Best Car Insurance for Modified Cars in 2025 (Your Guide to the Top 10 Companies)

The top picks for the best car insurance for modified cars are USAA, Progressive, and State Farm, renowned for their competitive coverage options.

These providers understand the unique needs of drivers with modified vehicles, offering tailored policies that protect custom enhancements. Learn more in our “Average Car Insurance Rates by Age and Gender.”

Our Top 10 Company Picks: Best Car Insurance for Modified Cars

As modifications can significantly alter a car’s value and performance, choosing the right insurer is crucial to ensuring comprehensive protection.

Whether you’re enhancing performance or aesthetics, these companies provide the reliability and coverage flexibility you need.

Read on to know more about car insurance companies that allow modifications for your car. If you need to look at quotes from top car insurance companies in your area, enter your ZIP code into our free tool above.

#1 – USAA: Top Overall Pick

Pros

• High Multi-Policy Discount: USAA offers up to 25% off for bundling different insurance policies. See more details on our USAA car insurance review.
• Top-Rated Customer Service: Consistently high ratings for customer support and claims satisfaction.
• Military-Focused Benefits: Tailored benefits and discounts specifically for military members and their families.

Cons

• Limited Availability: Services restricted to military members, veterans, and their families.
• Fewer Physical Locations: Limited number of physical branches, which might affect those preferring in-person service.

#2 – Progressive: Best for Customized Policies

Pros

• Customizable Coverages: Offers a wide array of options to tailor policies to individual needs.
• Loyalty Rewards: Progressive rewards long-term customers with discounts and perks.
• Online Tools: Excellent digital tools for policy management and claims filing. More information is available about this provider in our Progressive car insurance review.

Cons

• Inconsistent Agent Experience: Customer experiences can vary significantly depending on the agent.
• Higher Rates for Riskier Drivers: Tends to charge higher premiums for drivers with poor records.

#3 – State Farm: Best for Coverage Option

Pros

• Bundling Policies: Offers significant discounts for bundling multiple insurance policies.
• High Low-Mileage Discount: Provides a substantial discount for low-mileage usage.
• Wide Coverage: Various coverage options tailored for different needs. Read up on the “State Farm Car Insurance Review” for more information.

Cons

• Limited Multi-Policy Discount: The multi-policy discount is not as high compared to some competitors.
• Premium Costs: Despite discounts, premiums might still be relatively higher for certain coverage levels.

#4 – Allstate: Best for Flexibility Policies

Pros

• Multiple Discount Options: Offers a range of discounts including multi-policy and safe driving bonuses.
• Innovative Tools: Provides innovative tools like Drivewise to help customers manage their policies and driving habits.
• Flexible Coverage Options: Wide range of customizable policy options. Check out insurance savings in our complete Allstate car insurance review.

Cons

• Pricing Variability: Pricing can vary greatly depending on location and personal circumstances.
• Customer Service Variations: Some customers report variability in service quality.

#5 – Nationwide: Best for Competitive Rates

Pros

• Competitive Premiums: Offers competitive rates especially when combined with various discounts.
• Wide Range of Discounts: Substantial discounts available for multi-policy, safe drivers, and more.
• Strong Financial Stability: High rating from A.M. Best indicating robust financial health. Discover more about offerings in our Nationwide car insurance discounts.

Cons

• Policy Upselling: Some customers report aggressive upselling of additional features.
• Claim Response Times: Occasional complaints about slower claim response times.

#6 – Farmers: Best for Customer Support

Pros

• Dedicated Agents: Known for personalized service through dedicated agents.
• Customizable Options: Offers a variety of customizable options to suit different customer needs.
• Good Driver Discounts: Attractive discounts for safe drivers. Access comprehensive insights into our Farmers car insurance review.

Cons

• Higher Base Prices: Generally higher base prices compared to some other insurers.
• Complex Policy Options: Some customers find policy options complex and difficult to navigate.

