The pleasure of driving a car is enhanced when its owner is assured that the vehicle is adequately covered by insurance against potential damage or loss. There are many different types of car insurance policies that come in handy to achieve this objective. Against the payment of a premium, insurance policies protect the driver and the vehicle against all sorts of damage.
Depending on the type of car, insurance companies offer different kinds of policies with varying premium amounts. For instance, there are the regular and classic car insurance policies for regular and classic car models respectively.
Classic car insurance is offered only if the car to be insured is more than fifteen years old and if the car has not been driven for more than 2500 miles every year. It differs from regular car insurance in terms of the coverage offered and the terms of the claims.
Some companies offer a classic car insurance policy with limited mileage. These insurance policies are more affordable as the premiums are lower. The annual mileage is reported and reviewed and if the mileage limit is exceeded, the policy is not renewed. The policy also accommodates full coverage incase of any breakdown or repair. The factors that are assessed while offering classic car insurance with limited mileage are the type of car driven, the use for which it is being driven, area where the driver lives, driving record of the driver, number of drivers to be listed in the policy and the age of the driver.
Incase the driver does not exceed the mileage specified, the premium rates are significantly reduced. If policyholders do not make a claim because of the absence of any damage during the coverage period, they are offered discounts. Companies offering classic car insurance policies ensure rapid repairs, fair settlements and also bear the cost of replacing entry, ignition and steering locks, if the keys are stolen. Thus, under the terms of classic car insurance with limited mileage, an insured can enjoy many benefits but has to stick to the mileage limits prescribed by the insurance company.