4 Auto Insurance Myths

auto-insurance-mythsEveryone would like to pay less for auto insurance, right? No one wants to pay more for something than they have to. But understanding auto insurance is the key to knowing what you should pay for and what you should not, and there are several myths that should be cleared up for consumers who might be in the dark. Here are just a few.

First, you are responsible for your vehicle no mater who is driving it. If you loan your car to a friend and they have an accident while driving it, your insurance company ill be responsible for damages. Second, credit rating DOES affect your insurance rates. A low credit score translates into a higher risk for the insurance companies, who then charge you more for insurance. It may not be fair, but that’s how it is. Third, The color of your car really doesn’t have anything to do with your insurance rates, though the make and model certainly do. You will pay more to insure a brand-new Corvette than you will to insure a ten-year-old Toyota Corolla. Last, collision insurance covers simply that: collisions and damage resulting from them. Comprehensive coverage is needed to cover any other damage to your vehicle such as storm damage, theft, or blowing to smithereens while you replace a spark plug. Collision coverage only covers collisions, not any other incidental situations.

Knowing the facts should help you to decide on the best auto insurance for you

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