How Does Exotic Car Insurance Work?


How much does it cost to guarantee a supercar?

Unfortunately, there is no conclusive answer. Insurance, regardless of ownership, is very individual. Each insurance provider uses proprietary software to analyze many variables and factors of varying weights to determine the exact cost of repairing or replacing the provided vehicle and the risks posed by the driver. The formula after that issues the insurance price for each particular car.

No 2 plans coincide. For a typical manufacturer’s car, which sells in the 10s or thousands per year, there is enough information to determine an accurate average.

Supercars are much more unusual, production statistics are less reliable. Manufacturers like Ferrari, Lamborghini, and McLaren only sell a few thousand cars across their models each year. Hypercar brand names such as Bugatti, Koenigsegg and Pagani produced only a few hundred units of each model ever.


The individuals who bought these cars were wealthy, but varied greatly. It is therefore difficult to give an exact price for their insurance coverage.

Unique cars are among the most expensive vehicles on the planet. This category consists of vehicles manufactured by Lamborghini, Bentley, McLaren, Porsche, Pagani and Ferrari. Unique cars often feature a sleek sports car or car account, sometimes with a sci-fi twist like a wing-shaped traveler’s door. Also called a “supercar”, this particular vehicle is prized for its speed and efficiency. As a result, used exotics can also be worth up to $1 million or more.

There’s absolutely nothing special about a unique vehicle—including finding the right auto insurance. Due to their high value, unique cars require personalized insurance coverage. For example, a two-door Ferrari 458 Italia covers an average loss payment of $655 annually on a guaranteed vehicle, so it’s not unexpected that a standard trouble plan won’t provide a unique vehicle. Learn the ins and outs of a unique car underwriting.

What is Unique Car Insurance?

Unique auto insurance is a subcategory of collectible auto insurance. Whether the car is “unique,” “classic,” or “automobile” may depend on the insurance company or the regulations specified. Leland-West maintains categorical data sources by brand and model. Unique cars can also become collectible or vintage cars in time.

Insurance providers focused on collectible and unique cars include Leland-West, American Collection agents, Heacock Classic (which offers coverage from the American Modern Insurance Group), NCM Insurance, and Grundy Insurance. You may also be able to obtain specialty car insurance through your regular auto insurance provider. For example, Geico offers unique coverage of Modern American.

Significant insurance providers may choose not to sell you a unique car package. New York Specify maintains a list of hard-to-insured vehicles, based on information provided by the state’s leading auto insurance provider. The website factors that some insurance providers will cover unique, very high value (over $100,000) or limited edition vehicles due to high replacement and repair costs, combined with too many vehicles in the driving pool. For example, all Pagani, Ferrari, and Porsche models appear on the list.

Like other cars on public highways, your unique car is required by certain laws to have liability insurance to cover any physical injury, death, or damage you cause to others. Depending on your specifications, you may also be required to carry unprotected driver insurance, which will most likely come in handy if you do have an accident with an uninsured driver who can’t cover the damage to your expensive car.

Unique auto insurance is more complicated than what you would buy for the average car, due to the greater value of the vehicle and the greater cost of repairs. Optional extensive auto and collision insurance will cover damage to your unique car when you are liable or if a non-collision event occurs, such as if your Lamborghini was taken. This kind of coverage may be a smart choice for a unique car. For example, a Porsche 911 Turbo exchangeable 4WD big loss is 440% more than average, and a Ferrari 488 GTS convertible has a crash loss of 408% more than average, according to the Insurance Institute for Highway Safety (IIHS).

Package Types Available for Unique Cars

Specialty auto insurance will most likely include coverage that is standard in the industry, including animal cover, windshield replacement, travel nuisance coverage, and roadside assistance. The latter 2 can be especially useful if you are planning to attend a car show. Because of its unique nature, each unique car also tends to require special insurance coverage tailored to it. Unique car insurance will differ from conventional plans in 2 significant ways, which are listed below.

Agreed Value

“Standard insurance techniques for determining value aren’t all that fun for unique car owners,” said Matt Robertson, deputy head of state for Leland-West, a unique auto insurance company that offers coverage in 48 categories. If your car is found to have failed due to a robbery or accident, traditional insurance coverage offers the vehicle’s depreciated value, taking age and wear and tear into account. But plans designed for unique cars are based on an agreed-upon value, where the owner and insurance provider determine the value of the car, without devaluation, before the plan is issued.

