Auto Insurance Myths

Myth #1 - My driving history is the only factor that determines my car insurance rate.

There’s a lot more to your car insurance rate than your driving record.  Other factors include your age, years of driving experience, type of car (typically, the higher the crash-test score, the better your rate), the town you live in, the number of policies with the same company as well as your payment history.  Also, if you are a student, good grades can help reduce your premiums.   

Myth #2 - The color of my car affects my insurance rates.  Bright red cars are more expensive to insure. 

The color of your car has no bearing on your auto insurance rate.  Red, yellow, purple, zebra-stripped, it makes no difference.

Myth #3 - If I stay ticket and accident free, my rate will go down.    

Remaining ticket and accident free will help lower your rate over time, but other factors can keep that rate where it is or even make it go up.  These include national or regional trends such as the increasing cost of repairing vehicles, rising hospital expenses, and more lawsuits.

Myth #4 - “Full coverage” includes rental and towing coverage.

Rental and towing are separate coverages that need to be added on and carry additional costs.

Myth #5 - Comprehensive insurance covers mechanical problems.  

No, comprehensive coverage pays for damage to your car that results from things such as theft, vandalism, hail, fire and flood.  But trouble with your transmission is on you. 

Myth #6 - Newer cars are always more expensive to insure.     

Some newer cars are less expensive to insure than older ones are.  It depends on the year, make and model.

Myth #7 -  Smaller, less expensive cars are cheaper to insure.

For collision and comprehensive coverage, this is often not the case because smaller cars typically sustain more damage in an accident and have a higher rate of being “totaled” in a collision.


If you have questions about any of these auto insurance myths, call us today at 800-922-8381 to get the facts straight!