Occasionally used cars still need at least state required minimum coverage and owners may want to insure them for physical damages they may suffer with full coverage. These vehicles can be insured economically if they are seasonal, pleasure use or classic automobiles. If they are ordinary cars but just not used much, there are other policy choices and saving opportunities to reduce car insurance premiums.
Apart from being a seasonal vehicle or a classic, there may be many other reasons why a typical car is driven infrequently. For example, people often keep them as a spare in rural areas where automobiles are essential for daily transport. It may have sentimental value or the owner may be injured or sick at the moment and other drivers are using it from time to time. The way and how often you use your auto is a rating factor as you are more likely to get involved in accidents if you drive longer. Various companies may offer discounts and special solutions for ordinary vehicles, which are hardly driven and they are discussed below;
- Vehicle usage: If you only drive for personal use, you can be classified as a pleasure user and save money compared to commuters. Many people living in urban areas have good public transport to use for commuting and usually keep the car for weekends and leisure. Then, they don’t need to pay as much for insuring vehicles.
- Annual mileage: Insurers ask for your annual mileage and may offer you small discounts if you drive less than average. However, there are now special policies for low mileage users that can offer large savings for occasionally used cars. If you have pay-per-mile policies available in your region, you can take advantage of them to pay a base rate plus for the mileage driven. If not, usage-based policies are common and can be used instead. These policies measure your vehicle usage with a telematics device or an app. Few companies may offer low mileage discounts based on odometer readings as well.
- Multi-car insurance: By insuring the vehicles in your family under one policy, you may be able to get a 10 – 15% discount for each car on the policy.
- Extra car discount: If you have more cars than drivers in your household, you may receive an extra discount because even if everyone is driving at a time, at least one car won’t be driven.
- Daytime driver: There may be a special discount offered to older motorists of over a certain age and it is for driving their vehicles only during the day. You should explain your situation to your agent or insurer and see if they have other solutions to reduce your premiums.
Then, there are convertibles or open-top cars, which aren’t driven in the winter or classics that may only be driven rarely. These pleasure or seasonal use automobiles may benefit from policies specially designed for infrequently driven cars, like classic car insurance and here are a few key factors to consider;
- Usage: You’ll need to inform the insurance company about the intended usage of the vehicle. If it will be driven only occasionally or during specific seasons, you should specify that it’s a pleasure or seasonal vehicle.
- Mileage limitations: vehicle insurers may impose mileage restrictions on pleasure or seasonal vehicles. You’ll need to provide an estimated annual mileage for the vehicle, and the insurance policy will typically have a cap on the number of miles you can drive per year.
- Storage and security: Insurance companies often require that seasonally driven vehicles be stored in a secure location, such as a locked garage, when not in use. They may also require additional security measures like alarm systems or tracking devices to prevent theft.
- Valuation: If you have a classic or antique car, it’s important to determine its value for insurance purposes. Classic car insurance policies offer options like agreed or stated value, where you and the insurer agree on the car’s value in the event of a total loss or theft.
- Coverage options: Similar to regular auto insurance, you can choose coverage options such as liability, comprehensive, collision, and uninsured/underinsured motorist coverage. The specific coverage and limits will depend on your needs and the requirements of your state.
Depending on the usage, another option is to arrange storage car insurance when the vehicle is kept in a garage for the whole winter or longer and not driven at all. Then, your policy may be reduced to comprehensive coverage only. However, you may need to fill forms with the DMV when you drop liability coverage to the effect that your vehicle is off-road and not driven. Furthermore, you need to reinstate at least liability and maybe collision before you can drive the vehicle again. This may work out cheaper overall but it is more work and prevents you from driving even for a weekend when you drop other coverage and leave only comprehensive.
To find insurance for your rarely driven automobile, you can contact various insurers and agents and request quotes specifically for pleasure or seasonal vehicles. It’s advisable to compare multiple quotes to ensure you’re getting the best coverage and rates. The availability and details of auto insurance policies may vary depending on your location and provider.