For Many Hobby Car Buyers, Price Is No Longer the Deciding Factor

Owning a hobby car has become increasingly popular in Estonia. According to Ando Rahu, CEO of Autoportaal, choosing an everyday car is usually a practical decision made with logic and spreadsheets, whereas buying a hobby car is driven almost entirely by emotion, often regardless of price. He also points out that the new car tax has had little impact on the hobby car market.

“Very often, the motivation comes from a childhood dream, a memorable film, or simply the feeling a particular car gives you. That’s why the price range of hobby cars is incredibly wide,” says Rahu.

Some enthusiasts buy inexpensive project cars for a few thousand euros and restore them themselves, while others invest in rare classics worth tens or even hundreds of thousands of euros.

According to Rahu, BMWs, Mercedes Benzes and Audis remain the most popular hobby cars. They are followed by older Jaguars, Bentleys, Rolls Royces and classic American cars. Vehicles that were popular in Estonia during the 1980s and 1990s also continue to attract dedicated enthusiasts.

Most hobby cars require at least some restoration work and are bought with the intention of tinkering, maintaining and enjoying them during the summer months. In winter, they are usually stored in garages or specialised car storage facilities. However, finding storage space is not always straightforward, and winter or year round storage can cost up to 500 euros.

While owners are often willing to spend more on a hobby car than on the family’s everyday vehicle, Raivo Piibor, Head of Insurance at Coop Pank, says the opposite is frequently true when it comes to insurance. Valuable hobby cars are often left underinsured or not insured at all. One reason is that these cars tend to spend relatively little time on the road. Another is a lack of understanding about what different types of insurance actually cover.

“Mandatory motor insurance only covers damage caused to third parties. If you’re involved in an accident and your own car is damaged, the repair costs are yours to cover unless you have suitable comprehensive insurance in place,” explains Piibor.

Comprehensive insurance is generally available for vehicles up to 15 years old. For older cars, additional cover linked to motor insurance may offer an alternative. This can include accident cover for the driver and passengers, roadside assistance, legal expenses cover, protection for belongings kept in the vehicle, and limited damage cover in the event of a collision with wildlife or another vehicle.

“These additional protections are not a substitute for comprehensive insurance, but they can provide valuable peace of mind in certain situations,” Piibor adds.

For that reason, he advises hobby car owners to think carefully about whether they need fully comprehensive cover or whether additional motor insurance protections would be sufficient for their needs.