Hagerty Classic Car Insurance: Prices & Review 2023

When it comes to car insurance, classic cars have certain needs. However, it can be difficult to navigate the insurance market for a classic or vintage vehicle. Classic cars tend to gain in value, while the value of newer vehicles tends to decrease. To effectively safeguard your car’s worth, invest in collector-specific insurance. Hagerty Insurance is a company that specializes in covering classic and antique cars. When your classic car is totaled, Hagerty Classic Car Insurance will pay you back the same amount you paid for it. Hagerty tailors its policies to meet your individual needs. This article further explains Hagerty classic car insurance prices, policies, and reviews.

What Is Hagerty Classic Car Insurance?: Overview

Hagerty Classic Car Insurance is a specialized insurance provider that focuses on classic and collector cars. Unlike standard auto insurance, which typically covers the market value of a vehicle, Hagerty offers agreed-value coverage tailored to the unique needs of classic car owners. Agreed-value coverage means that both the insurer and the policyholder agree on the car’s value, providing certainty in case of a total loss.

Hagerty understands the passion and investment that classic car enthusiasts have in their vehicles. They offer policies that consider the collectible value of the car, taking into account factors like the vehicle’s rarity, condition, historical significance, and market demand. The company also provides flexible usage options, recognizing that classic cars are often driven differently than regular vehicles, such as for hobby events, exhibitions, or occasional pleasure drives.

Moreover, Hagerty is known for its commitment to the classic car community, organizing events, publishing a well-regarded magazine, and supporting various car-related initiatives. Their expertise and tailored coverage have made them a popular choice among classic car owners who want to protect their prized possessions with insurance that understands the unique value of their vehicles.

What Hagerty Insurance Covers—and How?

It’s not out of the kindness of their hearts that Hagerty and any other classic car insurance company offer such low rates. They earn a profit by minimizing the amount of money they pay out in claims and by keeping as many current clients as possible.

This is accomplished in a variety of ways:

#1. Agreed Value

They stressed the word “agreed.” A 1975 AMC Gremlin is not worth $60,000 just because you decide to call and say so. For Hagerty to know how much to charge for classic car insurance, they employ an army of data scientists and actuaries. Most of the vehicles Hagerty covers are probably worth more than the company has promised to pay out in the event of a total loss, but that’s still a safe bet.

#2. Daily Driver Requirement

You need to prove that you already have a daily driver registered and insured in your name before Hagerty can insure your collector vehicle. This isn’t a huge deal because most classic car owners take extra precautions to keep their rides in pristine condition, but Hagerty will only insure you if you have a secondary vehicle to utilize for daily transportation.

#3. Use Limitations

There are restrictions on what you can do with your Hagerty-registered classic car beyond the requirement that you use it daily as your primary mode of transportation. Hagerty will notify you and have a discussion with you about whether or not historic car insurance is appropriate if you intend to drive your vehicle more than 10,000 miles per year. That’s not to say you won’t be protected if you take your ’66 Chevy Kingswood wagon on a once-in-a-lifetime cross-country jaunt. However, you should let Hagerty know this ahead of time so that if you get into an accident in Albuquerque, they are prepared to settle the claim and you aren’t caught off guard.

#4. Garage Requirements

This one used to be stricter than it is today, but nowadays it only requires proof that you have a garage or other permanent place to store your vehicle. Hagerty is more flexible and will insure vehicles while they are parked in temporary garages or parking lots. However, they worry about theft and weather damage if they cover cars that are parked outside; therefore, they don’t do it.

What Does Hagerty Consider a Classic Car?

Hagerty considers a classic car any vehicle that is 25 years of age or older. This definition encompasses a wide range of vehicles, including vintage cars, trucks, motorcycles, and even some modern classics. However, Hagerty’s expertise extends beyond just classic cars; they also cover other types of collector vehicles such as antique cars (manufactured before 1900), post-war cars (manufactured between 1946 and 1979), and modern classics (typically vehicles from the 1980s and 1990s that have gained collectible status).

