When you are shopping for car insurance using online quotes, it is important to know the facts from the myths if you want to get the best insurance coverage at the lowest rate.
- Car color affects insurance
The color of your car does not affect your insurance premiums, as popular legend would say.
- Car Insurance will pay off my car
Most insurance companies will only pay the book value if the car is stolen or totaled. If you are paying off a car loan, consider getting GAP coverage to pay the difference.
- Liability coverage will repair my car
Liability coverage is meant to pay for the damages or injuries you cause to other people. Collision coverage will repair your car.
- Car insurance rates are based only on your driving history
Your premiums will be based on more than a dozen factors, ranging from your credit score to the car you drive, from your job to whether you are single or married.
- Full coverage will pay for everything that could happen
Full coverage does not automatically cover towing or car rental reimbursement, but it does offer collision and comprehensive coverage combined.
- No fault insurance means that you will not be responsible for an accident
No fault insurance means that each driverâ€™s insurance will automatically cover injured people, and then negotiate the costs between insurance companies for the different drivers.
- Women have to pay more for insurance
Women have notoriously been ridiculed as bad drivers, but the fact is that insurance companies consider a female driver to be less of a risk, not more.
- New cars cost more to insure
Safety features and highway statistics play a large part in determining the premiums, and newer cars sometimes cost much less because they have improved the safety for you and your passengers.
- I canâ€™t get insurance coverage
If you are legally entitled to drive a vehicle, you can get insurance. Try high risk insurance companies if you have been turned down elsewhere.
- My credit score is not important for car insurance
Your credit score serves as a measure of your financial responsibility, and that means a lot.