How to value your classic car for insurance

Overview: Valuing your classic car for insurance is important to help ensure it receives adequate coverage, as traditional valuation tools may fall short for these unique vehicles that can appreciate over time. The process involves understanding when a car qualifies as a “classic” (generally based on age, rarity, use and condition), and establishing an “agreed value” with your insurer, which can be determined through professional appraisals, specialized online valuation tools and comparisons with real market sales. Key factors influencing a classic car’s value include its make, model, rarity, condition, originality, restoration quality, provenance and current market demand.

If you’re in the process of buying your dream classic car or already own one, you know it’s more than just a way to get from point A to point B. Maybe it’s your weekend escape, a family treasure that stays in storage except for special occasions or the result of years spent tracking down parts and perfecting every detail. Whatever your story, one thing is clear: classic cars need protection. That’s where classic car insurance comes in.

These cars often appreciate in value, and their worth may go far beyond age or mileage. In fact, figuring out your classic car value is a lot like appraising a rare painting or antique furniture. So how do you land on an agreed number for classic auto insurance?

When does a car become a classic for insurance?

One of the more common questions is: when does a car become a classic for insurance? The answer can vary, but many insurers use benchmarks like 20–25 years old, limited production numbers or 10 years old or more with historical significance. But it’s not just about age, condition and collectability matter, too. Some cars are considered “classics” while others earn the label “antique” or “collector car,” each with their own definitions.

How to assess your classic car value

Getting your classic car valuation right is important to help ensure your collector car insurance or antique auto insurance policy fits. Many classic insurance policies use an “agreed value” system, where you and the insurance company decide upfront how much your car is worth. That way, if there’s a covered total loss, you know what to expect. But the agreed value isn’t just a guess, you may want to do some homework.

• Get a professional appraisal — for many owners, the first stop is a professional appraiser who specializes in classic or collector vehicles. An experienced appraiser will take a deep dive into your car’s condition, originality, restoration work and market demand. Their report can be especially helpful if your car is rare or has unique features. If you’ve recently restored your car, an updated appraisal can reflect that investment.
• Use online classic car valuation tools — there are websites designed just for classic car value. These resources can give you a ballpark value, often sorted by condition. Remember, these values shift with the market, so you may want to consider checking them regularly.
• Compare with real market sales — don’t just look at asking prices. Find out what similar cars are actually selling for currently. Major auction houses, online collector car marketplaces and classic car dealer listings can provide insight. Try to match year, make, model and condition as closely as possible.
• Keep good records — documentation may help when it comes to classic vehicle insurance. Hold onto receipts for parts, restoration work and maintenance. Maintain current photos, records of original features and any history showing who’s owned it (“provenance”).

What factors influence classic car value?

Classic car valuation isn’t an exact science, but here are some factors to keep in mind:

Reaching a realistic agreed value

The goal is to work with your insurer to determine an agreed value that is fair and realistic. Set it too low and you risk being underinsured. Go too high and you might pay a premium that’s higher than you need. Take the time to research, document and discuss your car’s value. Your future self may thank you.

By understanding how classic car insurance works and what goes into classic car valuation, you can help to ensure your prized possession is insured. If you’re planning to tuck your classic away for a season, check out tips for long-term car storage to help keep it in top shape.

For more on insurance for classic cars, get in touch with a State Farm® agent or explore antique car options online.