Auto Insurance Myths Debunked

Does the cost of Auto Insurance intimidate you? If it does, then we’re here to help you bust this age-old myth. Continue reading to understand how you can find cheap insurance options that will drastically reduce the cost of maintaining your automobile!

Auto Insurance is a necessity in today’s world. The heavy reliance on automobiles and looking at the rise in traffic every day helps protect the insuree in many ways. This is just one of the million reasons the government has made it mandatory for everyone who owns a vehicle to have Auto Insurance.

But most people are still quite resistant to buying Auto Insurance. They assume that Auto Insurance costs are very high. So much so that they end up deciding not to buy a car just to avoid it.

Of course, this is just a perception of the unknown. The fact is, people usually overestimate many aspects of Auto Insurance costs and premiums. They also have limited knowledge of how far their policy will cover them.

That’s where we come in! We’re here to bust some common myths about Auto Insurance, its costs, premiums, and coverages. So put your seatbelts on and get ready for a knowledgeable ride!

Myth 1: Auto Insurance is very expensive

Based on many studies conducted, most people in the USA assume that Auto Insurance costs nearly three times more than it actually does.

This is one of the most prominent factors that put them off from buying an automobile. And based on many factors and requirements, you can even lower the cost of your Auto Insurance. Therefore, we can definitely say that the cost of Auto Insurance is a lot lower than what everyone assumes.

Fact 1: Average Auto Insurance cost is a lot lower than what people assume.

Myth 2: The color of the car affects the Auto Insurance costs

Many people believe that buying a red-colored car will increase your Auto Insurance costs.

But the fact is that insurance companies don’t care about the color of your automobile. So saying that a ‘red’ colored car attracts attention or a ‘white’ colored car helps you hide in plain sight may sound good in theory, but they have no practical effect on the Auto Insurance costs. Hence, you don’t need to worry about the color of your car increasing the cost of your insurance.

Fact 2: The color of the car does not affect the Auto Insurance costs.

Myth 3: Your insurance provider doesn’t consider your credit score

The fact is, your credit score has a major effect on Auto Insurance costs. Insurance providers provide different packages to different people based on their credit scores. It is based on the theory that anyone with a good credit score is better at managing their finances. Hence, they are considered to be safer candidates for insurance

Fact 3: Good credit scores can reduce Auto Insurance costs.

Myth 4: Auto Insurance costs more when you get older

People in the USA usually think that the cost of Auto Insurance keeps on increasing as you get older.

It’s actually quite the opposite. The cost of Auto Insurance gradually decreases until you reach a certain age. Once you hit 60, it starts going up again. This is based on the fact that as someone gets older, their experience driving an automobile also increases. More experience means fewer chances of accidents, medical expenses, or claims. And hence the Auto Insurance cost also keeps dropping gradually. But once you reach the age of 60, there is a very good chance that your senses and judgment deteriorates. And hence the costs start increasing again. So the fact remains that the cost of Auto Insurance is much higher for the younger generations than it is for experienced individuals.

Fact 4: The cost of Auto Insurance keeps dropping until you hit the age of 60.

Myth 5: General Liability Insurance in Auto Insurance provides enough coverage

Majority of the population in the USA assume that getting a basic Auto Insurance policy is enough. They don’t think that they need to get premiums or Full Coverage as long as they follow the rules and drive safely.

Through proper management and controlled handling of your automobile, maybe you can manage living at the bare minimums of Auto Insurance. But even the safest drivers get into accidents at times. And that can be because of someone else’s reckless driving. So it’s always wise to have extra protection to cover such incidents. Your policy should include Personal Injury Protection Insurance, Umbrella Coverage, Tow & Labor Insurance, and Liability & Comprehensive Insurance. For those using their automobiles for business, you also need Non-Owners Auto Insurance. Hence, we can conclude that just having General Liability Insurance is not the best way to keep yourself protected.

Fact 5: A basic Auto Insurance coverage is not enough to protect you from every incident.

Fact 6: Exceed Insurance is the best place to find affordable Auto Insurance options.

Finding affordable Auto Insurance requires some thorough research. It’s important for you to understand your needs and requirements. You should also learn about the percentage of the claims the insurance provider has granted and how much coverage they have provided. And you should remember that the average Auto Insurance cost of your region is just that, an average. You can also find cheap insurance policies if you actively look for them.

You can also just call our insurance experts on 855-5EXCEED or write to us at [email protected]. State your requirements to our insurance experts, and they will help you find the most affordable Auto Insurance options. Our list of clients includes a wide variety of Auto Insurance companies in the US. You can compare every option and choose what you feel best fits your needs. We at Exceed Insurance will do our best to make your life a lot easier!

Like this article?

Share on Facebook
Share on Twitter
Share on Linkedin
Share on WhatsApp

Get a quote