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| | How to get cheap car insurance
for older or classic cars
From
a Toyota 800 Sport to a 2000 GT, no matter which vehicle you own you’re sure to
have something in common with your fellow Toyota drivers – you’ll want
cheap car insurance.
Though
car insurance is a legal necessity nobody wants to pay over the odds for it –
but is it possible to get the level of cover you need without paying an inflated
premium? Here we look at car insurance for older and classic Toyotas and how to
save money.
Is
insuring an older Toyota different from insuring a new Toyota?
The theory behind car insurance is the same whether you’re driving a classic
Toyota Crown or a modern Toyota Prius – policies are designed to help drivers
cover the cost of accident related injuries and damages dependent on the level
of cover they choose.
However, where insuring a classic car differs from more modern vehicles is how
insurance companies assess premiums. Whereas all car insurance providers take
into account the vehicle itself when determining premiums – generally older cars
receive lower quotes because they would cost less to replace or repair in the
event of a write-off or theft – with classic cars there is a slightly different
criteria because the vehicles may have higher values and they may also be kept
in better condition. Parts can be more difficult to replace/repair too, and in
some cases a specialist repairer may be needed which is why some conventional
insurance companies may not insure classic vehicles at all. Those that do, tend
to divide cars into different categories which are then used to assess their
values, risks and premiums.
These categories include veterans (vehicles manufactured up to December 1904);
Edwardian (vehicles manufactured from Jan 1905-Dec 1918); and vintage vehicles
manufactured from December 1918-1933. However, as Toyota was only founded in
1933 its vehicles are either categorised as classics (manufactured pre-1974); or
cherished (collectible or rare cars that are five- to 10 years old).
So where can you get a good deal on car insurance for an older Toyota?
No matter how old your Toyota may be your first stop for cheap car insurance
should be the internet as a host of providers offer discounts to customers that
buy online thanks to the savings they make on overheads. Comparison websites
have the ability to compare more than 100 insurers with a single search, which
not only gives you an overview of the quotes available but also saves you time
when shopping around.
When insuring a classic car it’s particularly important to look beyond price
alone and also consider what you’re getting for your money. There are many
specialist classic car insurers that offer unique features designed for owners
of older cars and you may decide it’s worth paying a little extra to have the
peace of mind this additional cover can provide. Some of the features designed
for classic car owners include:
- Agreed/increasing valuations: If your classic car were written-off or
stolen most conventional insurers would rely on a market assessment of its value
when determining a payout, which could leave you short-changed depending on the
market’s fluctuations. As a result many classic car insurers offer agreed
valuations so you know in advance that you will receive a fixed payout if the
worst happens; and some even offer increasing valuations that take into account
the fact that many classic cars increase in value year on year (as opposed to
most modern cars that depreciate in value). It’s important to ensure that this
valuation is guaranteed.
- Laid-up insurance: If your Toyota is a project rather than a working
vehicle, some basic policies are available that protect the car from theft and
mishaps.
- Rally/track cover: Drivers planning to showcase their Toyota in a
rally, hill climb or other event should look for specific cover.
- Wedding/hire cover: Some specialist insurers will even cover classic
cars while they are rented out, such as for weddings and other special events.
How do you save money on car insurance for an older or classic Toyota?
In addition to shopping around to ensure you’re getting value for money, the key
to lowering car insurance premiums for any car – old or new – is to lower your
perceived risk of making a claim.
Some specialist car insurance providers offer incentives designed for classic
car drivers. For example, many will ask you to agree to a mileage cap – clearly
the fewer miles you drive the less likely you are to be involved in an accident.
This can be ideal for classic car drivers that only use the car on special
occasions. Another incentive is owners’ club discounts, which reflect the fact
that members of owners’ or manufacturers’ clubs often take extra care of their
vehicles.
In addition, some multi-car policies are available from select car insurance
providers that offer discounts if you insure more than one vehicle with the same
company – these can be well-suited to those using their classic car as a
secondary vehicle.
There are many other ways to potentially save money on car insurance including:
- Advanced driving courses: Some insurers offer discounts if you complete
advanced driving courses.
- Enhance security: Modern car alarms, immobilisers and tracking devices
often earn discounts from insurers, as can parking your car in a garage
overnight.
- Pay upfront: Monthly interest charges can be avoided by paying premiums
annually.
- Voluntary excess: Most insurers include an excess on their policies –
an amount you must pay towards a claim. This is often divided into a compulsory
excess set by the insurer and a voluntary excess, an additional amount you can
agree to pay, when taking the policy out, in case a claim is necessary.
Increasing the excess generally lowers premiums although you should only set it
at a level you can comfortably afford.
Advice
courtesy of and many thanks to our site supporter GoCompare.com January 2010.
  
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