Rumors – they aren’t just from our days in high school. They stem well into our adulthood and plague our minds about myths regarding auto insurance. “New cars are more attractive to thieves”, “coupes are more expensive than sedans” – these are just a few of the dozens of myths floating around regarding car insurance. And it’s time to debunk them.
Let’s take a look at the most common auto or car insurance myths and learn the truth:
“New cars are more attractive to thieves” – This is simply not the case. In fact, according to statistics, the opposite is true – older cars are more likely to be stolen.
“Coupes are more expensive to insure than sedans” – Sporty doesn’t necessarily equate to expensive. Insurance rates take into consideration certain details about the vehicle such as how likely the car is to be stolen, what it would cost to repair any damages in the event of accident, and how much protection it provides.
“Red cars cost more to insure than any other colors” – This is an extremely common myth about car insurance, and no one is exactly sure where it stems from. The truth is, color has absolutely nothing to do with your insurance rates. What will affect your rates are the make, the model, and the year of your vehicle. The premium price can also be affected by the history of vehicle claims, the average repair costs of the vehicle, and how popular the vehicle is amongst thieves – but not by color.
“Males pay more for car insurance than females” – This is another extremely common myth about auto or car insurance. To some extent, it is true. Until the age of 25, males will pay much more than female drivers. After the age of 25, however, gender is no longer a consideration. Once a male driver hits the age of 25 their policy rate will be the same of a female driver who has the same driving history and make/model of car.
“If my friend causes an accident while driving my car, it will affect their insurance, not mine” – This myth is an important one to debunk, because if you continue to believe it to be true, you could end up putting yourself in jeopardy. All vehicle owners should know the golden rule – if you lend out your vehicle, you are also lending out your insurance. In other words, your insurance is responsible for covering any accidents that occur in your vehicle, regardless of who is driving. So, unless you really trust your friend, don’t lend out your car.
These are just a few of many auto or car insurance myths that surround us every day. If you have ‘heard’ something to be true about auto insurance, it’s best to ask your insurance provider before you assume it to be true – because there is a lot of false information out there!