20-year limit

Insurance company regulations
The leading classic car insurance companies such as the Württembergische, HDI, Mannheimer etc. grant a special rate to their customers for collector vehicles that are at least 20 years old. In most cases, this is more favorable than the normal rating by type classes, as vehicles at this age are usually driven less frequently, more cautiously and by groups of drivers that are less willing to take risks. These special rates are almost all referred to a "classic car rates". A precondition for this in most cases is simultaneous possession of an everyday vehicle and submission of an expert evaluation indicating that the vehicle to be insured has a certain market value. The market value here corresponds to the average price that a fan or collector of this model is prepared to pay on purchasing in a retail outlet or privately. By insuring old vehicles at this market value, this means that the insurance sector has recognized that as of a certain age the value of a car or motorcycle is determined solely by its acceptance and popularity among this circle of persons and that it is no longer subject to normal depreciation.

The legal regulations
A legal definition of the expression "classic car" exists neither in German nor in European legal regulations. Nonetheless, it can be concluded from the various arrangements that vehicles as of a certain age enjoy a special status and are no longer to be viewed as used cars in the conventional sense. German legislation provides the local registration bureaus responsible with the possibility to issue so-called "07 replaceable license plates" for classic cars. In practice, it has become the case that most registration bureaus set the age limit for this at 20 years, although as a general principle they are not restricted in their defining of the minimum age. The owner of such a 07 license plate has the possibility to register up to seven vehicles on this license plate and pays a flat tax rate of currently 192.00 euros per year (independent of cylinder capacity and pollutant class). This means that, alongside the insurance companies, the law and authorities now recognize the special status of cars that are more than 20 years old.

Source: Classic Data