💰 Is agreed value insurance more expensive than standard auto insurance?

Not necessarily. Because collector cars are typically driven less and stored securely, specialty insurers often charge lower premiums.

📋 Do I need an appraisal to get agreed value coverage?

Not always. Many specialty insurers no longer require formal appraisals (professional evaluations of your car's worth) for standard collector vehicles. They may accept photos, purchase receipts and restoration documentation instead. High-value or heavily modified vehicles may still require professional appraisals.

🚗 Can I get agreed value coverage for the car I use daily?

Generally, no. Agreed value policies typically require the vehicle to be a secondary car used for limited purposes, like car shows, pleasure driving and events.

📈 What happens if my car's value increases after I set the agreed value?

You should contact your insurer to update your agreed value. Some policies include an inflation guard that automatically increases coverage annually.

🔧 Does agreed value cover modifications and custom work?

Yes, that's one of the main benefits. Unlike standard ACV policies that may not recognize aftermarket modifications, agreed value coverage can include the full cost of custom work, performance upgrades and restorations.

🔑 Can I keep my totaled car and still get paid?

Yes, many specialty insurers offer "cherished salvage" options. You can keep your totaled vehicle (for parts, rebuild project or sentimental value) and receive the agreed value, minus the salvage value deduction.

Updated December 9, 2025

Agreed Value Car Insurance: What It Is and Who Needs It

You might have spent years restoring your classic Mustang or finally saved up for that limited-edition sports car. But what happens if it gets totaled? With a standard full coverage insurance policy, you might get a check for far less than your car is actually worth. That’s where agreed value insurance comes in. For owners of classic, collector or specialty cars, it can be a financial lifesaver.

Jerry has helped 127,797 drivers get car insurance, include those with agreed value car insurance. This guide breaks down everything you need to know about it and whether it’s the right choice for your car.

Jerry pulls up to 20 quotes from top rated carriers.

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What is agreed value car insurance?

Agreed value insurance is a type of coverage where you and your insurance company agree on your car’s value before a loss occurs. If your car is totaled or stolen, you’ll receive that pre-determined amount, minus your deductible.

This differs significantly from standard car insurance, which typically pays out based on actual cash value (ACV). This is what your car is worth in the market at the moment of loss, factoring in depreciation. For classic cars, collectibles and modified cars that hold or increase in value, standard car insurance can leave you shortchanged.

Agreed value insurance won’t cover:

Mechanical breakdown or wear and tear.
Accidents that occur during racing or track events.
Commercial use or rideshare activities.
Intentional damage or fraud.

Key takeaway: If you own a car worth more than its “book value”, whether due to rarity, condition, modifications or collector appeal, agreed value coverage is essential to protect your investment

Who needs agreed value car insurance?

Agreed value coverage isn’t for everyone.

Consider agreed value car insurance if you own:

Classic or antique cars.
Restored or modified cars with significant investment.
Limited-edition or rare production models.
Exotic or luxury sports cars.
Vintage trucks, motorcycles or specialty cars.
Any car that has a value that goes up, rather than depreciates.

Key takeaway: Even if your car isn’t a “classic” by traditional standards, agreed value coverage can cover cars with aftermarket modifications, performance upgrades or restoration work.

Learn more: Sports car insurance

How Jerry helps with agreed value car insurance

Finding the right agreed value policy means comparing options from specialty insurers who understand collector cars. That’s where Jerry comes in.

Jerry is a licensed insurance broker that helps you compare quotes from top carriers in minutes, no lengthy forms or phone calls required. Simply download the app, answer a few questions about your vehicle and Jerry will show you side-by-side quotes, fast.

Skip the hassle. Jerry finds competitive quotes in minutes.

How to determine your car’s agreed value

Setting the right agreed value is important. Too low and you’re underinsured, too high and you may overpay for coverage. Here’s how to get it right.

