Daily Archives: July 24, 2017

An array of vintage cars

The Practical Side Of Owning A Vintage Car

An array of vintage cars

Keeping and maintaining vintage cars is a huge responsibility. They require special care and maintenance, and owners must be willing to shell out a lot of money for their upkeep. On the other hand, though, there are also practical benefits to owning a vintage car.

Legal Exceptions

In the United States, some states don’t require periodic emissions testing on vintage and classic cars.

  • Utah – exempts cars from 1968 or earlier
  • Arizona – exempts cars from 1966 or earlier
  • Colorado – exempts cars from 1975 or earlier

On the other side of the pond, car models dating earlier than 1977 are exempt from MOT (Ministry of Transport) tests, while cars dating earlier than 1974 are given tax exemptions.

These rulings might raise objections from environmental activists. It should be noted, however, that these cars are collectibles that owners seldom use. And when they do end up on the road, they are often in better shape than newer vehicles. In fact, they tend to have lower carbon emissions and are less dangerous than speeding sports cars.

Insurance Benefits

Vintage cars have a small historical window. Ardell Brown, a vintage car dealer in Salt Lake City, identifies vehicles dating between 1919 and 1930 as vintage cars. This distinction makes them rare and valuable collector’s items. Owners can, therefore, negotiate for better insurance terms.

Of course, the condition of the vehicle is an important factor. Owners cannot expect insurers to give them a satisfactory arrangement for vehicles with poor maintenance, after all.

Additionally, owners seldom drive vintage cars to preserve their “collectible” status. This makes them low-risk assets for which insurers can offer lower insurance premiums. Other insurance benefits may be coverage for spare parts and emergency service expenses.

Slow Depreciation

It’s a well-known fact that depreciation for brand-new cars is fast and immediate. Refurbished vintage cars, on the other hand, don’t depreciate as fast as new cars do. It may even increase in value over time depending on the degree of maintenance and repair work on the body and engine.  

Vintage cars may not give you interest rates or end-of-year dividends, but they can diversify your investments.