Did your car cost more than your education? If it were a human being, would it be looking at retirement? Do you enjoy showing it off in classic and antique parades and shows?
If you answered "yes" to these questions, you may have a classic car. In many ways, classic car insurance works the same way as insurance for normal cars: You pay a premium and the company pays for damage to your car or to a car caused by your collector car. Classic car insurance does have some special rules, though, mostly regarding the car's value.
One major difference in collector car insurance or antique car insurance is the value of the car. While the Kelley Blue Book® may work for your five-year-old Toyota®, it doesn't apply to an antique car. An insurance policy for these cars requires using specialized resources to determine the value of the car--a value that's continually changing as you restore the vehicle.
The value of a classic car can make it potentially expensive to insure. One way to mitigate this cost is to limit how you drive your collector car; some insurance companies offer lower premiums if you restrict your car's annual mileage or only drive your car under certain circumstances. You may also have to follow storage requirements or prove that you aren't using the vehicle for normal, everyday driving.
Not every insurance agent is familiar with classic car insurance, and not all insurance companies will issue antique car policies. To get insurance for your classic car, you might need to find a specialty insurance company specializing in antique cars, or get a classic or collector car insurance policy from your regular insurer.
Some antique car insurance policies place many usage restrictions--for example--not permitting you to drive in races or requiring that you have another primary vehicle. If a policy on your classic car forbids your favorite activities with your "baby," it's time to check with competing insurers.