Use Limit

Many unique auto insurance coverages cover pleasure use or driving to auto shows but not for everyday use or operating duties. Insurance providers may or may not cover the car while you are at a motel or diner on the way to your covered location. Before signing up for a plan, check with the insurer about any usage restrictions regarding pleasure, daily, or periodic use of driving, says Robertson. You may have the ability to purchase additional recommendations, or cyclists, that allow you to occasionally have your car to and from work, but also the recommendations for that purpose don’t consist of stopping at dry cleaners in the process, he says.

Your plan may also come with an annual fuel mileage limit, or the premium may change based on your fuel mileage. For example, some unique plans limit you to just 6,000 miles per year, although you may have the ability to include gas mileage for an additional fee.

Featured options

Some plans offer additional features or options. However, Robertson says that many of these bells and whistles are not always popular with unique car owners:

Larger deductions: You can choose a larger insurance deduction for broad and collision coverage, which corresponds to the higher price of the car.
Part replacement: High coverage quantity (up to $2,000) for removed or picked up parts.
Towing coverage: Larger number of towing coverages.
Relocation: If an emergency situation requires you to move your vehicle from its garage, this protection helps you move it safely.
Racetrack items: Some unique cars are made for racetrack efficiency, and insurance providers can cover fire engines, roll covers, and various other items for racetracks—but usually not your car while you’re driving on the racetrack.

Unique Car Plan, Smooth Publish

When shopping for a plan, make sure you compare your options accurately. Ask about the plan’s assumptions about the car’s uses, limitations, and value.

You may need to meet certain requirements to be approved for a unique car package, such as:

All home drivers must have a good driving background and be at least 25 years old.
The driver must have another car that is guaranteed for daily use.
No daily driving fun or car-loving shows—so no operating chore on your Pagani!
Unique cars must be parked in a closed and secure garage.
How to Choose the Best Package for Your Unique Car
With all that in mind, here’s what to consider when you’re looking for unique auto insurance.

How Does Exotic Car Insurance Work?
How Does Exotic Car Insurance Work?

Know the Value of Your Car

It’s a good idea to contrast market prices for comparable cars or get a quote through a car appraisal website.

If you have made major adjustments to your car, you may find it more difficult to determine its value. “By personalizing your vehicle, you’re actually transforming it from a stock manufacturing facility into a unique vehicle,” says Robertson. “It messes up the appraisal process. You need someone who understands the process not to devalue a unique car because of an adjustment.”

You may need to provide a list of components and a summary of your changes to the prospective insurer so you can negotiate an agreed value for the car and its repairs. Also, the adjustments you make may not attract the next buyer and could decrease the vehicle’s resale potential. “Your dream car may not be someone else’s dream, and also if personalization costs you money, maybe no one else wants it like this,” says Robertson.

Find an Insurance provider With a Track Record of Great Client Solutions

It can be a little more difficult to find historical customer support information for a specific insurance company—for example, most of it doesn’t appear in the annual J.Decoration. Note the strength of the best auto insurance providers. You may need to seek reviews with the Better Business Bureau or other online review websites, or you can ask other unique car owners in person or on message boards.

“You want proper claims handling, and an individualized solution where you can talk over the phone with a genuine individual,” says Robertson. He also recommends investigating whether your auto club supports insurance companies—like the one Porsche provided for Leland-West.

Look for the Standard Extensive Plan

When you call or satisfy a representative for a quote, it’s important to reveal all you can about your unique car. For example, you must provide the age of the car, where you stored it, how often you have it, and the general fuel mileage. You may need to submit electronic pictures of your vehicle and garage.

Ask About Discount

Some insurance providers offer discounts to cover some unique vehicles, high-value collectibles, claim-free backgrounds, auto club subscriptions, anti-theft kits, accident avoidance, and garages. If you choose unique auto insurance coverage offered through a conventional insurance provider, such as GEICO, you may get a multi-policy discount.

What is a Unique Car?

