Choosing the right car insurance for an older car requires a different approach than for a new car. While new cars often benefit from comprehensive cover such as All-Risk insurance, for older cars this is not always the best or most cost-effective choice. Compare car insurance is therefore always advisable. But first, in this article, we discuss how to arrive at the best car insurance for an older car so that you are properly insured without paying unnecessarily much.
1. Assess the Value of your Car
The first step in choosing the best insurance for an older car is to assess the current market value of your vehicle. The daily value of your car - the value your car would fetch on the market - is an important factor. For cars older than about 10 years, the daily value is often less than the cost of full All-Risk insurance. In that case, the question is whether it is worth maintaining comprehensive cover. If the repair costs in case of damage exceed the value of the car, you might consider opting for less comprehensive insurance.
2. Choose between WA, WA Plus or All-risk
When insuring an older car, there are three main options: WA, WA Plus and All-risk.
- Third-party liability (TPL) insurance: This is the minimum insurance required by law. It only covers damage you cause to others with your car. For older cars with a low daily value, third-party insurance is often the best choice as it is cheaper and matches the value of the car.
- WA Plus (Limited Casco): This insurance provides additional cover beyond legal liability. It also covers damage caused by theft, fire, storm or windscreen damage, for example. If your car is still in good condition and you want a little more protection without the cost of All-Risk insurance, TPL Plus insurance could be a good middle ground.
- All-risk insurance (Fully comprehensive): This insurance provides the most comprehensive cover, including damage to your own car, even if you are at fault for the accident. For an older car, All-Risk insurance is often not the most cost-effective choice, unless your car still has significant value and you are willing to pay for that extra cover.
3. Consider your Driving and Use of the Car
When choosing the right insurance, it is important to think about how often and what you use your car for. If you only use your older car sporadically, for example only for errands or short trips, third-party insurance is often sufficient. On the other hand, if you regularly take longer trips or if you still use the car frequently for commuting, third-party liability insurance may provide more security.
4. Check your claim-free years
Claim-free years have a big impact on your car insurance premium. The more claim-free years you have accumulated, the higher the no-claim discount you receive. This can make the premium of WA Plus or even All-Risk insurance more affordable, even for an older car. Check your claim-free years and consider how they can contribute to your decision for the type of insurance.
5. Compare Insurers and Policies
It pays to compare different insurers and policies. Use online comparison sites to get a quick overview of the premiums and conditions offered by different insurers. Pay attention not only to price, but also to conditions and coverages. For example, some insurers offer extra benefits for older cars, such as roadside assistance or discounts on the premium if your car has low mileage.
6. Take into account Own Risk
The deductible is the amount you have to pay yourself in case of damage before the insurer pays the rest. For older cars, increasing the excess can be a way to reduce the monthly premium. This can be especially attractive if you see little likelihood of having to claim on the insurance, or if the value of the car is so low that you are willing to take the risk.
7. Consider Extras such as Roadside Assistance or Passenger Insurance
While you may want to cut costs, it may be worth thinking about extras such as roadside assistance or occupant insurance. For example, roadside assistance can be useful if your older car is more prone to mechanical problems. Occupant insurance provides extra cover for occupant injury, which can give peace of mind if you regularly transport passengers.
8. Review your Insurance Annually
It is wise to review your car insurance annually. The value of your car decreases over time, and your needs may change. By evaluating annually whether your current insurance is still the best choice, you can make sure you don't overpay unnecessarily. If the value of your car drops further, you may want to consider switching from third-party plus to third-party insurance, or even renegotiate with your insurer for a better deal.
Conclusion
The best car insurance for an older car is often not the most comprehensive, but the one that suits the value of your car and your personal driving habits. By looking critically at the daily value of your vehicle, your own use and claim-free years, and by comparing different insurers, you can make an informed choice. This will ensure that you are properly insured without paying unnecessarily much, so you can hit the road with your older car worry-free.
EN 
NL 
DE