Buying auto insurance policies can be highly stressful. This is because most people do not really know much about them. The big problem is most information you find online or is presented to you by people you know is false or not completely accurate. Because of this, thanks to the information of a highly specialized truck accident lawyer, here are some auto insurance myths nobody should still believe.
Auto Insurance Is Influenced By Vehicle Color
In reality, it does not matter what color your car is. While there are several factors that do influence auto policy prices, like car make, engine size, age, sticker price, repair costs, overall safety records, and so on, color is simply not considered. The myth appeared because most sports vehicles in the past were of some specific colors, like blood red. The reason why those cars were more likely to be stolen or end up involved in accidents was their engine, not color.
Being Older Means Insurance Is Higher
The truth is that many older drivers actually qualify for discounts. As an example, people over the age of 55 might receive reductions when they finished an accredited accident prevention course. Also, retirees are often eligible for discounts simply because they will drive less.
Discounts and driver programs do vary from one state to the next and from one carrier to the next one. However, being older generally means your insurance policy will be lower, not higher.
Credit Rating Does Not Influence Insurance Rates
This is incorrect. Your credit score might influence your insurance rate. Insurance companies do this because statistics showed those who have a low credit score are more likely to be involved in auto accidents. Credit score is considered to be a predictor of whether or not an individual is going to file insurance claims in the future. If your credit is good, you often end up being offered much better rates.
You Just Need The Minimum Insurance, According To Law
In all US states and most parts of the world, there is a minimum auto liability coverage required by law. However, this does not mean it is a good idea to only get that. The minimum liability means you are going to have to pay a lot more in the event that an accident will happen. Generally speaking, it is recommended to have at least $100,000 as coverage for bodily injury and at least $300,000 per single accident. Umbrella liability policies are also highly recommended when your personal financial assets are substantial.
Soldiers Have To pay More For Auto Insurance
Most auto insurance providers present military personnel with discounts. To receive it, you have to supply documents with your rank, name, and service situation or history. It is even possible that family members of former military members receive discounts when they choose to work with some insurance companies.
The best way to get good information about the auto insurance policies and prices you can get is to shop around. Find the best carriers that you can work with and then compare the deals they offer. And when you have questions, ask the insurance providers or people specialized in finding the best deals for you.