Unique cars come from subsections of expensive and unusual luxury vehicles. Examples of this type of car include Lamborghinis, Ferraris, and McLarens. These cars place great risk for insurance providers because of their very high value, expensive repairs, and a greater risk of accidents due to their high horsepower value. However, they are not like most other vehicles in that they may get better with time. Some of the leading car insurance companies for unique cars consist of Grundy Insurance, Hagerty, and PURE Insurance.

How to Get Unique Car Insurance?

Take the following actions to get the right insurance coverage for your unique car:

Take pictures of the engine, exterior, and interior of your car: These photos can be useful when you are discussing the value of the deal with your insurance provider.

Whether your unique car is appraised: It is important to get a rating that shows the approved value of your unique vehicle. If you’ve updated or modified your car but you only know the price tag, your insurance provider won’t pay you the difference in the event of a failure or theft if you have a specific value plan instead of the agreed value plan.

Understand the terms of your insurance coverage: If it is specified in your plan that you are not allowed to have your unique car greater than a certain mileage each year, you should not take the risk of voiding your coverage. If your plan says you can’t let someone else own your vehicle, don’t take the risk. You must also follow any restrictions on where you can own your car, such as in the 5 boroughs of New York City.

Revalue your car, and increase the agreed value each year: If you keep your vehicle clean and fresh or get work done on it, you can anticipate it to increase in value. Make sure your insurance coverage reflects that.

What are the Factors That Add Expensive Unique Car Insurance?

One of the most significant drawbacks of guaranteeing a unique vehicle is its high cost. The cost can run into the thousands of dollars for each call, with some estimates as high as nearly 6 thousand dollars. Since most of the specs require you to have car insurance, you should weigh the costs carefully before you invest a lot of money in that Lamborghini Huracan.

One of the factors that unique cars are very expensive to guarantee is their very high repair costs. To maintain the efficiency and value of your car, auto technicians need to use early replacement parts, which can be difficult to find and very expensive.

Also, auto insurance companies will usually want to deal with an authorized car service center, and the places they choose may not have an auto mechanic who can repair your car. This also means routine automated solutions can cost you tens of thousands of dollars, in addition to significant body work.

Sometimes, auto insurance providers outright perceive unique car owners as high-risk customers. High-risk drivers usually cover the higher costs, also on traditional auto insurance. While it may seem unfair to certain car owners that they should be penalized, insurance providers only make analytical judgments based on the strength of the vehicle.

Why Are Certain Car Insurance Plans a Better Choice?

Listed below are some good factors for getting certain auto insurance coverage:

Agreed value provides more protection: A unique vehicle is not based on devalued guidelines because it usually increases in value over many years if given proper care. An insurance provider with a knowledgeable representative understands how much your car is really worth, so will be able to provide you with a better insurance plan and an agreed-upon value. If your vehicle is totaled, the company will only pay a predetermined amount. This means you don’t have to go through the trouble of fighting it with an insurance adjuster.

Certain auto insurance providers understand the market: Insurance providers that offer specific car coverage are car enthusiasts themselves, meaning they have a common understanding of what it takes to maintain a valuable collection agency vehicle in big trouble. They also realized that most unique car owners have a tendency to store their car in a well protected area and only take it out for brief tenures on a regular basis. Instead of dealing with these customers as high-risk drivers, such companies are known to carefully select their customers and offer responsible drivers lower fees.

Specialty insurance providers keep their promises: While you may pay a higher price for auto insurance, you can rest assured that the insurance provider will go the extra mile to help you take care of your unique car in its initial troubles. Unlike many other insurance providers who force you to go with their preferred car service center, they will allow you to choose your own trusted auto technician. In addition, they will cover the cost of replacing the faulty element with the original component so that you can maintain the warranty and value of your car.

You will receive coverage on several occasions: The regular insurance company will not pay for your loss if you are injured or your car is damaged during a program event. If you enjoy displaying your valuable vehicle at auto shows or races, you can get safe coverage from specialized auto insurance providers.

Lots of great benefits with coverage: Premium auto insurance providers offer their customers many great benefits, such as roadside assistance, individual property protection, rental protection, reimbursement of clinical expenses following a carjacking event, and animal injury protection.

Unique car insurance may be expensive, but it is the only type of auto insurance that provides proper protection for your valuable vehicle.



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