Best Car Insurance for Luxury and Exotic Cars
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- The type of car insurance you need for a luxury car depends on how you drive it.
- Standard insurance covers most luxury cars driven on a regular basis.
- Collector car insurance is a better choice for luxury or exotic cars that are only driven occasionally.
What type of car insurance do I need for a luxury or exotic car?
The type of car insurance you need for a luxury or exotic car largely depends on how you use it.
A luxury car that you drive regularly usually only requires standard full coverage car insurance
Full coverage includes collision and comprehensive, which cover your own car for damage and theft.
Classic car insurance is a better choice for a luxury or exotic car that you only drive occasionally. These policies insure your vehicle at an agreed value, which may remain the same or even go up over time. Here are a few things to know about this type of coverage:
- Classic auto policies often have mileage limits or other restrictions that set how often you can drive your vehicle.
- On the plus side, mileage restrictions help lower your crash risks, which can make a classic car policy cheaper than standard car insurance.
- You usually need to prove you have a separate daily driver vehicle with its own insurance to get a classic car policy for your luxury or exotic car.
What’s the difference between luxury and exotic cars?
Luxury cars are generally defined as any vehicle with high-quality parts, accessories and design. Mercedes-Benz, BMW and Cadillac vehicles are commonly considered luxury vehicles. However, mainstream carmakers like Ford and Jeep also produce luxury models.
Exotic cars include ultra-luxe vehicles with limited production and, often, high-performance capabilities. Ferrari, Lamborghini and Aston Martin are among the better-known exotic car producers. The resale value of exotic vehicles can remain steady or increase due to their appeal to collectors.
How much does luxury car insurance cost?
Car insurance for a luxury vehicle can cost more than twice as much as car insurance for nonluxury ones. For example, full coverage for a luxury vehicle from the 2022 model year costs an average of $453 a month. This is more than twice as much as the $177 a month average rate for standard cars.
Luxury car insurance rates by company
| Company | Monthly rate | LendingTree rating | |
|---|---|---|---|
 | State Farm | $448 | Read Our Review |
 | Chubb | $471 | Read Our Review |
 | Travelers | $567 | Read Our Review |
 | Farmers | $756 | Read Our Review |
` ` | Allstate | $786 | Read Our Review |
The actual price you pay for car insurance depends on factors like your driving record, your location and the vehicle’s features. Since rates vary by customer, it’s good to compare car insurance quotes from a few companies to find the best deal.
Best car insurance companies for luxury vehicles
Chubb has the best overall luxury car insurance for most drivers. State Farm has the best luxury car insurance rates among the major insurance companies. Travelers has the best coverage options for new luxury vehicles, and PURE has the best perks.
Best overall: Chubb
Average monthly rate: $471
LendingTree rating: 3.5/5
Why we chose it: Chubb’s full coverage car insurance gives you the option to insure your vehicle at its agreed value. And a regular policy includes original equipment manufacturer (OEM) parts coverage. This pays to replace damaged parts with similar ones from the original manufacturer, instead of cheaper after-market substitutes.
Who it’s best for: Individuals with luxury cars and high-value homes. Chubb generally caters to this demographic. Bundling your home and car insurance with Chubb lets you work with the same agent and company for both policies.
PROS
- Agreed value coverage available for regular-use vehicles
- OEM coverage helps preserve your vehicle’s unique features
- Covers up to $15,000 for car rentals after an accident
CONS
- Online quotes not available
Best insurance rates for luxury cars: State Farm
Average monthly rate: $448
LendingTree rating: 4/5
Why we chose it: At $448 a month, State Farm charges significantly less for luxury cars than most other major companies.
Who it’s best for: Luxury car owners who aren’t looking for extra coverage options. State Farm has a well-earned reputation for providing reliable car insurance at reasonable prices. However, it doesn’t offer as many extra coverage options as some other companies you can choose from.
For example, State Farm doesn’t offer OEM coverage. If you’re in an accident, it may only pay to replace damaged parts with after-market substitutes. State Farm doesn’t offer new car replacement
If your car is totaled while it’s relatively new, new car replacement pays for a new one.
PROS
- Reasonable rates
- Personalized service from local agents
- Online quotes usually available
CONS
- Not as many add-on protections as other companies
Best coverage options for new luxury cars: Travelers
Average monthly rate: $567
LendingTree rating: 5/5
Why we chose it: Travelers’ new car replacement coverage can last up to five years. Most other new car replacement plans only last one to two years after purchase. It also offers gap insurance and accident forgiveness.
Who it’s best for: Drivers with new luxury cars. If your new car is totaled within a few years after you buy it, normal insurance may not cover the full cost of another new one. New car replacement protects you from having to come up with another down payment to get back into a new car.
