By Sujain Thomas
Auto insurance is one of the most common types of insurance available. Although many people are familiar with what auto insurance entails, there are various costly myths about this particular type of insurance. Debunking them will go a long way towards helping you save money and enjoying the benefits of auto insurance.
- Myth: The color of the car determines the cost of insurance.
Fact: It is commonly believed that red cars are more expensive to insure than other colors. The color of your vehicle will not increase or lower premium prices. Insurance providers are interested in factors such as the year, model and make of your car. The color of your car is a personal preference or and it has no impact on insurance costs.
- Myth: Older cars are at a lower risk of being stolen.
Fact: Any car may be targeted by thieves regardless of how old or new it is. Several stolen vehicles are classified as old.
- Myth: Coverage is automatic for vandalized and stolen cars as well as those that are damaged during natural disasters.
Fact: The type of insurance policy that you have determines whether your car is covered under certain circumstances. When you buy auto insurance, it is important to make sure that you get as much coverage as you need. View more at http://cheapautoinsurance.net.
- Myth: Credit has no impact on insurance rates.
Fact: There are various factors that are taken into account by insurance providers when determining what your insurance rates will be. Your credit indicates your ability to manage your personal finances. This is why insurers may look at your credit score when you want to buy, change or renew a policy.
- Myth: If a person borrows the car and is involved in an accident, your insurance rate will not be affected.
Fact: When other people borrow your car, they borrow your insurance. The car owner’s insurance will be used to cover damages. Insurers keep track of the car, not the person who drives it. The owner of the car is always responsible for the accident, not the driver.
- Myth: Insurance companies can cancel policies without notice.
Fact: Insurers can only cancel policies if there is a concrete reason such as fraudulent activity or if premium payments are not being made.
- Myth: Auto insurance premiums are always higher for business vehicles.
Fact: This is not always the case because business owners may be more likely to exercise caution with their cars. There is often the assumption that a business car would be better maintained than a personal one because there is a lot more at stake.
- Myth: Personal items in the car are covered.
Fact: If your personal property is damaged during an accident, you cannot claim it though car insurance.
- Myth: No-fault claims mean you are not responsible.
Fact: Both you and the other party involved will receive coverage for costs such as medical expenses while the insurers determine who will cover the actual accident.
- Myth: Courtesy or rental cars are guaranteed if there is an accident.
Fact: If your car is damaged or stolen, a rental car will not automatically be provided. It is given if there is additional coverage and is subject to the terms and conditions of the policy.
Sujain Thomas
Author Bio: Sujain Thomas is a qualified career counselor. She has helped aspiring students to identify the right career as per their skills and aptitude. She enjoys blogging in her spare time.
If you would like to submit a guest post on food, wine or travel to Where and What in the World, I would be happy to feature your travel experience , drink, special wine tasting, or family or simply delicious recipe. If you go to submission tab, you will see how to submit, as well as have the opportunity of telling me if you would like to would like to be a regular contributor. When uploading a file for submission, you are also able to upload jpgs. Please feel free to put a last paragraph about you and a link to your profile. No html please. You can also include a head shot.
Author: Maralyn
Maralyn Dennis Hill, The Epicurean Explorer, is president emeritus of International Food Wine & Travel Writers Association, member of Society of American Travel Writers, and Society of Professional Journalists. She is Executive Editor of Luxe Beat Magazine and contributes to other publications. She also speaks and is a guest on many shows. The majority of Maralyn’s articles are now geared to the luxury market, spas, corporate retreats, business events, and culinary tourism, from simple to gourmet. Maralyn’s description of herself: I was born to travel and tell the tale. I’m energized by different cultures in every aspect of their lives, from food, wine, and destination, to how they conduct business. Travel represents a continual geography lesson.
