General discussions related to cars and driving
  • User avatar
  • User avatar
  • User avatar
By maddog2020
Ran across this and thought it would be good to share. ... insurance/

Niche Companies vs. General Insurance Companies
In the classic car world, there are insurance companies that deal only in providing coverage for classic cars. At the same time, traditional insurance companies such as Allstate or StateFarm also sell insurance products for classic cars. The question is: Which type of company should you choose?

Niche Companies
One of the perks of purchasing classic car insurance is their familiarity and expertise in the classic car world. Because this is the only type of insurance these companies sell, they are incredibly knowledgeable about all things classic cars.

These companies have experts that know how to determine the value of your classic car. Because of their familiarity with classic cars, these companies also include features on their policy that appeal to classic car owners.

One of these features is guaranteed flatbed towing. If your classic car breaks down, you will generally prefer it to be hauled on a flatbed rather than towed behind a truck. These niche providers understand that you will treat this vehicle differently than you would treat your regular vehicle.

One other option that most niche providers offer is restoration coverage. This coverage allows you to upgrade your coverage once your restoration project is complete. This coverage also can be applied to the tools and equipment you use while restoring your vehicle.

Finally, many niche companies have a claims department that handles claims within their company. This is a benefit to their policyholders because their claims handlers know the unique circumstances and challenges that arise with a classic car claim. This also makes the claims process more smooth and efficient than with many traditional insurance companies.

Traditional Insurance Companies
For some classic car owners, adding their classic car to their current insurance policy is a good option to get great coverage and save money. Often you can bundle your classic car with other policies that you already have with that company and receive a discount on your premiums.

Working with a traditional insurance company may also be the option you wish to pursue if you plan on using your classic car as an everyday use vehicle. While niche companies place limits on the use of your classic car, some traditional companies such as Safeco will insure your car and allow you to drive it up to 10,000 miles per year.

The one big drawback to working with traditional insurance companies provide less “perks” like guaranteed flatbed towing or restoration coverage than niche companies. Your insurance agent will explain to you the pros and cons of the various insurance companies they use to write classic car insurance.

Hagerty Insurance Company
While multiple companies insure classic cars, one of the most well-known companies is Hagerty. This is the primary company that Baily Insurance uses to write insurance for classic cars.

Hagerty is a niche company that specializes in insuring vintage vehicles and a few industries directly involved with classic cars like classic car museums. Usually, Hagerty’s product and pricing are unbeatable.

One benefit of being insured by Hagerty is that they do not limit the number of miles that you can drive your classic car each year. Hagerty also does not limit their customers to driving their cars only to car shows or in parades. They know that most classic car owners enjoy taking their car out for an afternoon spin every now and then.

Hagerty also has a drivers club that offers events to classic car owners. They also guarantee flatbed towing with soft straps, batter jumps, lockouts and more. In addition to these benefits, their drivers club produces a magazine for their valued customers.

One last feature of working with Hagerty is that they will help you track down replacement parts for your classic car. They maintain an extensive list of resources for hard to fine parts.

At Baily Insurance, we write most of classic car insurance policies through Hagerty because of their expertise in the classic car industry. Their premium rates are incredibly competitive in this market and are hard to beat! Hagerty is also very responsive to our clients. Overall, they do an outstanding job!

Safeco Insurance
The other company that we use to write classic car insurance is Safeco Insurance. Safeco allows its clients to drive their classic car up to 5,000 miles per year. They also require that the car be kept in an enclosed locked garage or storage facility.

Safeco offers discounts if your vehicle has anti-theft devices, is stored for the winter, or is used only on weekends or holidays. They also offer discounts to their clients who take an accident prevention course or have more than one classic car on the policy.

With Safeco, you have the choice of two types of policies – one for cars driven up to 10,000 miles each year and the other for cars driven under 5,000 miles each year.

Finally, you can build your policy with Safeco and decide which features you want to include in your policy. They have options for pet coverage, personal coverage, and roadside assistance with the option for extra coverage if you have an emergency far from home. By choosing which features you want, you will have more control over your premium costs.

Other Classic Car Insurance Companies
While we write our classic car insurance with these two companies, there are other reputable companies that provide coverage for these vehicles.

