must include bodily injury liability, property damage liability, personal injury protection, property protection, and residual liability insurance.

Michigan classic car insurance: the basics

“Classic” is a broad, catch-all term used for a variety of collectible and/or high-value vehicles. Antique cars, modern muscle cars, historical vehicles, and high-value imports often qualify for classic car insurance in Michigan.

While insurance providers determine their own eligibility criteria for classic coverage, the state of Michigan offers these guidelines for what constitutes a historical car. It must:

Be at least 26 years old

Be owned solely as a collector’s item

Be registered with a valid historical license plate

If your car meets these criteria, you’re likely to qualify both for a classic or collector car insurance policy and historical plates in the Great Lakes State.

Michigan classic car insurance includes state minimum coverage

The minimum insurance coverage for a classic car in Michigan is as follows:

Type of coverage	Minimum insurance requirement
Property damage liability (PDL)	$10,000 per accident
Bodily injury liability (BIL)	$50,000 per person and $100,000 per accident
Personal injury protection (PIP)	$250,000 per person per accident
Property protection insurance (PPI)	$1M per accident
Residual liability insurance	$50,000 per person and $100,000 per accident

With the state-minimum bases covered, classic car policies typically offer additional options similar to those you’d find with a standard

full-coverage insurance policy

, including:

Comprehensive coverage

: Pays for damages resulting from weather, theft, vandalism, and even animals.

Collision coverage

: Pays for damages resulting from a collision with another vehicle or object.

Uninsured/underinsured motorist coverage

: Pays for medical expenses if you’re involved in an accident with a driver who doesn’t have adequate coverage.

Plus, you’ll usually have access to specialty options not available on standard policies, such as:

Roadside towing and labor assistance

: Offers standard breakdown assistance, as well as specialized flat-bed towing services required for most classic and high-value vehicles.

Spare parts, tools, and memorabilia coverage: Adds coverage for spare parts, specialty repair and maintenance tools, and even collectible auto memorabilia, such as signs, automotive literature, and even vintage gas pumps.

Cash settlement and cherished salvage options: Allows classic car owners the option to keep their vehicle after a covered total loss and/or accept a cash payout with no repair or replacement requirements.

Learn more:
Types of car insurance—mandatory and optional coverages

Average classic auto coverage rates

Insurance rates for classic car coverage usually average between $400 and $1,000 a year. As with traditional auto insurance policies, your classic car coverage premium will depend on a number of factors, including:

Your driving record

Your age and marital status

Your location

The amount of coverage and additional options you choose

Your vehicle's value

Classic car insurance premiums and deductibles tend to be significantly less expensive than the

national average

for standard auto insurance policies for similarly-valued vehicles. This is largely thanks to lower risk provided by limited mileage and strict eligibility requirements.

What makes classic car insurance different?

Because classic cars in Michigan aren’t treated like everyday commuter cars, they have different insurance needs.

Classic cars are generally more expensive than commuter cars—not only due to their inherent value but also due to the cost of their parts

Vehicles that qualify for classic coverage don’t usually follow the same model for depreciation as standard vehicles—in fact, these cars often gain value over time rather than losing it

This leads to the single biggest difference between classic car and traditional policies: agreed value coverage.

Put simply, agreed or guaranteed value coverage is car insurance that’s based on the appraised value of your vehicle and the amount that your insurer guarantees they will pay if your classic car is deemed a total loss rather than fair market value.

In a traditional coverage scenario, insurance agencies use an equation that includes fair market value and depreciation to determine your car’s actual cash value for a total loss payout. This equation doesn’t apply with an agreed value policy—if you and your provider set your car’s value at $50,000, you’ll have peace of mind knowing that’s what you’ll get as a total-loss payout unless you adjust the value.

Let’s take a closer look at some of the factors that make classic car insurance unique from the insurance you buy for your everyday vehicle:

Price: Classic car coverage is usually less expensive than regular car insurance.

Limited use: Most classic car policies limit use to a specific number of miles per year. In some cases, your classic car policy may prohibit the use of the vehicle as a daily driver, and/or require you to insure another vehicle for daily use to qualify.

Storage: Many policies require the car to be stored in a secured, locked facility, such as a personal garage.

Condition: If the car isn’t in original condition, or restored, it must be undergoing restoration.

Keep in mind: As with any type of insurance, your premium will be based not only on the vehicle's value but also on a variety of highly individualized factors.

Do I need classic car insurance?

Classic car insurance is ideal for classic, collector, and other high-value car owners who use their rare or vintage vehicles for the occasional pleasure driving, or to display them in parades or car shows.

