Ah auto insurance. It’s something everyone has to have- in most states at least- yet it’s also something most people know very little about. There are many misunderstandings and even myths surrounding the car insurance industry, and it’s important that you’re not duped by these myths. Many people make important decisions, some of which can be costly, based on these types of misconceptions, so it’s smart to educate yourself on the truth now to avoid making mistakes later.
Are Red Cars the Most Expensive Cars to Insure?
This myth sounds pretty crazy, but a lot of people out there willingly believe it. No one is quite sure how this myth got started, but it basically states that red cars are more likely to be pulled over for speeding and, thus, they cost more to insure than cars of other colors. If you think that sounds silly, good for you, because it is. The color of a vehicle has absolutely no bearing on the associated
Can an Insurer Cancel a Policy As Punishment for a Bad Accident?
A lot of people live in fear of causing a serious vehicle accident, one that results in death or severe injury to others. Some people have even more fear than normal, however, because they have bought into the lie that their insurers can drop them “just like that” as punishment for causing a major accident. Rest assured that unless you don’t pay your premium or you are found to have lied on some important insurance document, your provider can’t drop you as punishment. The provider can choose not to renew your policy once it’s expired, but you won’t just be left in the lurch before your policy runs out.
Does a Smaller Car Cost Less to Insure?
It’s smart to consider the cost of insuring a particular vehicle when you go shopping for a car. It’s not so smart, though, if you base your purchasing decision off of misinformation. One common lie that gets passed around is that smaller cars cost less to insure, but that’s not necessarily true. Small, trendy sports cars, with high price tags and with typically high risk drivers, are actually some of the most expensive cars to insure. However, smaller or middle size SUVs are usually some of the cheaper vehicles to insure, but that has more to do with their safety ratings and what the average SUV driver is like than it does with the size of the vehicle.
As you can see, there’s a lot of just plain wrong information about car insurance floating around out there. To avoid buying into a fallacy, always do your research and talk to your insurance provider before you make any decisions based on something you’ve simply heard is true because it may not be.