Insurance 101 for Classic Cars, Antique Autos and Vintage Vehicles

By Allen Nolan

No question about it, vintage autos have a giant fan base. But while auto insurance for antique vehicles only covers part of the car's worth, it is better than having nothing, in case of theft or damage. These vintage vehicles are a delight for many individuals, saving some of our automotive past in the process.

The worth of classic autos increases (not decreases) with each passing year. This is in direct contrast to newer cars, which diminish in value every year. It is fairly tricky to precisely determine the market value of a vintage auto for insurance coverage.

Making matters worse, there aren't very many antique auto insurance providers that are available either. These classic "works of art" are sought-after by collectors who are at times willing to pay a great deal more than their true value.

Calculating Ordinary Car Insurance 101

In the case of an everyday car that isn't old enough to be considered an antique (usually 20 years), the monetary value of the car is determined by taking the original cost then taking a depreciation for each year from that monetary amount. Of course, this presumes no major incidents, etc.

For classic automobiles, though, it's a tricky situation. The price simply cannot be determined using common methods. Especially since the monetary value of a antique auto grows over time, not decreases.

Computing Classic Automobile Insurance 102

There are three main methods for computing the price, insurance-wise, for an vintage automobile.

The First Method: The monetary value is jointly agreed upon between the insurer and the owner. This tends to yield a higher coverage amount than other methods.

Method 2: The antique's worth is calculated based on the existing amounts for similar autos as listed in respected vintage automobile magazines and price indexes that are in vogue. In some situations, an independent assessor might be contacted to help determine the price of the automobile.

Method 3: A lesser-used means is to determine the worth of the vehicle as the total of the initial cost plus the many enhancements and amount spent on repairs and such over the years. In other words, the worth of the auto is the amount calculated after deducting the depreciation with age from the initial cost of the vehicle, then adding back in the restoration and upgrades.

Insuring Your Classic Automobile

Summing to all up, antique auto insurance providers have a set of rules they use to determine the insurable amount of the vintage vehicle. For example, these insurance providers usually require that the automobile being insured must not be used as a regular means of transportation. The insurer may also insist that the vehicle be kept in a garage.

Further requirements may include that the antique auto cannot be used for racing, and proof that other household members have access to other means of transportation. And finally, the owner has to have a spick and span driving record, to boot.

Whether you call them vintage vehicles, classic cars or antique autos, they are a slice of automotive history...albeit a slice that has to be insured!

Is Your Vehicle Too Young to Be Vintage? Don't Worry, Here's FREE Insurance Information! - 23211

About the Author:

You might not own a classic, but everyday cars need auto insurance, too. Here's some totally free information on finding affordable auto insurance, no matter where you live.

Calculating Insurance Premiums, what do I need to know?

By Graham McKenzie

Insurance is a tedious subject that means a lot of different things to different people. What does insurance mean to you? Insurance is very tough to calculate, so tough in fact, that insurance agencies hire large staffs whose only responsibility is to calculate insurance premiums.

For instance, car insurance is one of the plainer and simple types of insurance you can calculate. It comes down to two major factors. First off, what is your driving experience and secondly, what is your driving history like? If both these questions come back solid, you are in for a cheap premium. Driving experience can only grow with age, so if you are just starting out, unfortunately you have no option but a high premium.

The history is also factored into the equation. Accidents are generally not treated kindly in the insurance industry, especially if it was your fault. One small mistake in a vehicle and you may face years of inflated insurance premiums. It may not be fair in your opinion, but the car insurance company views accidents and those involved in them as "high risk."

It is your legal duty to report to insurance agencies any change in your driving status or if you are involved in an accident. When you sign up for car insurance, you sign a contract with the provider, promising to stay honest. People must also report stolen vehicles to the insurance provider as soon as possible. Stay honest with your provider and they will greatly appreciate it.

Understandably, drivers who are busted for driving under the influence of alcohol or drugs are immediately arrested and their license revoked. This could range from one to five years. It often depends on the driver's past record and if he or she is a repeat drug user. When and if the driver is allowed to drive again he or she will find outrageous premiums, and rightly so.

If you respect he road and drive defensively, your premium will reflect that. When it comes time to renew a comprehensive car insurance policy, the driver can have some sway over their premium. For example, the driver can take advantage of their "no claims" bonus, reducing the premium by a percentage. The percentage increase every year the driver avoids a major offense or accident.

Unfortunately, if you are in an accident, and especially if you're the one at fault ? you car insurance is going to go up. It's just the way of the game. That is why some people wish not to mention the accident to the insurance provider. The downside is the driver pays for the repair damages, but the positive of the situation is the driver's car insurance does not revoke its "no claims" bonus at the end of the year.

Wouldn't you like to save money? Of course you would, who could turn that offer down? So stop driving with reckless abandon, shape up, and earn a cheaper premium as the years progress. - 23211

About the Author:

Graham McKenzie is the content Syndication Manager at Insurance123.co.za South Africans leading car insurance information portal

Insurance South Africa

By Tom Martens

In South Africa, the purchase of insurance cover is often the choice of the consumer. And, given the choice, many South Africans opt not to purchase insurance cover " a decision that can be financially devastating.

We can learn a lot from financial institutions in regard to the importance of insurance.. Banks will very often require car insurance before approving your auto loan. Banks also require homeowners insurance and sometimes life insurance before approving a home loan. Doing so protects the bank from financial losses in the event your property is lost, stolen or damaged or in the event of your death. You are also protected since insurance cover will provide you the means to pay the bank under these circumstances.

Knowing this, doesnt it make sense to protect yourself without the bank requiring you to do it? If youve made the choice not to insure your property, or yourself, take a moment to review the most common types of insurance and their benefits.