Additionally, Hagerty provides coverage for various types of classic and collector cars, including muscle cars, exotics, hot rods, trucks, military vehicles, and more. They understand the unique value and significance that these vehicles hold for enthusiasts and collectors.

Hagerty’s inclusive definition of classic cars reflects their deep appreciation for automotive history and passion for preserving and protecting these vehicles. By offering specialized insurance tailored to the needs of classic car owners, Hagerty ensures that these cherished automobiles are safeguarded for future generations to enjoy.

Hagerty Car Insurance Prices and Rates

Insurance from Hagerty, which insures classic or collector cars, will be different from that of a standard auto insurance policy. The price of your Hagerty car insurance will depend on factors such as your age, the type of vehicle you drive, your location, and the level of coverage you select, just as it will with any other insurance provider. Compared to what the average driver would pay for a standard car insurance policy, prices from Hagerty are about 39% cheaper.

Hagerty has a monthly premium floor of $100 (though this varies per state). Although some states and car types are not subject to Hagerty’s standard $0 deductible, additional options do exist. Online quotes can show you what your deductible choices are. After making a claim, your Hagerty car insurance prices may increase.

Your vehicle’s mileage has no bearing on the price you pay for Hagerty Classic Car Insurance coverage. Limiting the number of miles driven each year helps keep insurance costs down so you can enjoy your classic car. You can save money on your annual rates for various types of insurance by bundling them together.

You may not be able to get car insurance from Hagerty if you have a poor driving record, including citations for these infractions.

Excessive speeding
Irresponsible driving
Alcohol-related offences

Why Is Hagerty Insurance So Cheap?

Hagerty insurance can often be perceived as more affordable for several reasons. First, Hagerty specializes exclusively in classic and collector car insurance. Their focused expertise allows them to tailor their coverage and risk assessment specifically for these vehicles, which often results in lower premiums compared to standard auto insurance policies.

Second, classic cars are generally driven less frequently and are often kept in secure storage, reducing the likelihood of accidents or damage. This lower risk profile leads to lower insurance costs. Additionally, classic car owners tend to be more cautious and responsible drivers, which further reduces the risk for insurance providers.

Also, Hagerty’s agreed-value coverage ensures that in the event of a total loss, the policyholder receives the full agreed-upon value of the car, providing certainty and peace of mind. This approach eliminates disputes about the car’s worth during the claims process, making the insurance process more straightforward and efficient.

Lastly, Hagerty’s dedication to the classic car community and its involvement in various events and initiatives demonstrate its commitment to supporting enthusiasts. This focus on the community often translates into competitive pricing and tailored coverage options, making their insurance offerings attractive and affordable for classic car owners.

What Is the Minimum Value for Hagerty?

Hagerty does not have a specific minimum value requirement for the vehicles it insures. Instead, they assess each classic or collector car individually based on its market value, condition, rarity, and other factors to determine an appropriate coverage plan. While Hagerty specializes in insuring higher-value classic cars, they also provide coverage for vehicles that may not have extremely high values but are still considered collectible or classic.

Whether a car is a restored vintage model, a well-maintained classic, or a modern collectible, Hagerty offers tailored insurance solutions designed to meet the unique needs of each vehicle owner. Hagerty assesses several car attributes to cover a wide variety of antique and collector vehicles without a minimum value.

This approach allows Hagerty to serve a diverse group of classic car enthusiasts, accommodating different budgets and vehicle values within the realm of collectible automobiles. As a result, they can provide insurance options for a broad spectrum of classic and collector cars, making their services accessible to a wide audience of passionate car enthusiasts.

Does Hagerty Have Mileage Limits?

Yes, Hagerty typically imposes mileage limits on the classic and collector cars they insure. These limits are in place because classic cars are often driven less frequently and are considered a hobby or collector’s item rather than a daily mode of transportation. The mileage limits help insurance companies assess the risk associated with the vehicle’s usage.

