There are a number of popular but inaccurate myths about car insurance. Navigating car insurance can be confusing. Not knowing the facts may lead a car owner to invest in insurance that is not right for their situation. This can lead to spending more money in the long run. Check out the following popular debunked myths to learn the truth about car insurance.

Red Cars Cost More

Many believe that the police are more likely to pull over and ticket red cars. However, the color of your car does not factor into your insurance rate in the slightest. Insurance companies use the following factors about your car to help determine your rate:

  • Make
  • Model
  • Body type
  • Engine size
  • Age of the vehicle
  • Cost of the vehicle

Your driving record and credit history can factor into your final rate as well.

Smokers Pay Higher Insurance Rates

Most car insurance companies do not inquire about your smoker status. Whether you smoke or not does not factor into the equation.

Car Insurance Rates Plummet After 25

There is some truth to this statement, but it is not true across the board. For example, if you rack up a number of speeding tickets or purchase an expensive car your rates may not go down by 25 like you would expect. Insurance companies consider a number of elements about drivers when determining rates. These include:

  • Driver’s age
  • Claims history
  • Driving record
  • Credit history

The claims experience of other drivers like you (same age, location, etc.) can affect the final rate as well.

Car Insurance Costs More for the Elderly

This myth implies that older drivers are more likely to get into car accidents due to weakening vision and reduced reflexes. However, the opposite is most often true. Individuals 55 and older can receive reduced rates if the complete a driver safety course. AAA and AARP offer these courses. Retired drivers may also receive a discount as they are driving less often.

If you are uncertain about your car insurance needs, contact the experts at Leverity Insurance Solutions. Leverity can separate the myths from the facts to help you choose the type of coverage that is best for you.