For most of the South Africans life insurance is most underused tool. Many of us know that with life insurance is generally linked and done to pay off some specific debts such as home loans. But instead it has got a lot more than just paying off our old debt. With a good life insurance policy we can make sure that even in our absence our family dont need to compromise on its lifestyle. The correct policy for your family ensures peace of mind to you and your loved ones.

As a leader in providing excellent life and medical insurance for people suffering from HIV/AIDS, South Africa is now one of only 2 countries in the world where HIV/AIDS patience can purchase medical coverage through there insurance company, thanks to the escalating success rate of the treatment of this particular disease.

When it comes to car insurance, South Africa does not require divers to purchase car insurance to drive, and approximately 65 percent of auto owners do not have any coverage. But one hard look at the risks you take when you drive will convince a responsible driver of the necessity of car insurance cover. Accidents, hijackings and thefts occur every day. If you cannot afford to pay out of your own pocket to repair or replace damaged property, medical expenses or property damage caused by theft or fire, you should have car insurance. A Comprehensive Cover policy will protect you in all of these situations.

For Home owners, you are most likely to have the homeowners insurance cover. But, if you lease, consider renters insurance which protects your belongings in case of theft, fire and other property damage. You can also add voluntary excess amounts and security devices to lower your premiums for these policies. For Homeowners, whatever the case, do not include the value of your land during estimation of your homes value. The land will still be there no matter what happens to your home.

At first glance, insurance may seem like an unnecessary expense. But imagine having to pay to replace your car or someone elses after an accident. Or, imagine your family struggling to make ends meet if you die unexpectedly. Situations like these happen everyday, but they dont have to happen to you or your family. Start shopping today for the insurance cover you need to protect you and your family.

Shouldn't you do this to protect yourself, whether your bank says you have to or not? If you don't carry insurance on yourself or your property, you should really take the time to look at these kinds of insurance, and why everyone else has them. - 23211

About the Author:

Tom Martens is the syndication coordinator Insurance-south-africa.co.za. South Aricas leading Insurance information portal.

Learn Things You Need To Understand Concerning Car Insurance

By Susan Reynolds

Most parents never teach their children the things they need to know about car insurance. When their child begins to drive, they simply add him to their automobile policy. Then when the day comes for him to purchase his own insurance policy, it's easier for him to use the same company they do. After searching the internet, people are beginning to learn how important it is to know everything they can about automobile insurance. They can find ways to obtain better coverage and still save a considerable amount on their insurance.

The majority of the people with insurance could afford to have a $500 deductible which would lower their insurance considerably. The wise thing to do is take what you save with the higher deductible, and purchase more liability insurance in case someone sues you in the future. Be sure to set $500 aside in a savings account so it will be immediately available in case you need it.

If you already have health insurance coverage for yourself and your family that would cover you in case of an accident, there is another way that you can save on the insurance for your car. Drop the personal injury protection insurance. There is no need to pay twice for the same insurance coverage.

When you purchase automobile insurance, look closely at what it says about your liability coverage. If it mentions $300,000 total coverage per accident, but only $100,000 per person, have the agent change that. It is better to have $300,000 per person and $300,000 total per accident in case one person is hurt badly.

Have you ever heard of an umbrella insurance policy? They start at around $200 to $300 a year, but they cover your car and your house for up to $1 million. If you already have homeowner's insurance, or if you have been thinking about purchasing it, then the umbrella policy may save you a considerable amount of money by combining both policies.

Have you ever considered the importance of having insurance that includes the cost of a rental car in case of an accident? You never know how long it will take to get your car running and back on the road after an accident. You can run up several hundred dollars if you have to rent a car while you wait for your other one to get fixed.

Be wise and find out everything you possibly can about car insurance. Keep searching until you are confident that you have learned all that you can. Once you know what you want and you are prepared to find the best deal available, start getting quotes from different companies. - 23211

About the Author:

Do you want to know more about Car Insurance and how to find your quote? You can find out more information about Car Insurance quotes on the Internet or through this Information.

Why Car Insurance Is a MUST!

By Graham McKenzie

The second largest purchase that most people will make in their lifetime is the purchase of a new vehicle. This falls directly behind purchasing and wning a house. The main difference is that statistics show that whilst people might change their house two or three times in a lifetime, the same owner will change vehicles at least ten times if not closer to twenty.

The law requires that every car on the road is insured. Basic insurance or compulsory insurance only covers any other cars for damage and repairs in an accident that is defined as your fault. If your car is also damaged, the costs will come out of your own pocket.

Most people who have owned a car at one time or another are well aware of the minor details surrounding car insurance, which doesn't hold true for first time car owners.

When accidents do occur, they are often deadly and tragic. The vehicles are usually demolished and totaled, and if fixable, they will cost a lot of money!

Of course you do not. But people will refer to you as stupid if you go out, are involved in an accident, and now have no means to cover the damages. Now you are walking or biking to work.

If you have no comprehensive insurance when such a calamity does strike, you are left out in the cold to fend for yourself.

Insurance premiums are calculated on an annual basis, and should run at around 6% of the replacement value of your car.

For someone like you who is buying their first car and contemplating the fact that their comprehensive car insurance policy seems like a lot of money, then it's important to realize that you have no choice. Insurance providers look at the value of the car as well as the age and experience to calculate insurance premiums.

Comprehensive car insurance will cover anything from accidents where you are at fault, to accidents where no one but yourself was involved, or cases of theft. It's very important to cover yourself from damages incurred via theft.

Not taking out comprehensive insurance is a disaster waiting to happen. If you really have any wits, you will understand the small annual insurance premium is well worth the expense. - 23211

About the Author:

Graham McKenzie is the content Syndication Manager at Insurance123.co.za South Africans leading car insurance information portal