#7 – Liberty Mutual: Best for Specialized Coverage

Pros

• Specialty Coverages: Offers unique and specialized coverages that may not be widely available.
• Accident Forgiveness: Includes accident forgiveness policies to prevent premium spikes after an accident.
• Variety of Discounts: Wide range of discounts available, enhancing affordability. Delve into our evaluation of Liberty Mutual car insurance review.

Cons

• Higher Premiums for Some Policies: Some policies come at a higher premium compared to competitors.
• Mixed Customer Service Reviews: Customer service quality can be inconsistent.

#8 – American Family: Best for Tailored Plans

Pros

• Highly Tailored Policies: Provides highly customized policies to meet specific customer needs.
• Loyalty Discounts: Offers discounts for long-term policyholders. Unlock details in our American Family car insurance review.
• Effective Claims Process: Known for a smooth and efficient claims process.

Cons

• Limited Availability: Coverage not available in all states.
• Premium Fluctuations: Premiums can fluctuate based on policy changes and renewals.

#9 – Travelers: Best for Wide Network

Pros

• Extensive Network: Benefits from a wide network of agents and services across the country.
• Bundling Opportunities: Significant discounts for bundling auto, home, and other insurance.
• Robust Coverage Options: Offers robust coverage options for a wide range of needs. If you want to learn more about the company, head to our Travelers car insurance review.
   

Cons

• Higher Pricing in Some Regions: Can be more expensive in certain regions.
• Complexity in Policy Management: Some customers find the policy management system complex.

#10 – AAA: Best for Member Discounts

Pros

• Exclusive Member Discounts: Offers exclusive discounts and benefits for AAA members.
• Comprehensive Services: Provides a broad range of services beyond insurance including roadside assistance.
• Diverse Policy Options: Wide selection of policy options to cater to diverse needs. Discover insights in our AAA Car Insurance Review.

Cons

• Membership Requirement: Requires AAA membership to access insurance services.
• Varied Service Quality: Service quality can vary depending on regional clubs and representatives.

Monthly Insurance Rates for Modified Cars by Coverage Level

The table below offers an in-depth overview of the monthly insurance rates for modified cars, highlighting both minimum and full coverage options from different providers. This enables car owners to compare and choose the modified vehicle coverage that best aligns with their budget and coverage requirements.

Car Insurance Monthly Rates for Modified Vehicles by Coverage Level & Provider

The rates span from economical choices like USAA, which offers minimum coverage at just $45 and full coverage at $95, to more premium options like Liberty Mutual with minimum coverage at $70 and full coverage at $140.

Other providers such as State Farm and AAA also offer competitive rates with minimum coverage starting at $50 and full coverage reaching up to $105 and $100, respectively.

This spectrum of rates reflects the diverse offerings in the market, catering to different levels of coverage and financial preferences of car owners with modified vehicles. Learn more in our “Compare Car Insurance by Coverage Type.”

Which Car Insurance Companies Allow Modifications to Your Car

Below are 14 companies that may offer coverage for modified cars. There are some major car insurance companies, but we have included specialty companies: American Collectors, American Modern, Chubb, Grundy, and Hagerty.

Car Insurance Companies That Allow Modifications

From the regular car insurance companies, Allstate and Farmers offer custom parts and equipment coverage. State Farm modified car insurance coverage only applies to safety modifications.

To qualify for Geico’s modified car insurance, you must also have a primary-use vehicle listed on your policy. You also need collision and comprehensive car insurance coverage.

Also, many companies listed here will allow you to use the agreed value for a classic car. Companies that cover modifications also offer agreed value for the equipment.

That means they will pay you the agreed-upon amount if your car is totaled.

Which Car Insurance Companies Don’t Allow Modifications

The following table shows the car insurance companies that don’t allow modifications of any kind:

1Car Insurance Companies That Don’t Allow Modifications

Please note that Shelter offers no specialized insurance, but most of the other companies listed here do provide classic car insurance coverage.

