While watching TV, I always see the commercials from a “real person” saying how their previous insurance policy didn’t have Accident Forgiveness or New Car Replacement or Roadside Assistance but luckily they learned their lesson and switched. My dog always looks at me weird when she hears me telling the TV,
“Oh, please! Most companies do offer these coverage’s, you just have to pay for it!”
My kids also pick up on these things – when my oldest son’s high school teacher was trying to give the kids a lesson and referred to a car insurance example, my son raised his hand and politely told her that it wasn’t right. She wasn’t happy, of course, to have a teenager correct her so he explained, “My mom is an insurance agent”. Finally, I had my proof that my son actually listens to me!
So, along with these commercials that claim only their company offers important coverage’s, it’s time to dispel other common auto insurance myths.
The red car is more expensive to insure.
Color has nothing to do with your insurance. The red car may be more noticeable to cops when you are speeding but the color of the car didn’t make you push down a bit harder on the gas pedal.
If my friend drives my car and is in an accident, his insurance will pay.
Keep this phrase in mind, “Insurance follows the vehicle”. If your friend borrows your car to drive from Niceville to Destin and is in an accident, your policy pays out first. If the limits are exceeded, your friend’s policy is secondary.
I have full coverage insurance so I am covered for everything.
I’m not sure who started the phrase of “full coverage” but I am assuming it was a car dealer. Your policy will already have Bodily Injury and Property Damage to cover your liability for someone else’s injuries or damage. If you add on Comprehensive and Collision, this gives you coverage for your car. Just because you have these coverage’s, does not mean that you have car rental, roadside assistance, gap coverage, etc.
New cars always cost more to insure
Not necessarily. The safety features that are coming out compared with what they used to be add a really nice discount!
I took the class that the cop told me about when I got my ticket, so it won’t show up on my MVR.
Here’s the deal, it takes away the points but not the incident. In the insurance world, we do not look at points, we look at incidents. The class helps if you are close to having your license suspended for points but the incident still happened.
Cheaper cars cost less to insure.
I’m driving from Fort Walton Beach to Atlanta and my car insurance will reimburse me for renting a car.
No, this is not what Rental Reimbursement is. Rental Reimbursement is if you need to rent a car while yours is being repaired due to a covered peril such as an accident or flooding, it will help go towards the cost. You do not automatically have this coverage so check your policy.
Moving from Crestview to Orlando won’t make my rates go up since they are both in Florida.
I always feel bad when this happens to people and they were not expecting it. Insurance rates are also based upon statistics from the zip code so of course, it can go up when you move to a more populated area.
Someone broke into my car at the mall and stole all of my Christmas presents! I can file a claim on my auto policy.
Well, your auto policy doesn’t cover your personal property so you will need to file against your homeowners policy but keep in mind of what your deductible is – usually $1,000 or $2,500.
The car salesman told me that I had up to 30 days to add my new car to my policy.
Unfortunately, I have heard this phrase too many times. First of all, it really depends on the insurance company – some give 7 days, others up to 14 or some may go all the way to 30. With the busyness of life, guess what gets forgotten? Calling to add the car. Then you have the lien holder trying to force place insurance on you because they don’t think it’s insured and that’s a battle… Not to mention that your other vehicle only had liability so your new car “mirrors” that coverage which means it only has liability until you officially add it… So, please, do me a favor – add that car immediately. You never know, it might not be as bad as you expect because of a multi car discount and even the safety features.
My policy isn’t concerned about the side business I have going on.
Yes. Yes, it is. Are you driving to multiple places a day due to your business such as selling / repairing / dropping off items? Do you make money from doing this? Do you have a sign on your vehicle advertising your business? Call your agent and let them know. Make sure that you are rated correctly because it will be really upsetting come claim time if you are denied.
*If you’re doing a Ridesharing program, please contact us as there are specifics you need to be aware of.*
I’m going to need to take out a small loan to pay for adding my teenager.
Sometimes, it is not as bad as you would think. If your child has a GPA of 3.0 or above, that is an incredible difference! Some companies even offer teen driving programs that if they enroll, it can offer a discount.
As with everything else in life, there are exceptions to every rule. While most things are pretty standard, each company has guidelines that they are able to work with and options can vary state to state. Take a moment to call us or your agent and review your policy. We would rather educate you now than after a claim.
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