It’s finally time to purchase your first antique vehicle to start your collection. You go down to a reputable dealer like the Talbott Collection at Greenbrier Motor Company and find the vehicle of your dreams. You set your eye on a perfectly restored vehicle, and the price is perfect for its condition. Now that you have made the purchase what should you do about insurance and licensing the vehicle? You may be surprised to find out that standard automobile policies could be costly compared to other options.
When it comes to licensing the vehicle, you have two options in most states. The first is to get a standard motor vehicle license plate which must be renewed every year. The second is to purchase an antique plate. The second options come with some restrictions, but can save you a bunch of cash in the long run. Most states allow you to purchase an antique plate for less or the same price as the regular one. Where you will save money is that you do not have to renew it for a long period of time. For some states, this is up to fifty years. The downside is that most state laws state the vehicle must be over twenty-five years old and can only be driven for testing, classic vehicle club events, and displaying. Many states also state that the vehicle must be factory original for this to be able to fall in the antique category.
Purchasing a classic vehicle automobile policy is another method where you can save money on your newly acquired purchase. Insurance companies expect that these vehicles will be driven much less, and babied much more than the newer vehicles. This is part in fact because of the antique plate restrictions that were mentioned above. Either way, pricing out your policy for an antique vehicle you plan on driving regularly can be less expensive than on your everyday driver. Most insurance companies have their own definition of classic versus antique, but typically if it is rare and between ten and twenty-five years it is a classic. Older vehicles are antique by their definition.
Now with a basic understand of how the licensing and insurance of antique vehicles is handled, it will provide you with a seamless transition between purchasing and being the proud new owner of an antique vehicle.