Hagerty offers different policy options, each with its own mileage limit. For example, they may have policies designed for cars driving 2,500 miles per year, 5,000 miles per year, or more. Policyholders can choose the mileage limit that aligns with their intended use of the vehicle. Exceeding the agreed-upon mileage limit could affect the policy terms and potentially lead to coverage issues.

Classic car owners should estimate their annual mileage and get insurance with a realistic mileage limit for acceptable coverage. Hagerty usually allows limited use for car shows, exhibitions, and other events without affecting the mileage limit. Policyholders must discuss usage and mileage expectations with Hagerty to receive the right classic car insurance.

Hagerty-Denied Claim

Hagerty, like other insurance providers, may deny claims under specific circumstances. A claim denial indicates that the insurance company did not agree to the policyholder’s request for coverage. Claims can be denied for a number of reasons, such as breaking the policy, giving false information on the application form, not meeting policy requirements (like mileage limits or storage conditions), or situations that are not covered by the policy.

Policyholders should give Hagerty’s rejection letter a thorough read-through if a claim is refused. This letter typically outlines the specific reasons for the denial and the relevant policy clauses. Policyholders have the option to appeal the decision or seek clarification if they believe the denial is unjustified.

To prevent claim denials, it’s crucial for policyholders to thoroughly understand their policy terms and conditions, provide accurate information when applying for coverage, and adhere to the guidelines specified in their policy. Additionally, maintaining open communication with Hagerty and promptly addressing any concerns or questions can help ensure a smoother claims process and reduce the likelihood of claim denials.

Does Hagerty Insurance Cover Engine Damage?

Hagerty insurance policies can cover engine damage, but the coverage depends on the specific policy and its terms. Generally, Hagerty offers comprehensive coverage for classic and collector cars, which can include protection against various risks, including engine damage. However, the extent of coverage, limitations, and conditions can vary based on the policy details and the cause of the engine damage.

For more information on engine damage coverage, vintage car owners should review their policies or get in touch with Hagerty. Policyholders should be aware of any exclusions, deductibles, or specific requirements related to engine repairs or replacements.

Additionally, preventive maintenance and regular servicing of the vehicle can contribute to the longevity and reliability of the engine, potentially reducing the risk of engine-related issues. Classic car owners should follow manufacturer recommendations and best practices to maintain their vehicles in good condition, which can positively influence insurance coverage and claims related to engine damage.

Does Hagerty Insurance Cover Daily Drivers?

Insurance for vintage and collector cars is Hagerty’s forte; these vehicles are rarely driven on a daily basis. Their policies are designed for vehicles that are driven occasionally, such as for exhibitions, car shows, pleasure drives, or hobby-related activities. Hagerty does cover limited recreational use, but they usually don’t cover daily or principal transit cars.

If you own a classic car and want to insure it with Hagerty, you will need to provide information about your usage patterns. It’s essential to be honest about how often you plan to drive the vehicle and for what purposes. Misrepresenting car usage could affect insurance if it’s in an accident outside agreed-upon limits.

If you require insurance for a daily driver or a vehicle used for regular commuting, you might need to consider standard auto insurance providers that specialize in covering vehicles driven on a daily basis. These companies offer policies for modern, commonly used automobiles that cover commuting, errands, and other daily driving activities.

Does Hagerty Insure Normal Cars?

No, Hagerty specializes in providing insurance for classic and collector cars, not for normal, everyday vehicles. They specialize in older, well-maintained collector or antique cars for hobbyists, exhibitions, car events, and pleasure rides.

Consider basic car insurance companies for a conventional or current car used for everyday commutes or general transportation. These companies offer policies specifically tailored to cover the needs of contemporary vehicles used for everyday purposes, including coverage for commuting, running errands, and other routine driving activities. Hagerty specializes in providing insurance for classic and collector car enthusiasts.

What Are the Problems With Hagerty Classic Car Insurance?

Hagerty’s rigorous standards are one of the most significant drawbacks of purchasing car insurance through them.

