As severe weather losses mount across Canada, brokers and clients in the collector and specialty vehicle space face a shifting landscape. What was once a relatively stable, passion-driven niche is now becoming more complex – both in terms of physical risk and fluctuating market value.
Last year alone, insured losses from severe weather reached $8.6 billion nationwide, according to industry data. While catastrophic floods and wildfires dominate the headlines, smaller but more frequent weather events are taking a growing toll on vehicles that were never meant to be daily drivers. Collector and specialty models, once protected in garages and private showrooms, are increasingly exposed to risks from wind, hail, and unpredictable temperature extremes.
Michael Wilson (pictured), assistant vice-president of business development for specialty lines at NFP Canada, said this new reality requires brokers and clients to think differently about coverage for collectible vehicles. The focus, he explained, must go beyond passion and provenance to include practical considerations like accurate valuation and storage safety.
For many collectors, the concept of “classic” has evolved. What once referred to mid-century antiques now includes modern performance vehicles and limited-edition models that appreciate quickly in value. That evolution alone has made keeping policies up to date a challenge. Wilson said ensuring that each vehicle’s insured value reflects the current market has become essential, particularly as climate volatility introduces new risks to physical assets.
“Brokers should be reviewing where and how those vehicles are stored,” he noted. “With hotter summers, stronger storms, and more frequent hail, the physical risks are shifting.” Severe thunderstorms, he added, now bring hailstones large enough to cause significant damage even to stationary vehicles, especially in southern Ontario and the Prairie provinces. In many cases, the quality of the storage environment – whether a collector garage, warehouse, or private facility – can determine whether a claim becomes a total loss or a minor repair.
But valuation is where the complexity really begins. In the world of specialty vehicles, value is never static. It changes with demographics, trends, and the individual history of each car. Owners are constantly maintaining, restoring, or modifying their vehicles, and those improvements can substantially increase replacement cost. New parts, labor, and customization all add layers of value that may not be reflected in an outdated policy.
Market trends, Wilson says, play an equally important role. As the collector community ages, the types of vehicles that hold sentimental and market appeal are shifting rapidly. A 1962 Thunderbird, once a coveted classic, may now attract fewer buyers as its core demographic retires from the hobby. Meanwhile, 1980s and 1990s models – from early Porsches to Japanese performance cars – are gaining attention among younger enthusiasts, driving up auction prices and insurance replacement values.
In this sense, the collector vehicle market behaves more like fine art than traditional property: demand, nostalgia, and pop culture can all influence pricing. Wilson pointed out that understanding these dynamics is crucial for brokers advising clients on agreed-value policies. The vehicle that sold for $80,000 two years ago may now command $120,000, or it may have fallen below its previous benchmark depending on market sentiment.
Even within the high-end segment, the pace of change is accelerating. Supercars such as Ferraris, Lamborghinis, and McLarens have seen their valuations fluctuate so rapidly that insurers are reviewing them quarterly rather than annually. Those models are traded globally, influenced by limited production runs, celebrity ownership, and international collector trends – factors that make traditional underwriting cycles look outdated by comparison.
That volatility has also changed how often brokers and clients should revisit a vehicle’s insured value. Wilson said the ideal frequency depends on the type of vehicle and how actively it trades in the market. Exotic and late-model supercars often require quarterly reassessment because their prices move quickly. By contrast, antique and vintage vehicles tend to be more stable – but still warrant at least an annual review at renewal, or every other year at a minimum.
He emphasized that both brokers and clients share responsibility for keeping those valuations accurate. Staying current means tracking recent sales, checking market listings, and using carrier-provided valuation guides to verify fair market value. Even if a client chooses not to adjust the number, the act of reviewing it regularly is part of due diligence – a safeguard against being caught underinsured when the unexpected happens.
For brokers, that volatility means staying close to the market and even closer to their clients. Policies can no longer be written and forgotten until renewal. Continuous dialogue – about market shifts, vehicle upgrades, and even where the car spends its downtime – is essential to ensure coverage keeps pace with reality.
The collector segment remains one of the most emotionally driven corners of the insurance industry, but Wilson emphasized that passion must now be matched by precision. The combination of unpredictable weather and volatile valuations is changing how insurers, brokers, and clients define protection.
For those managing specialty portfolios, understanding both the science of risk and the art of the market may soon become the defining skill that separates ordinary coverage from true preservation of value.
