- October 31, 2016
- Posted by: Jason Duliban
- Categories: Automobile, Insurance
A Quick Round of True or False: Common Car Insurance Myths Debunked
Congratulations, you’re buying your first car! You probably have a ton of questions, especially since there are so many car insurance myths and rumours floating around out there.
At Duliban Insurance Brokers, we help a lot of new, young drivers get the car insurance they can afford. We see a lot of people who get a little overwhelmed with all of the decisions they need to make and what they need to know.
We’re here to help you however we can. To help answer your questions, here are the most common car insurance myths you can officially relax about.
Do you know which of these car insurance myths are true? Some of the answers might surprise you.
Do Red Cars Have Higher Insurance?
Contrary to popular belief, this myth is actually false.
You’ve probably heard before that certain colours, especially red cars, are higher to insure because of their association with racing or sports cars.
The truth is it doesn’t matter if it’s red, yellow, black, pink, or blue. A certain colour won’t get you the car with the lowest insurance.
What does matter is a variety of factors, including model, make, engine size, body type, other drivers on your policy, and how old the car is.
The bottom line: Does a red car increase insurance? No. Go ahead and pick one out.
Insurance is Higher for Those Under 25
This one is mostly true.
Car insurance under 25 years old is generally more expensive mainly due to less years of experience.
Car insurance companies base a lot of their premiums on statistics and factors. Two main factors are whether an Accredited Drivers Training course has been completed and whether the underage driver is going to be an occasional or principal driver. Tickets, suspensions and accidents are also factors used to determine the cost of the car insurance.
This doesn’t mean that it’s impossible to get a good premium. There are many other factors that will be used to determine how much you’ll pay, and every company is different. It takes an expert broker, like us here at Duliban, to find a really good, affordable car insurance premium for you.
Car Insurance is More Expensive for Males
This one is somewhat true. It depends on age and status.
If you are a male under 25, you will likely pay more than females your age. This happens with most young adult males.
However, once you turn 25 your rates should go down.
Car insurance companies look at statistics when they determine rates for individual people. Unfortunately, statistics show that young male drivers in this age bracket are involved in more accidents and have more tickets than the female drivers.
We know that not all young men are unsafe drivers, and we will search all our available companies to find a competitive and affordable rate with the right resources.
Where I Live Affects my Car Insurance
This myth is also true. You might be surprised to find out that the area you live, more specifically what postal code you fill out on your application, makes a big difference for your insurance.
Why? It’s because some areas and cities are labelled higher risk areas.
For example, Toronto would be labelled a high risk area because it has the highest population in Canada. This means there are more drivers on the road who might hit your car and cause an accident. It also means this area is at higher risk of theft due to a larger population or higher crime rates than other cities.
Sports Cars are Expensive for Insurance
This one isn’t necessarily true. There are a lot of factors when it comes to determining your insurance premium, including where you live, your claims history, and more.
The model, year, and make of your car does have an impact on your policy, though. There are certain models of cars that cost more to insure than others, and not all of them are sports cars. In fact, some models cost more than the average sports car.
This is because, due to the higher cost, some sports cars and luxury cars have more high tech anti-theft devices and better security systems in place. This means that these types of cars have lower risks for claims.
Found an affordable sports car you love? Don’t worry about it. Enjoy your drive.
2-Door Cars Have Higher Rates Than 4 Door Cars
This one is false.
In fact, sometimes a 4-door car can be more expensive than the 2-door model. It all depends on what security features are installed in the car and what the model, year, and make are.
Another factor that counts is the repair costs that are associated with your car. Sometimes, a 4-door car is more expensive to fix than its 2-door counterpart, which can make a difference on your insurance.
Looking For a Quote? Contact Your Hometown Brokers at Duliban
At Duliban Insurance Brokers, we know what it’s like to buy your first car because we’ve all been there. It can be overwhelming, intimidating, and confusing, especially when you’re trying to figure out your car insurance. But it doesn’t have to be this way.
Let us help you navigate through this complicated world. Insurance is our business, and we can help you find the best insurance premium. All of our customers are treated like family, so you’ll feel comfortable trusting us.
We are your hometown Haldimand and Niagara insurance brokers who are always available to assist you with your claim. To get started today, call us at 1-855-385-4226 or get a free quote online.