Even if you own a classic car, it does not necessarily mean that they will agree to cover it.
The frequency with which a vehicle is driven is a crucial factor in insurance companies’ decisions to cover or not cover a certain car, in addition to the make and model. The insurer may decline to cover your prized classic vehicle if it is your daily driver.
Additionally, drivers who have committed at least two moving violations in the previous 36 to 72 months may not purchase a Hagerty auto insurance policy.
And finally, the business will inspect the owner’s garage to see how he or she stores a collection of classic automobiles. Unless you have a garage or other secure storage for your antique cars, this source may not insure them.

Does Hagerty Have a Deductible?

Most insurance policies from Hagerty do, in fact, have deductibles. Insurance policies usually contain a deductible that the policyholder must pay before the insurance pays for damages. Deductibles can range from zero to several thousand dollars, and the policyholder typically chooses them. Policyholders pay the deductible and the insurance company covers approved expenses up to policy limitations when making a claim.

The premiums for an insurance plan can be kept low by selecting a larger deductible, while those for a plan with a lower deductible can be kept constant or even increased. When picking a deductible, policyholders should take their financial situation and comfort level into account.

Who Is Best for Classic Car Insurance?

There is no “best” insurer for classic cars. Model T insurance may differ from muscle car insurance, and how you drive your automobile can affect pricing.

In addition to the policies provided by numerous large insurance companies, a number of specialized agencies also offer classic and collector car insurance—typically in collaboration with other specialized businesses. It’s possible that a vehicle enthusiast would be happier with the policies and extras offered by a niche insurer, but it’s also possible that the bundle savings and other perks offered by a major, more traditional insurer would be more appealing. Compare prices and coverages by shopping around for car insurance. Here is a list of the top classic car insurance providers:

American Collectors
American Modern
Classic Collectors
Condon Skelly
Grundy
Heacock
J.C. Taylor
Leland-West
American Family
American National
Farmer’s
Liberty Mutual
Safeco
State Farm

Does Hagerty Insurance Require an Appraisal?

Hagerty insurance policies typically do not require an appraisal for vehicles valued under a certain threshold. Haggerty may not demand a formal assessment for vintage and collector cars under a specific value. They may instead rely on images, restoration invoices, or price guides to determine a fair market price.

For high-value classic or unusual cars, Hagerty and the policyholder may need an evaluation to agree on a value. A qualified professional’s appraisal offers a thorough evaluation of the vehicle’s condition, authenticity, and market value, ensuring that both the policyholder and the insurance company have a clear understanding of the car’s value.

It’s essential for classic car owners to check with Hagerty directly or review their policy terms to understand the specific requirements regarding appraisals, as these requirements can vary based on the vehicle’s value and individual policy details.

Hagerty Classic Car Insurance Customer Review and Satisfaction Report

Many classic car owners choose to insure their vehicles with Hagerty. A few customers whose vehicles were quickly and easily repaired praised claim processing. However, there have also been a few customer concerns. After sending off their cars for maintenance, a few consumers felt they had not heard back from the company. The claim was paid by a few customers who were also charged.

Is Hagerty Classic Car Insurance Good?: Bottom Line

In conclusion, insuring classic and collector cars is a specialty of Hagerty’s, and policies can be tailored to meet the needs of each individual customer. The company has storage guidelines, so your commute to work, school, and other daily activities is not covered. Its in-house parts specialists and extensive inventory of spare parts could appeal to collectors of automotive memorabilia. Drivers who seek track safety can get track-day insurance from Hagerty in addition to comprehensive insurance for classic cars.

Frequently Asked Questions

Does Hagerty have no fixed mileage?

Unlike other insurance companies, Hagerty has no minimum mileage requirements and actively encourages its members to get out and enjoy their vehicles.

Does Hagerty cover theft?

Yes, Hagerty Insurance provides coverage for the theft of classic and collector cars, offering protection in case your vehicle is stolen, subject to the terms of your policy.

Hagerty Classic Car Insurance: Prices & Review 2023

What Is Hagerty Classic Car Insurance?: Overview