Classic and antique car insurance
Agreed value is the whole reason these policies exist.
A standard auto policy pays actual cash value after a total loss — depreciated market value. For a restored or appreciating vehicle that's the wrong basis entirely, and it's why specialist classic policies exist.
The terms "classic", "antique", and "collector" are used somewhat interchangeably in the market; what matters is the policy structure rather than the label.
Agreed value versus actual cash value
Under an agreed value policy, you and the insurer settle on the vehicle's value when the policy is written, usually supported by an appraisal or documentation. If it's a total loss, that's what's paid.
Under a standard policy you'd receive depreciated market value — which for a car you spent years restoring bears no relation to what you put into it.
What you give up
Agreed value comes with conditions, and they're real restrictions rather than formalities.
- Mileage limits, sometimes quite low
- Restrictions on use — pleasure and shows rather than commuting
- Secure, enclosed storage requirements
- Minimum driver age or experience requirements
- Sometimes a requirement that you own another vehicle for daily use
Documentation sets the value
- A professional appraisal, refreshed periodically
- Photographs of the vehicle inside and out
- Receipts for restoration work and parts
- Provenance and history documentation
- Records of any awards or recognition
Revisit the agreed value
Classic vehicles can appreciate, and an agreed value set five years ago may now be well below what the car is worth. Insurers generally allow the figure to be revisited with updated documentation.
It's the single most common gap on these policies, because nobody thinks to revisit a number they already agreed.
Common questions
The terms are used somewhat interchangeably and definitions vary by insurer and by state registration rules. What matters more is whether the policy is agreed value and what usage restrictions apply.
Generally not under a classic policy. Usage restrictions and mileage limits are how these policies are priced, and breaching them can affect a claim.
By agreement between you and the insurer, usually supported by an appraisal and documentation. Revisit it periodically — values change and the agreed figure doesn't update itself.
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This page is general information, not advice about your specific circumstances. A licensed insurance professional can tell you what’s actually available to you.
General information only, not insurance advice. Coverage, availability, and terms vary by insurer and by state, and are subject to underwriting. Quote My Policy LLC is a licensed insurance producer. Nothing here binds coverage.