Here are other classic car insurance providers:


Allstate is a traditional insurance company that offers insurance for classic cars. Allstate has no mileage restrictions, insures the value of your car, and allows you to choose where to have your car repaired.

American Family Insurance

American Family will insure cars that are at least 20 years old through their classic car insurance product. They also offer coverage for newer vehicles that are of “special automotive significance.” Their insurance does not cap the number of miles you can use your vehicle each year and also offers flatbed towing. American Family is a traditional insurance company.

American Modern

American Modern classic car insurance is a specialty insurance company that insures specialty vehicles including cars, tractors, motorcycles, and boats along with residential insurance. This company has plans that include unlimited mileage, spare part replacement, and trip interruption coverage if your car breaks down more than 50 miles from home. This company has a variety of ways you can receive discounts on your insurance.

American National

American National is a traditional insurance company that offers discounts on your classic car insurance if you have other policies with their company. This company insures the value of your car, has a limit on the number of miles you can use your car each year, covers your spare parts, and allows you to choose where to have your vehicle repaired.


Chubb is a national insurance company that offers all kinds of insurance products. Chubb does not limit the number of miles you can drive your vehicle as long as you are using the vehicle for “hobby use” – like going to classic car shows or participating in a classic car club. If your car is in an accident, you are also able to retain your salvaged car as part of your settlement.

Erie Insurance

Erie Insurance, another traditional insurance company, will cover cars that are at least 10 years old under a classic car policy as long as the car is rare or has historical interest. Erie offers a discount for vehicles that are driven 500 miles or less each year.


Farmers classic car insurance has a few interesting features. This insurance provider has a clause in their policies that guarantees coverage if you are not with your vehicle when it is damaged and also makes provisions if you plan on taking your classic car abroad. This company insures the value of your classic car and covers replacement parts. Farmers is a traditional insurance company.


Geico insures your classic car based on the agreed-upon value that you have determined with their company. Geico requires that your vehicle be stored in a locked garage or facility and only be used for exhibitions, club activities, and occasional pleasure rides.


Grundy specializes in insurance for all kinds of classic vehicles – cars, motorcycles, and boats. Grundy gives unlimited mileage as part of their insurance package but does not allow their customers to use their classic car as an everyday vehicle. They also expect your vehicle to be stored in an enclosed, secure garage. Grundy provides trip interruption up to $600.

The Hartford

The Hartford is a traditional insurance company that also offers classic car coverage. They require that your classic car be a “spare” and not operated as your daily use vehicle. They offer flatbed towing with cloth straps to protect your classic vehicle. The Hartford also offers a number of discounts on their classic car insurance.

Liberty Mutual

Liberty Mutual is a national insurance company that offers classic car insurance in addition to its commercial and personal insurance lines. They insure based on the agreed-upon value of your vehicle. To learn more about their product, you would need to contact one of their local agents.


Progressive insurance partners with Hagerty to provide coverage for classic car owners. They offer coverage for replacement of original parts, discounts for multiple vehicles on the policy, and flexibility in how you use your classic car.

State Farm

State Farm is another national insurance company that provides coverage for classic cars. State Farm requires that you limit the use of your classic vehicle and store it in a locked garage. State Farm will insure cars that have been fully restored or have been maintained and preserved in their original condition. They will also insure cars undergoing the restoration process.


USAA gives its customers a choice in the amount of mileage they plan on using their vehicles. Their clients can choose from a 2,500-mile, 5,000-mile, or 7,500-mile plan. Vehicles insured by USAA must be kept in a locked facility and driven on a limited basis. USAA is a traditional insurance company.
By Cuda911
I use American Collectors for my older stuff. Don't see it in the lists above. It is an affiliate of USAA. I think the last item in the article is mixing USAA and American Collectors together.
Formula 1 2020 And Beyond

While we're under red flag conditions, I've been m[…]

The 928 Photo Thread

thanks Dave, so all got the bracket… That i[…]

my #3 restoration thread

finally got around to removing the coolant bridge,[…]

What is XR4Tim Working On?

Doing a ton of work on this E92 M3. All of the su[…]