Car insurance for Ferraris

For car enthusiasts and collectors alike, Ferraris are some of the most sought-after luxury sports cars. However, many car insurance companies will not insure high-end sports cars like Ferraris due to the high cost of repairs and other reasons. As a result, Ferrari owners may need to get a special type of car insurance instead. The average U.S. driver pays $2,014 per year for a full coverage policy. But Ferrari owners can generally expect to pay a higher price to insure their vehicles.

Car insurance for Ferraris

Purchasing a Ferrari is a big investment. In addition to the vehicle purchase and maintenance costs, it is important to consider the insurance implications associated with this type of vehicle. Car insurance, or proof of an alternative form of financial responsibility, is a legal requirement throughout the U.S., regardless of the type of car you have or how often you drive.

In many cases, traditional auto insurance companies will not underwrite policies for Ferraris because of the repair or replacement costs associated with a vehicle of this type. Should your vehicle get totaled or significantly damaged in a covered incident, it would likely cost the insurance company a significant amount of money to restore it. Plus, the risks associated with a vehicle capable of high speeds can affect an insurer’s willingness to provide coverage, leaving you with limited options.

As such, Ferraris sometimes require specialty auto insurance. Below are a few coverage types that may apply to Ferraris. Ultimately, experts recommend consulting an insurance agent to learn about coverage options if you’re considering purchasing a Ferrari.

Sports car insurance

Sports car insurance coverage typically includes comprehensive and collision insurance. Although these coverage types (commonly referred to as “full coverage”) can also be included on a normal car insurance policy, coverage for a sports car would likely have much higher limits reflecting the value of your vehicle. If the insurer is willing to cover your Ferrari, you can expect your insurance premiums to be much higher than that of a more common sports car (such as a Chevrolet Corvette) based on the difference in the vehicle’s cost.

For example, a 2023 Chevrolet Corvette has an MSRP starting at $66,300. In comparison, a 2023 Ferrari 488 Spider has an MSRP of about $526,888 and a much more powerful engine at 660 horsepower. The value of the vehicle, repair costs and risks associated with the engine capabilities would have a high impact on the cost of insurance compared to a common sports car.

Classic car insurance

Classic car insurance is another type of coverage that is used to financially protect specialty collector vehicles or antique cars. This also includes cars that are expected to increase in value, rather than depreciate over time. Many traditional car insurance companies offer classic car insurance policies, but to get a policy, your vehicle must meet a series of criteria.

First, the vehicle must be a certain age (i.e., at least 20 years old) in order to be considered “classic.” Mileage restrictions may also apply, so if you drive a classic car as your daily commuter, you may not qualify for this type of insurance. Additionally, some insurers have restrictions on how the vehicle is stored.

Unless you own an older Ferrari model that meets these qualifications, like a 1985 Ferrari Testarossa, you may not be able to get classic car insurance.

Exotic and luxury car insurance

Some insurance providers offer exotic or luxury car insurance policies. You may be able to gauge the potential cost of Ferrari insurance based on average rates for the most expensive cars to insure, although even these have a lower MSRP compared to newer Ferrari models.

For example, a 2023 Porsche Panamera has an MSRP of $135,200 and a 2023 Tesla Model X starts at $120,000 for the base model. Most new Ferrari models cost significantly more than both of these vehicles, which means the cost of insurance will likely be much higher.

Like classic cars and sports cars, a Ferrari will typically need to meet certain requirements — like having a specific value or meeting various specs in terms of performance and speed — to be considered a luxury vehicle.

Why don’t insurance companies cover Ferraris?

There are several reasons why many standard insurance companies will not provide insurance for Ferraris. Although these reasons primarily boil down to the risk of a costly claim, there are two main components:

• Expensive repair: Ferraris are expensive vehicles to maintain because they require qualified mechanics and replacement parts from overseas. When a Ferrari is involved in an accident and needs repairs, the specialized parts and labor quickly spike repair costs. The financial risk associated with a Ferrari is even greater if the vehicle is totaled because the insurer’s payout is based on the replacement cost.
• Accident risk: Ferraris are performance vehicles designed for racing, and insurance companies assume that capacity for high speeds could increase the risk of Ferrari drivers getting into accidents. In fact, insurers will not cover vehicles used for professional or illegal racing and may not insure high-risk drivers with a history of speeding.

Some companies specialize in coverage for higher-value vehicles. When shopping around for quotes, look for providers that offer coverage for your specific Ferrari make and model.

Here are a few insurance providers that advertise insurance for exotic, performance and high-value vehicles:

• Grundy Insurance
• Hagerty
• Chubb
• AIG Private Client
• American Modern Insurance Group
• PURE Insurance

Ferrari car insurance considerations

When insuring a Ferrari, it is important to make sure you have the right coverage types. At a minimum, you will need to carry enough insurance to meet your state’s requirements, which will include liability insurance and potentially uninsured/underinsured motorist coverage and personal injury protection (in no-fault states). If you are financing the vehicle, you will likely be required to have full coverage, which includes collision and comprehensive insurance. Based on the value of the vehicle, these coverage types may be in your best interest, whether financed or not. Gap insurance could also be useful if you lease or finance your car and your new Ferrari is totaled.

If you want additional liability insurance, you could also consider a personal umbrella insurance policy. However, keep in mind that this type of coverage only applies if you hit another driver and cause injuries or property damage. It will not offer more coverage for your losses if you get into an accident.

Factors that impact car insurance rates for sports cars

If you own a Ferrari or another exotic car, there are a number of factors that can impact your insurance rate. Here are some of the biggest ones:

• Value of the vehicle: The cost of a Ferrari ranges significantly, starting from about $230,000 and exceeding well over $1 million. The high value of Ferraris means a covered claim may result in a sizable payout by the insurer, which typically means a higher insurance premium for you.
• Cost of parts: Insurance premiums may be impacted by the cost of vehicle parts. Ferraris are expensive to manufacture and repair, and parts may need to be shipped from overseas. This contributes to the high cost of insurance.
• Driver behavior: Ferraris have top speeds that exceed 200 miles per hour, which may increase the likelihood of getting speeding tickets or causing accidents. As such, some insurers may compensate for the risk by increasing premiums.
• Driver profile: Insurance premiums are based on a variety of personal factors, including your insurance claim history, driving record, annual mileage and more. These individual factors typically contribute to your premium no matter what car you drive.

Frequently asked questions