📋 Gather all documentation

Purchase receipts or bill of sale.
Restoration invoices and parts receipts.
Photos of the car, including the exterior, interior, engine bay and undercarriage.
Professional appraisal, if your insurer requires one.

🔍 Research market values

Use online resources like Hagerty’s valuation tool to determine your car’s value.
Research recent auctions and collector car listings for similar cars to yours.

🤝 Work with your insurer

Specialty insurers understand the collector car market. They’ll review your documentation and may suggest adjustments based on their expertise. Be prepared to justify values that exceed typical market ranges, especially for rare configurations or extensive modifications.

Jerry recommends: Review and update your agreed value annually. Classic car values can change significantly, and you want your coverage to reflect current market conditions.

Learn more: Collector car insurance

What affects the cost of agreed value insurance?

Here’s some good news: agreed value coverage through specialty insurers is often cheaper than you’d expect. Because collector cars are typically driven less frequently and stored securely, they present lower risk than daily drivers.

Factors that affect your agreed value car insurance costs include:

Agreed value amount. Higher values mean higher premiums.
Your location and where the car is stored.
Driving record and experience.
Annual mileage.
Deductible amount.

Jerry recommends: Get quotes from multiple specialty insurers, as rates can vary significantly. You can use the Jerry app to compare car insurance quotes, fast.

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faq

💰 Is agreed value insurance more expensive than standard auto insurance?

Not necessarily. Because collector cars are typically driven less and stored securely, specialty insurers often charge lower premiums.
📋 Do I need an appraisal to get agreed value coverage?

Not always. Many specialty insurers no longer require formal appraisals (professional evaluations of your car’s worth) for standard collector vehicles. They may accept photos, purchase receipts and restoration documentation instead. High-value or heavily modified vehicles may still require professional appraisals.
🚗 Can I get agreed value coverage for the car I use daily?

Generally, no. Agreed value policies typically require the vehicle to be a secondary car used for limited purposes, like car shows, pleasure driving and events.
📈 What happens if my car’s value increases after I set the agreed value?

You should contact your insurer to update your agreed value. Some policies include an inflation guard that automatically increases coverage annually.
🔧 Does agreed value cover modifications and custom work?

Yes, that’s one of the main benefits. Unlike standard ACV policies that may not recognize aftermarket modifications, agreed value coverage can include the full cost of custom work, performance upgrades and restorations.
🔑 Can I keep my totaled car and still get paid?

Yes, many specialty insurers offer “cherished salvage” options. You can keep your totaled vehicle (for parts, rebuild project or sentimental value) and receive the agreed value, minus the salvage value deduction.

Methodology

Data included in this analysis comes from policies that Jerry has quoted within the last 6 months for drivers with a clean record and that have full coverage, unless stated otherwise. Data related to violations, accidents or credit scores pull from quote data from the last 18 months. Jerry services 48 states and offers a range of insurance companies to choose from.

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Our experts

Ben Moore

Ben Moore is a writer and editor at Jerry and an auto insurance expert. He previously worked as a writer, editor and content strategist on NerdWallet’s auto insurance team for five years. His work has been published in The Associated Press, Washington Post, Chicago Sun-Times, MarketWatch, Nasdaq and Yahoo News. He also served as a NerdWallet spokesperson, with appearances on local broadcast television and quotes in Martha Stewart and Real Simple magazine.

Ben has an extensive background in digital marketing, working on affiliate and programmatic advertising campaigns for brands like Cabela’s, H&R Block and Sears. He holds a bachelors degree in marketing from Olivet Nazarene University.

^†Over the past 12 months, 25% of drivers who switched with Jerry paid $89 or less per month. Not all customers find savings. Savings depend on state, policy features, coverage, driving history and other factors.

Editorial Note: This article was written by a paid member of Jerry’s editorial team. Statements in this article do not constitute advice or recommendations. You should consult with an insurance professional about your specific circumstances and needs before making any insurance decisions.