Inland Empire Autobody & Paint Inc. | Moreno Valley, CA

The world is full of things that you hear that may not be true. What insurance covers on a car is often the subject of many of these myths. Some things assumed about insurance coverage may be partially true, but one must do research to get to the solid truth. Here are some common myths about insurance coverage of your car. 

Many have heard that the color of your car can affect what you pay for insurance. The truth is there are many things that the insurance company uses to work out the cost of your insurance. Things like your age, your driving and credit history, the vehicles make, model, age, engine size, and body type. Also, the expense of the car itself can affect your insurance costs. All these factors play a role, but the color of the car has nothing to do with it. 

When you buy a new car, is it covered by your insurance as soon as you drive off the lot? The answer depends on your insurance company. Typically, they will provide coverage for a new car, but not all policies do this. Your best bet it to check with your insurance to make sure. 

Will your insurance pay off the loan on your car if it is totaled? If you have a catastrophic accident and your car is totaled, most insurance policies will reimburse you for the full market value of your car. Depending on what your cars market value was at the time of the accident, you may owe more than what the car is valued at and in that case, you would be responsible for paying off the remainder of the loan.  

There are many other misconceptions about insurance coverages on cars. Insurance does cover many things but sometimes there are conditions. The best way to make sure what is really covered by your insurance is to talk to an insurance agent.