  • Store your collector car in a fully closed or climate-controlled garage
  • Be at least 25 years old

Determining Eligibility for Classic Car Insurance
Limits on Classic Truck Usage

Once you qualify and purchase your collector truck insurance, there are a few guidelines you’ll need to follow for the policy to remain valid. Some of these include the limits on your classic truck usage. The limits vary from one classic truck insurer to another, but most of them specify that:

  • You shouldn’t use your collector car for typical daily driving, like commuting to work or running errands.
  • Off-road driving is off-limits to the point some insurance providers might decide not to insure your vehicle if they suspect you’ve modified your classic truck for off-road usage.
  • Other insurers allow flexible usage, including hauling and towing in certain situations. It’s best to check with your potential insurer what your usage limits are before purchasing your classic auto policy.

Tips for Securing Classic Truck Insurance

Here are a few tips for securing the best classic truck insurance affordably:

  • Evaluate your classic truck usage. Understanding how you’ll use your truck will help you choose the coverage you need. If you plan to use it occasionally, consider getting flexible mileage options.
  • Provide as much detail as you can during vehicle valuation to promote accuracy. Include any modification and all restoration work to ensure you agree on an accurate value for your classic truck.
  • Check if you qualify for multiline discounts to lower your premiums. You likely qualify for these discounts if you use one insurance provider and can combine different types of insurance into a bundle.

Final Thoughts

Remember, insurance coverage for classic vehicles differs from regular commercial vehicle insurance. You want to get adequate coverage that is broad and flexible enough to match how you use your classic truck.

To find the perfect classic truck insurance policy, research top providers and compare quotes from each firm. You can also work with some of the best commercial truck insurance brokers to determine the best and most affordable coverage for your classic truck.

We’ve also prepared several detailed guides about commercial vehicle insurance and financing to help you choose the best insurance policies for your needs. Check out our blog to learn more.

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