Read More:

• Plymouth Rock Car Insurance Review
• Germania Car Insurance Review
• Hagerty Car Insurance Review
• Does car insurance cover performance parts?
• American Standard Car Insurance Review

How Much Does Modified Car Insurance Cost

A few quick notes to be aware of before you buy auto insurance from car insurance companies that allow modifications:

• Haggerty’s minimum yearly rate is listed here.
• NJM’s Policyholders in Connecticut, Maryland, New Jersey, Ohio, and Pennsylvania can take advantage of the insurer’s classic and collector car insurance program.
• Full coverage with Allstate, Esurance, Geico, and other regular insurers does not include extra coverage for classic, collectible, or modified cars. However, rates for classic cars might be a little over half of what you can expect to pay for regular vehicles.

Of course, the cost of your modified or classic car insurance depends on the following factors:

• The Make of the Car
• Your Car’s Age
• How Expensive the Modifications Are
• How Often You Will Drive the Car

You can save money by driving your modified cars less. You also can save with discounts. Companies like Safeco and Allstate will also offer you discounts to go along with their classic auto insurance.

For example, Safeco offers a diminishing deductible for claims-free cycles and a low mileage discount.

However, choosing an agreed-value policy will increase your rates.

Read More:

• Compare Best Car Insurance Companies That Offer Agreed Value
• 21st Century vs. USAA Car Insurance Comparison
• Compare Best Car Insurance Companies That Beat Quotes

How to Determine Your Modified Car Insurance Rates

It is much harder to determine how high your yearly car insurance rates will be for a modified car.

Your typical auto insurance policy is influenced by several elements such as your age, your car’s model, and your driving history. Additionally, the cost of insurance for custom cars may also hinge on these factors, as well as the overall expense of the modifications you have implemented.

Typically, a modified car necessitates more coverage, meaning your monthly and yearly rates for modified insurance will be higher than those for a standard car insurance policy.

However, you might get some discounts by adding specific safety or anti-theft features to your car.

Generally, discussions about insurance modified cars often involve percentages. For example, your monthly premiums could amount to up to 10% of your modified car’s value.

Otherwise, you might have to set up an agreed value arrangement with your insurance company.

How to Find Extra Savings With Specialty Car Insurance Companies

As you can see from the third table, you can save on modified car insurance by buying a policy from a specialty car insurance company.

For instance, American Collects claims that it can save policyholders up to 40% compared to a standard personal car insurance policy. American Collector policyholders can take advantage of discounts for garaging, safe driving, multiple vehicles, and high-value vehicles.

Leading insurers such as Allstate might apply some of their standard discounts to your modified car, but specialty companies provide additional discounts along with their already low rates, offering the best modified car insurance options.

You may enjoy the most savings with American Modern. It offers discounts for four types of anti-theft devices, taking a defensive driving course, and belonging to a qualifying car club. All told, you might be able to save up to 45% with American Modern insurance.

Top Tips for Drivers Looking for Modified Car Insurance

Here is what you can do to find affordable car insurance if you modify your existing vehicle or buy a modified car:

• First, talk to your insurance agent or company: An insurance agent can inform you about the types of modifications your insurer permits and provide quotes for modify car insurance based on different factors.
• Get any rates in writing: If you seek quotes from car insurance companies that allow modifications, make sure to obtain them in writing. These companies are obligated to honor the rates provided for insurance modified cars if you decide to go with their coverage.
• Make sure that the modifications you get are legal: State regulations vary, and you should at least comply with regulations in your state.
• Only get modifications from reputable shops: The best customization shops will keep abreast of state regulations, as well.
• Be honest with your car insurance company: Inform your insurer about any modifications to your car so they can properly assess the risk of insuring a modified car. Failing to do so may result in denied claims or cancellation of your coverage after an accident.

Ultimately, weigh the costs of customizing your car against any potential benefits and shop around with multiple car insurance companies that allow modifications before you buy. See more details on our “How can I find affordable car insurance rates?“

Look up car insurance rates for top insurers in your area with our free quote tool below. Enter your ZIP code to get started.

For more information on modified car insurance coverage and how to save if your modifications are necessary, read our FAQ section below.