Understanding car insurance can make you feel more confident when you are shopping for coverage. There are lots of common car insurance myths out there, and many of them are not true. Here are four myths about car insurance debunked.
Red Cars are More Expensive to Insure
According to one of the more common car insurance myths out there, a red car is usually more costly to insure than a white one. This sounds like common sense, but like many car insurance myths, it’s only partially true. When you ask for a quote, the company will usually ask you the model, color of your car, make, and any other identifying information. The more expensive and sporty your car, the more expensive to insure. Many sports cars are red and therefore more expensive to insure than their more bland, four-door sedan counterparts.
Auto Insurance Only Covers Damage to Vehicles
One of the most common car insurance myths is that liability-only coverage covers accident damages. This is actually a myth and actually a very important part of the coverage process. Bodily injury liability protects you from paying for the damages to another person’s body or property that is caused by an accident you cause. In order to be properly compensated, bodily injury liability coverage must be contained in the policy. Some policies have no bodily injury liability coverage, but there are many other policies that have it included.
Insure More For Better Rates
Another of the more common car insurance myths out there is that the more you have on your policy, the better your rates will be. This is not true. How much you pay has to do with determining what kind of driver you are.
If you are someone who has made several auto insurance claims in the past few years and you’re on your third or fourth policy, you are likely to have higher rates than someone who doesn’t have these factors against them. There might be a multi-car discount available, but if you have a lot on your record, it will still be more expensive than what someone else pays that has a clean record.
You Don’t Need Uninsured Motorist Coverage in No-Fault States
One important thing to know is that uninsured motorist coverage, or uninsured motorist bodily injury, can help protect you from having to pay for damages to your car, even in a no-fault state where your auto insurance provider needs to cover. This type of coverage can save you money if you happen to get into an accident with someone who does not have insurance or if they flee the scene of an accident that wasn’t your fault. There are certain benefits that might be available to you under this plan that wouldn’t normally be covered under your own plan.
There are many car insurance myths out there that you need to avoid. Some of these may be related to your coverage, and some may relate to your wallet. Speaking with an auto insurance professional can help you to find the best policy for your car and needs. Contact us at Randy Wise Ford and our dedicated professionals will help you out with any concerns you may have regarding insurance!
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