Did you get stunned at a Ford Model T car on the road in the recent past? It is a sight of beauty and pride. Isn’t it? Well, vintage cars are interesting and, more importantly, a pleasure to possess. But unfortunately, vintage cars are becoming scarce, and not more than 3000 cars are present in the country now. Due to this scarcity and demand, the price of such vintage cars is at an alarming high!
So, how do such vintage car owners maintain their standards? There are different principles associated with their maintenance. Interestingly, car insurance is one of the main methods. So, let us understand in detail about vintage car insurance.
What is a vintage car?
A car manufactured between the years 1919 and 1930 is called a vintage car. The supreme authority that manages the rules and regulations concerning old cars is The Vintage and Classic Car Club of India (VCCCI). A car is designated as a vintage car only if it is approved and certified by the VCCCI.
How is a vintage car different from a classic car?
A car manufactured between 1940 and 1970 is called a classic car. And, a classic car has to maintain its features and designs as per the original manufacturer’s specification. However, the value of a vintage car does not depreciate based on the modifications made to the car.
How do insurance companies consider vintage cars?
Insurance companies have separate guidelines concerning old-age cars. Insurers will check for the VCCCI certification and proof of age to proceed with the formalities. Third-party insurance is mandatory in India. However, insurance for own damage and a comprehensive insurance policy to protect your car against fire, theft, weather damages etc., are optional.
A regular car insurance policy is provided based on the car’s Insured Declared Value (IDV). It is the value of the car after accounting for the depreciation.
However, in vintage cars, the insurer will send a special expert team to assess the car and prepare a report on the car’s valuation based on the availability and the cost of spare parts.
What are the factors considered for the car insurance premium?
Insurance for a car is based on the premium amount. It is based on some of the below mentioned important factors:
- The current value of your car: The vintage car insurance quotes are based on the exclusive IDV calculated on your vintage car. It is determined differently compared to a regular car. Therefore, it is important to get into a mutual agreement between the expert team from the insurance company to fix the value. Mutual consent is vital as the insurer ensures to pay the sum assured in case of damage to your vintage car.
- Age of the car: The most important aspect of calculating the premium amount is the age of your car. You can prove a vintage car only when you have the original and supportive documents safe for producing it all when demanded. Hence, maintain a record of all the car documents.
- The estimated cost of repair: The insurer will assess your car on the need for frequency of repairs and maintenance activities to be undertaken and their specific costs to determine the premium. Generally, the costs associated with a vintage car is slightly higher due to the demand and availability of spare parts. It requires special mention that certain parts of the car are imported due to lack of availability in some cases.
- Kilometres covered: The number of kilometres driven also account for the calculation of premium, the procedure same as the regular cars.
Car insurance calculator
Insurance companies offer car insurance calculators online to help the car owner assess and calculate the premium amount effortlessly. In addition, the customer support team can help you with any clarification if required. Here are a few benefits:
- It is a cost-effective way to calculate your car premium and the sum assured.
- You can try different possibilities of the policy term and the affordable premium amount based on your steady flow income.
- It is relatively simple and easy to use.
- You can make a financial plan based on the derived premium amount to manage your expenses related to the car.
You can buy car insurance online, know more about the features, and get maximum protection with the TATA AIG car insurance.
Conclusion
Vintage cars always hold a special place in your heart. As a primary responsibility, you have to take the necessary steps to keep the car in the right condition to maintain the standard. Purchasing car insurance is one important step, and we have discussed some of the important factors affecting the vintage car premium. Ensure to hold one and renew car insurance online timely to safeguard your car and reduce your financial burden under unexpected scenarios. If you are proud of possessing a vintage car, ensure to insure it for its betterment!
