We’ve all heard the stories: tell your insurance company that you’ve fitted an aftermarket exhaust pipe and your premium goes up. But are such tales based in truth?
Five modifications that could drive up your classic car insurance policy (and five ways to keep it down)
We asked classic car insurance specialists Hagerty to help us identify five modifications that could potentially drive up your policy- and five things you can do to keep your costs down.
Bad Mod 1: Bespoke Paintwork
Tempted as you may be to get an airbrushed picture of your wife on the bonnet of your Austin Healey Sprite, think again. For insurers, bespoke paintwork, especially highly-detailed airbrush work, is a nightmare to cover and could drive up your premium. Any damage could be really difficult to match and so could result in a substantial re-spray- and good airbrush artists are not cheap.
Bad Mod 2: Modern Engine
Dropping a Subaru engine into your VW split screen bus may seem like a great idea, but expect your insurance premium to rise along with your top speed. Although the engine may fit, other running gear components such as brakes and suspension may not be able to cope as well. Experience has told insurers that this modification often leads to more claims, hence the rise in cost.
Bad Mod 3: Motorsport Modifications
While period motorsport modifications would probably see no increase in insurance cost, a full race-prepared engine car cost a huge amount of money. Drop an £80,000 lump into your Mk II Escort and suddenly your insurer will take note.
Bad Mod 4: Specialist Bodywork
For many of the same reasons as bespoke paintwork, if you replace the body panels on your car with aluminium or carbon fibre, your policy may go up. This one is not definite- it would depend on the car and the panels, but ask your insurer to find out.
Bad Mod 5: Mille Miglia Entry
OK, so it’s not really a modification but we were running out of ideas here. As Ian Arthur from Hagerty explains, contrary to popular belief, altering your classic car doesn’t necessarily mean your policy will go up. "Add forged pistons and racing cams, upgrade the suspension and add alloy wheels- we would be delighted to hear about these modifications, but they won’t affect your policy. Even road rally events are covered… it would have to be something like the Mille Miglia before we raised the policy price!"
OK, so while we had our expert on the line, what can classic owners do to keep their policy cost down. Here are his suggestions:
Good Idea 1: Storage
Keep the car in a locked garage, and the risk of theft reduces greatly. As a result, your policy price will drop.
Good Idea 2: Realistic Mileage
The more you use the car, the higher the risk of an accident, so your policy goes up. If you’re only driving it 1,000 miles a year, don’t insure it for 5,000 miles per annum, as your cost will be higher. Always keep a track of your mileage though- and let your insurer know either way.
Good Idea 3: Join a Car Club
Hagerty loves people who are members of clubs- from experience they tend to be conscientious owners who have fewer claims. That’s why they give a reduction to any member of a recognised club.
Good Idea 4: Keep Your Slate Clean
Fewer penalty points mean smaller premiums- it is as simple as that. And if you do get some points on your licence, tell your insurer.
Good Idea 5: Move House and Change Your Job
Err… or not, according to Ian from Hagerty. "It’s a fallacy that your job and even your postcode have a bearing on your insurance premium. At Hagerty, we like to keep things simple, so premiums don’t change based on where you live or what you do- for us the risk hasn’t changed, so why should the cost of cover?"
So there you have it. If you must drive a carbon-fibre, airbrush-painted, motorsport-prepared classic car in the Mille Miglia, at least join your local car club and keep it in the garage. As they say, every little helps.