The Myths Of Auto Insurance

By Author: Marcus Stalder
Total Articles: 491
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It's actually amazing how some myths never seem to change. This is not like some organized religion which has Gods and monsters walking around on Earth. This is stories about how to insure vehicles. It should all be easy to understand yet, year in, year out, you see the same misconceptions. Take the idea it costs more to insure red cars. This probably all started with the behavior of some boy racers at stop lights. They sit with their feet gently pumping the gas, anticipating the green and waiting to burn rubber. Those of you into psychology will also know the color red attracts more attention. If the same young drivers were sitting in a green car, fewer people would take any notice. But with smoke rising from the blacktop, we all see the red. Except, when it comes to calculating the premium rates, the color of the vehicle is irrelevant. Yes to the make and model, the driver's age and safety record. But the statistics show there's no different in the number of accidents between colors.

Secondly, there are odd stories about the cost of insurance rising as we grow older. Those of you who have driven from your teen years ...
... will know the rates steadily fall as we pass through our twenties and are at their lowest through to about 55. It's at this point the myths kick in. Yet the reality is the insurers often allow discounts to older drivers who complete an accident prevention course. If you have reached this magic age, you should check with your insurer to see which courses are currently approved. The most common are run by the AARP and are defensive in nature. They reflect the fact we all slow down as we age and our eyes are no longer sharp as the eagle.

Then we get all these stories that your credit score has no bearing on your premium rates. Sadly, this is wrong. Insurers are very interested in how well you manage your money. Those who are not as responsible with their cash are viewed with suspicion. From the other side, those with the best scores are quoted the best rates. Then some people forget to read their policy and convince themselves they are always covered if someone steals their vehicle or it's struck by lightning and set on fire - like Jehovah was angry with them. Except this coverage only applies if you have paid for a comprehensive policy. Most people who don't have an auto loan and drive something older, drop the optional coverage of collision and comprehensive to save money.

Finally, some people seem to think our military pays more to insure their vehicles. Actually, it's the other way round. Every serving member of the military and their families are entitled to a discount. It's one of the benefits of signing up to defend our country. Stay home and be safe as a civilian - there's no special treatment. So, when you set out to get auto insurance quotes, make sure you have your facts straight and ask for the discounts you are entitled to. No one protects you from yourself. Forget the myths and get the auto insurance quotes based on the facts.