Classic Car Insurance in Australia: What You Need to Know in 2026

Agreed Value vs Market Value

This is the single most important decision you'll make when insuring a classic. Market value policies pay out what the insurer thinks the car is worth at the time of a claim. Agreed value policies pay out a figure you and the insurer settle on when you take out the policy.

For any car with collectible value, agreed value is the only sensible option. Classic car values can be volatile, and the last thing you want after a total loss is an argument about what your car was worth.

The Club Plate Question

Most states offer some form of conditional registration for historic vehicles — often called club plates or historic rego. These are significantly cheaper than full registration but come with restrictions: typically limited to club events, maintenance runs, and a set number of general-use days per year.

Insurance for club-plated cars is usually cheaper, but make sure your policy covers you for all the ways you actually use the car. Some policies void coverage if you're outside the permitted use conditions.

Specialist vs Mainstream

Specialist classic car insurers — Shannons, Hagerty, and a handful of others — generally offer better terms than mainstream insurers for vehicles over 25 years old. They understand modifications, they understand values, and their claims assessors typically know what they're looking at.

The trade-off is that specialist policies often have stricter storage requirements (locked garage, not street-parked) and usage limits.

Get Your Valuation Right

Whatever policy you choose, get a current, independent valuation. Club contacts can usually recommend a qualified valuer in your state. Update it every two to three years — the market moves, and your coverage should move with it.