Gap insurance and accident forgiveness are among the other coverage options that can save you money after an accident.
PROS
- New car replacement available for up to five years
- Also offers gap insurance and accident forgiveness
- Discounts available for new cars, electric vehicles and hybrids
CONS
- OEM coverage not available
Best perks: PURE
Average monthly rate: Not available
LendingTree score: Not available
Why we chose it: PURE offers worldwide coverage in rental cars and towing to any repair shop of your choice.
Who it’s best for: High-end customers. Like Chubb, Pure caters almost exclusively to affluent individuals and families. Its car insurance for luxury vehicles covers your car at either its market value or an agreed value, whichever is higher.
PURE gives you a discount if you have more cars than drivers in your family, which is good for a car you only drive occasionally. If you’re in a crash more than 50 miles from home, the company helps pay for hotels, meals and rental car costs.
PROS
- Agreed value and OEM coverage available for luxury cars
- Discounts for having more cars than drivers in your home
- Gap coverage also available
CONS
- OEM coverage doesn’t apply to glass replacement
Best classic car insurance for exotic vehicles
Chubb and American Collectors have the best classic car insurance for exotic vehicles. Each only covers exotic cars used for hobby purposes like car shows, however:
- Chubb’s classic car program, which is separate from its standard policies, doesn’t have annual mileage limits.
- American Collectors offers mileage plans that range from 2,500 to 7,500 miles a year. Higher mileage plans cost more.
Both companies also offer agreed value coverage as part of their policies.
Hagerty and Grundy are other good companies to contact for luxury and exotic car insurance quotes. Of the four, American Collectors is the only one that offers online quotes. With the other three, you will have to go through their website to find an agent near you who can give you a quote.
Most classic car insurers require you to provide photos of your vehicle, purchase records and other documents to verify its value.
How to get luxury car insurance quotes
Getting quotes for standard and classic car policies may help you decide on the type of policy to get. Consider these tips as you shop:
- Most mainstream car insurance companies offer quotes for luxury vehicles.
- Some, however, won’t insure vehicles that cost more than $150,000. If you have a car worth more than this, you may have to look around a bit longer to get a few quotes.
- Some insurance companies partner with specialty insurance companies to provide classic car policies. For example, State Farm, Progressive and Geico partner with Hagerty in many states. USAA teams with American Collectors.
- Ask about discounts. Some companies give you a discount for having a good driving record or being in a car club. You don’t want to overlook savings opportunities like these.
Frequently asked questions
Yes. Luxury cars are usually more expensive to insure than standard vehicles. This is mainly because luxury cars are typically more expensive to repair or replace. Insurance companies factor these potential costs into their rates.
Most luxury cars can get the same standard full coverage car insurance that is available for normal cars. The cost of the policy, however, will almost always be higher because the value of a luxury car is greater.
A luxury or exotic car with collector value may be better suited for classic car insurance. Classic car policies will insure vehicles at higher values than standard car insurance. However, some classic car policies also have mileage restrictions.
Many exotic cars need classic car insurance, which usually covers the vehicle at an agreed value. These policies may also have mileage restrictions. Standard full coverage car insurance is better for an exotic car you drive every day.
Methodology
How we obtained classic car insurance rates
LendingTree uses insurance rate data from Quadrant Information Services using publicly sourced insurance company filings. Luxury car insurance rates are based on an analysis of car insurance quotes for a single 30-year-old in every ZIP code in California and New York.
Rates are shown for comparative purposes only. Your own rates may be different.
Full coverage quotes are the following vehicles from the 2022 model year
- BMW Z4
- Cadillac Escalade Premium
- Lexus LX 600 Premium
- Mercedes-Benz AMG SL 63
- Porsche 911 Carrera GT3 RS
Coverage limits
Full coverage policies include:
- Bodily injury liability: $300,000 per person and $500,000 per accident
- Property damage liability: $100,000
- Uninsured / underinsured motorist bodily injury: $100,000 per person and $300,000 per accident
- Personal injury protection: $50,000 (New York only)
- Collision: $1,000 deductible
- Comprehensive: $1,000 deductible
How LendingTree evaluated car insurance companies
LendingTree’s insurance experts rated insurance companies based on several categories. These categories include average rates, discounts, coverage options, third-party customer service ratings and app/website experience. LendingTree weighted these categories based on what customers value in an insurance company.
For third-party customer service ratings, LendingTree included Complaint Index scores from the National Association of Insurance Commissioners (NAIC) and financial strength ratings from AM Best. NAIC Complaint Index scores are used to determine how satisfied customers are with their claims, while financial strength ratings from AM Best reflect the ability to pay out claims.
See LendingTree’s car insurance ratings methodology and full editorial guidelines for further details.