When it comes to car insurance, doesn’t it seem as if everyone has an opinion? There is a lot of misinformation out there. How are you supposed to see through the smoke to understand car insurance if you cannot be sure what is fact and what is fiction? We are here to help!
If you have purchased a new car recently, or are looking to change your policy, you may find yourself spending a great deal of time on the Internet, talking to acquaintances, and doing your “research” about car insurance. It is a very important piece of a motorist’s to-do list and it is important that you make an informed decision. However, as a motorist, you should know that there is a lot of information out there about car insurance that is simply a myth. Over the years, many people have formed assumptions about trends in car insurance and like the game of telephone; everything has spiraled into a huge clump of misinformation.
4 Common Myths About Car Insurance
Although there are many myths, check out a few we hear a lot and their truths:
1. Your credit score does not matter. This is a hugely hot topic. Does your credit score matter when you are being quoted for an auto insurance policy? The short answer: yes. The long answer has to do with your credit and your reliability. Your credit score is generally a good indicator of your dependability when it comes to paying off debts and managing your finances. When you have an insurance policy, insurers will want a candidate with good credit because it shows their financial responsibility.
2. The color of your car matters. This myth is as old as time itself. Many people tend to believe that depending on the color of your car, your auto insurance rates will change. Have you ever heard someone tell you that a red car may cost more to insure due to its increased visibility? This is simply not true. When it comes to the type of car that you drive, what matters is the make, model, body, style, year, etc.
3. Personal property is covered. Many people tend to believe that if something happens to their car, whatever is inside of the car at the time is also covered by their auto insurance. Unfortunately, this is simply not true. You may, however, be able to file a claim for personal property with your homeowners or renters insurance policy.
4. Rental cars are automatic. Unfortunately, if you are in an accident or need repairs that may leave you without a car for some time, the cost of a rental vehicle during that time is not included in your auto insurance policy automatically. You can, however, add it on!
Do you have other questions about car insurance? Contact the professional agents at Safeguard Insurance today.