If you have any of the following, you’ll likely need specialty coverage:

Antique and classic cars

Vintage boats

Modern collector vehicles

Modified vehicles

Classic trucks and utility vehicles

Motorsports vehicles

Vintage motorcycles and scooters

Retired commercial vehicles

Collector trailers

Vehicles under construction

Classic military vehicles

Antique tractors

Numerous factors impact the cost of classic car insurance in Michigan

Classic cars are generally some of the

cheapest vehicles to insure

—but as with any policy, several factors affect the overall cost of your premium:

Model year—certain model years have more value than others.

Stated or guaranteed value—if your car is worth more money, it’s going to be more expensive to insure.

Mileage—the more you drive the car, the more expensive coverage will be. While Michigan allows full usage of historical vehicles in August, it’s best to err on the side of caution and avoid driving it as much as possible.

Customization—if you add on additional coverage such as roadside assistance or parts coverage, your policy will be more expensive.

Your driving record—if your

Michigan driving record

isn’t clean, insurers may deny you classic car coverage.

Pro Tip To increase your odds of finding the best possible deal, remember to seek out multiple
car insurance quotes
from multiple providers, then compare your options.

The best providers for classic car insurance in Michigan

While many insurers offer classic policies, the best providers tend to specialize in the products and services drivers need for their collector vehicles.

Luckily, many of these specialty providers underwrite policies for major auto insurance companies, too—so you might be eligible for bundling discounts.

To help with your decision, we’ve scoured the options and listed our favorites:

Provider	Why we love it
Hagerty	A+ BBB rating and 4.4 stars on Trustpilot Offers coverage for restoration projects at all stages In-house “carcierge” to help you find replacement parts for your vehicle. Underwrites classic car policies for AAA , Allstate , Esurance , Nationwide , and Progressive which increases bundling options
Grundy Insurance	Super-low rates No mileage limits (as long as each insured driver has another vehicle for general use) MVP programs for insuring daily drivers Largest provider of coverage for hot rods and other modified vehicles in the US Trip interruption coverage
Safeco	A+ BBB rating Over 50 years of experience Up to 27 miles per day of unrestricted use with no alternative vehicle requirement
American Modern	A+ BBB rating Wide range of coverage options, including unlimited mileage plans $2,000 in standard spare parts theft or damage coverage (four times the standard $500 coverage offered by most providers) Inflation guard to ensure full-value coverage as your car increases in value Underwrites classic car policies for AAA and GEICO , which increases bundling options
American Collectors Insurance	A rating on BBB 4.9 stars on Trustpilot Offers coverage for all your collectibles, from antique vehicles to vintage wines Easy underwriting process Available C.A.R.E. plans that offer a variety of roadside assistance, towing, labor, replacement parts, and spare parts coverages. Underwrites policies for USAA , which increases bundling options for active military, veterans, and their families who qualify for coverage through USAA.
Heacock Classic Auto Insurance	A+ BBB rating 5.0 stars on Trustpilot Highly rated by customers for professionalism and competitive pricing Up to $2,000 in spare parts coverage available No appraisal required Policies underwritten by American Modern Insurance
State Farm	One of the few traditional providers that underwrites its own classic and collector car policies, streamlining signup and service, and increasing bundling options Agents available 24/7

How to keep your classic coverage rates low

Classic cars already tend to be some of the cheapest vehicles to insure. With these tips, you can be sure you’re saving every penny possible:

Take advantage of

car insurance discounts

Install an anti-theft device

Take a

defensive driving course

Lower your coverage or raise your deductible

Maintain a

clean driving record

Each of these tips can help you secure a lower rate, but getting the best rate on the best coverage means comparing car insurance quotes from multiple providers. With

Jerry

, America’s AllCar™ app, comparing rates from dozens of top providers takes minutes—plus it’s free!

FAQs

How old does a car have to be in Michigan to be considered a classic?

In Michigan, as in many states, your car’s age has less to do with its status as a classic than with its designation as a historical vehicle. To be designated a historical vehicle in the Great Lakes State, your car must be:

At least 26 years old

Owned solely as a collector’s item

Registered with a valid historical license plate

“Classic,” on the other hand, is a broad, catch-all term used for a variety of collectible and/or high-value vehicles. Antique cars, modern muscle cars, and high-value imports often qualify as classics in Michigan, as do historical vehicles.

What’s the best insurance for a classic car?

Specialty providers like Hagerty, Grundy, and American Modern offer some of the best classic and collector car insurance. However, classic car owners can also find solid protection with policies from mainstream insurers like Safeco, and State Farm.

Are classic cars cheaper to insure?

Yes, classic car insurance policies are often cheaper than policies for standard vehicles. However, classic coverage also tends to be much more restrictive on vehicle usage than traditional coverage.

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