There are a lot of myths out there about how much car insurance really costs. You may have heard that driving a red car will cause your premium to skyrocket, or that you’ll never be able to find affordable insurance with a bad driving record. But have no fear! Direct Auto is here to separate the myths from the facts when it comes to car insurance rates. Read on to find out which car insurance myths are actually false.
Myth: Red cars cost more to insure.
Actually… The “red car” insurance myth is one of the most prevalent, and it’s entirely false. (Just ask the Insurance Information Institute.) The fact is, the color of your car has no bearing on the rate of your premium. So what about your car does affect your premium? Some of the most common traits that insurance providers will take into account are a car’s age, make, model, engine size, and body type.
Myth: Older drivers automatically have higher premiums.
Actually… Sometimes just the opposite can be true! Older drivers can be eligible for a senior citizen discount if, for example, they are age 55 or older and have successfully completed a motor vehicle accident prevention course.
Myth: Your driving record is the only history that matters for car insurance.
Actually… While your driving record is an important factor of your personal history when it comes to determining car insurance rates, providers can look at a lot more. If you have a bad credit history, car insurance at a lower rate may be harder to come by. Many companies use your credit score or insurance score to determine the risk level of a driver, and therefore the rate of their premium. Learn more about credit scores and car insurance.
Myth: Where you live doesn’t affect car insurance rates.
Actually… Location can affect car insurance rates. However, it’s not a case of city vs. suburbs; car insurance rates can depend on the crime rate, level of theft, or level of vandalism or an insurance carrier’s overall claims experience in a particular area.
Myth: High-risk drivers will never be able to get affordable car insurance rates.
Actually… While high-risk drivers may have a harder time finding insurance for their needs (often called “non-standard auto insurance”), it’s not impossible to find customized payment options, which can make auto insurance more affordable. There are insurance providers that specialize in high-risk auto insurance that will let drivers customize an insurance payment plan. Ready to figure out how much your car insurance could cost? Get a car insurance quote from Direct Auto & Life insurance to get started!
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