Why are Kit Cars Expensive to Insure?

Kit cars for most are a fun past time, something to tinker with on your holidays and weekends, you may even be just starting to look at models and now is as good a time as any to start learning a few of the background pieces of information. Insurance is something you're going to need for your kit car be it for a show piece, a racing model or just something for you to drive around in on a Sunday afternoon. So lets take a look at some of the information about insuring your kit car and why they may be a little more expensive to insure.

Initial Checks

To begin with you will need to make sure that your kit car is road legal, in order for this to happen (your second bit of expense after the building of your car!) your kit car will need to pass an IVA (Individual Vehicle Approval) test which can cost around £199. These tests are like the MOT in that they can only be carried out at approved sites by inspectors from the Vehicle and Operator Services Agency, then its just three years till a normal MOT. Your car will also need taz discs in order to be road worthy.

Prices May Vary

Kit cars aren't your typical dealership show room type car. They have modifications, time, effort and parts are constantly spent on them and as such most will see an increase in their value over time rather than a decrease like a standard car would. This can mean that in order to gain the full coverage for your car should an accident or theft happen you may need to pay out a hefty sum each month. On the plus side this will help you out should your car ever be stolen, though we all know something that you've lavished time on like a kit car won;t be so easily replaced.

A Rarity

Due to the fact that kit cars tend to be one of a kind, insurance companies know that if something happens to them the costs of replacing the parts, kit or other modifications that have been made may be huge. Due to this the price of your insurance can go up, almost a comfort as it means you will be reimbursed for the amount your kit car was at the end, not at the beginning.

Activities Include...

If you show and race your car at track days you may see the price in your policy go up a considerable amount purely because of the activities you will be involved in. Every track activity holds some element of risk and though you may have a spotless no claims bonus the same cannot be said for everyone else attending the track day, though you will see your police price rise as a result it is always better to be safe than sorry.

So you can see some of the reasons why kit cars are expensive to insure, but totally worth it right?

Post a comment