Car Insurance Myths Debunked

Understanding car insurance can be difficult – it is super complex and there is a lot to know. Not to mention, there are many myths that are constantly being talked about when it comes to car insurance, making it hard to decipher what is true and what isn’t. It is important that you fully understand the facts about car insurance to ensure that you are keeping yourself financially safe. Here are 3 popular car insurance myths that we are debunking:

• If you total your car, insurance will completely cover the costs. This is false. Your insurance will only pay out depending on the value of your car, which is determined through an audit by your insurer. When they are determining the pay out after a car accident, depreciation is considered, since over time there will be wear and tear on your vehicle.
• If you get a traffic violation, your insurance will skyrocket. This is false. Getting a traffic violation will not necessarily cause your car insurance to immediately rise, especially for a minor incident. Over time, if you continue to get traffic violations and accumulate tickets, you may see an increase in your insurance.
• The color of the car you drive will affect your car insurance. This is false. The color that you choose for your vehicle has absolutely no impact on costs relating to your car insurance. There are other components of your vehicle that are taken into consideration, such as the make and year, but not the color.