Some myths you need to consider when you shop for car insurance

If you’re among those who think buying car insurance as an unnecessary expense, then it’s high time you consider the importance of having your own policy. Just like when human beings fall sick, they go to the doctor for check-up similarly, when your car meets with any accident, you’ll require adequate coverage for it. Thus, it’s vitally essential to buy sufficient car insurance in advance so as to keep your vehicle protected. Buying the right insurance can be complicated for you if you don’t know its pros and cons. Since misapprehensions can be expensive, here are the most common car insurance myths demystified. 

Myth 1: Red cars are believed to be the most costly to insure

Fact:Approximately 25 percent of drivers believe that the car’s color is an important factor to determine the insurance rate, particularly if their car is red. However, the belief that red car drivers pay high car insurance premium is definitely a myth. The insurance companies will not ask your car’s color when they’ll work out your car insurance rates. The concept may have come due to the fact that people who drive red sports cars are irresponsible by nature. You need to know that car insurance companies are interested in the year, model, make, engine size, body type and age of your vehicle. Though the color may be a concern for you, it will not matter at all to your insurance company.

Myth 2: Thieves choose to steal new cars

Fact:As per the statistics, thieves actually choose to steal older cars. The reason why older vehicles rule the list is they can be targeted easily by the thieves. Since people are keeping their cars for long even in the tight economy, there has developed a strong market for the used parts that have come from the stolen vehicles. However, if you’ve an older vehicle and have decreased comprehensive coverage in order to save money, then you aren’t covered for theft. Also, you won’t qualify for rental car coverage.

Myth 3: Car insurance will cover if your vehicle gets stolen or damaged from fire.

Fact:If you do not have comprehensive coverage, you will not get coverage in case your car gets stolen or damaged from fire or hail. A bare-bones policy in most of the states will require you to purchase liability coverage. This pays only for the damage that you may cause to other people. Buy both comprehensive and collision coverage to secure your car completely from all kinds of damages. Comprehensive coverage covers the damages to your car that have not taken place due to car accident. This consists of theft, damage, fire and accidents. Collision coverage pays for the damage to your vehicle due to car accident.

Though price is very important when you want to purchase insurance, it is not at all the only consideration. It is also vitally important that you buy the right amount of coverage for your vehicle. So, shop around thoroughly and compare between several policies before you may decide to spend your hard-earned dollars in buying the right policy for your precious car.

Sam is a financial writer and a blogger. He writes content on insurance topics and get them published across the web. He is also associated with a few insurance communities and takes part in discussion with regards to insurance related queries.