5 Common Myths About Auto Insurance
#1 Certain colors will cost you more for car insurance
It’s been said that red cars get pulled over more or get in more accidents, but studies show this simply is not true. It is unlikely that an insurance agent will even ask the color of your car—they are interested in make, model, and driving history.
#2 Driving record and Credit don’t matter if you change companies
If you were in an accident and your rates increase you can’t pretend it didn’t happen by going with another company. Your driving record follows you and will be checked by each company. Statistics show that your credit rating is a factor in determining potential risk to an insurance company.
#3 If someone borrows your car THEIR insurance covers a wreck
Auto insurance follows the vehicle, not the driver. If your policy reaches its limits then the driver’s policy may come into play, but that is assuming that they do have insurance. If you loan your car to a friend often you should add them as a driver.
#4 Auto insurance pays for hail, fire & vandalism
The law only requires liability insurance, but if you opt for that coverage then damage to your vehicle is not covered unless you’re in a collision and the other driver’s insurance assumes responsibility. Your lender may require you to carry comprehensive and collision insurance to protect their interest. In 2013 the average claim was $3,144.00, so it is a good idea to protect yourself.
#5 Every insurance company will give you a similar quote
Insurance providers use different methods to calculate risk. Some may focus on how many miles you drive, while another cares more about the make and model of the vehicle. Carriers also offer different limits and discounts.
The bottom line is: Don’t believe everything you hear about auto insurance! Ask a licensed agent to separate the facts from the fiction. Myth #5 is where Insurance Professionals of Arizona will really benefit you. We shop over 40 of the top rated carriers to find the perfect fit for you. Let us do the research and price comparison for you and save you money at the same time. Whether you are in Phoenix, Tucson, Flagstaff or Mesa we offer the best insurance and service!