How To Insure An Old Car

How To Insure An Old Car

You might think that insuring an old car would cost less because its value has depreciated over time. This is true to some extent, although auto insurance policies aren’t solely based on a car’s age or mileage. The truth is, buying insurance for old vehicles shouldn’t be treated differently from buying standard insurance for new vehicles. Regardless of how old your car is, you’d still want to have the right coverage in case you get into an accident.

This begs the question: How can you save on auto insurance without compromising your old car’s protection? Below are some important things to consider. You should note, however, that these factors don’t necessarily apply to classic cars, antiques, and replicas since they all fall under a different type of insurance.

Lowering Auto Insurance Premiums

The biggest concern among owners of old cars is the amount they have to pay for insurance. Of course, no one wants to overpay for a car that has a low market value. Apart from the age and type of your car, your insurance rates may depend on your age, location, marital status, profession, credit score, and, most importantly, driving history.

The better your driving record, the lower your premium will be. Hence, it’s a huge advantage if you have no prior history of causing accidents or committing traffic offenses. On the other hand, you have to pay more if you’re tagged as a ‘high-risk’ driver. This is especially true for SR-22 insurance carriers. Visit this page for a rundown of what you need to know about SR-22 insurance rates.

Lastly, some companies allow you to bundle your auto insurance with your life or home insurance. You can score a multi-policy discount and earn major savings.

How To Insure An Old Car

Mandatory Coverage Versus Optional Coverage

Auto insurance is non-negotiable in nearly all states. Even if your car is old or used, you can’t legally drive if you don’t meet the minimum requirements for liability coverage set by your state. If you cause an accident, you’re legally responsible for all the damages and injuries resulting from it. The age of your car has no bearing if you’re at fault, and you still have to pay for the entire cost of the accident.

Liability insurance only covers damages caused to other parties involved. There are other types of insurance for your own protection, but these are not mandated by state laws. Here are some examples:

  • Collision coverage: pays for the damages to your car as a result of an accident.
  • Comprehension coverage: pays for damages from occurrences other than an accident, such as natural disaster, fire, theft, or vandalism.
  • Personal injury coverage: pays for medical costs to treat health injuries that you and your passengers sustained.

You have to determine whether these coverages will be beneficial for you, given the age and value of your car. If your financial situation allows you to afford repairs or even replacement, you can self-insure and skip these insurances. Otherwise, you can still buy them and just set a limit for your coverage.


Just because your car is old, it doesn’t mean that it no longer needs an insurance policy. In fact, in some states, regardless of the age of the car, an insurance policy is always needed.

With this article, you already have some ideas on how to insure your car. This way, you and your car will be financially protected from anything that can happen on the road.