Auto Insurance Myths Exposed

Car insurance can be complicated and having any misunderstandings may be costly to consumers. The following are sometimes considered common car insurance myths.

Red vehicles are more expensive to insure

Roughly 25% of drivers surveyed think that the color of a vehicle is a factor to determine insurance costs and that red is more expensive. This is a car insurance myth.  Insurance companies are typically more interested in the year, make and model of the vehicle and generally do not inquire about the color. Click here to get a car insurance quote: Online Car Insurance Quote.

Thieves are more likely to steal new cars

This is a common car insurance myth. Statistics show that thieves usually steal older vehicles.

Insurance covers you if car is stolen, vandalized or damaged from hail or fire

Unless you have comprehensive coverage on your vehicle, you may not be protected from these things and you should understand that it is a common car insurance myth. Most states usually only require liability insurance. So if you have opted for a bare bones insurance policy, which is typically only liability, you may not be covered for everything that may happen to your vehicle. Generally, to cover the above issues, you may need to purchase comprehensive insurance coverage.

If I total my car, the car insurance company will pay off my remaining lease

This is another car insurance myth. When you total your car, your car insurance provider may not pay off what you owe on your lease and you may be responsible.

Sports cars get more tickets and pay higher amounts

According to a list released in 2010, the vehicles with the most violations are coupes, sedans and SUVs. The insurance rates are generally based on the history of insurance claims filed for your specific vehicle as well as your driving history.

If you would like to read more on common insurance problems, please read “Avoid The Most Common Car Insurance Problems”.