True or False: How Many of These Supposed Auto Insurance Rate Facts Do You Think Are True?

Consumers may feel perplexed when it comes to auto insurance. Many automobile owners, according to consumer studies, are unaware of what sort of insurance they require or the differences between various policies. We’ve compiled a list of pointers and frequent misunderstandings to assist you in selecting an insurance that’s suitable for you and your family.

True or False: The price of vehicle insurance is determined by the color of the vehicle

False. Car insurers are more concerned with the make, model, year, body style, engine capacity, and in some cases, the location of the vehicle (i.e. street parking vs. garage).

True or false: If you don’t report an accident, you can protect your rates from rising

False. If you are involved in an accident, the other person may make a claim for damages or injuries against you and your insurance carrier. It’s possible that your rate will rise as a result of this. Furthermore, if you received a ticket as a result of the collision, it will appear on your driving record and may result in a premium rise.

True or false: Insurance prices are influenced by credit scores

True. Your credit score reflects how effectively you handle your money. When acquiring or leasing a car, many businesses look at this number, and it is a major component in determining your insurance premiums. Note that California solely considers married status when calculating rates. In Los Angeles, customer premiums are also affected by income.

True or false: Car insurance is more expensive for seniors

False. Drivers over the age of 55 may be eligible for lower insurance premiums (if they successfully complete an accident prevention course). Furthermore, you may be entitled for a reduction of up to 5% if you are no longer working and driving less.

True or false: My insurance coverage can be cancelled at any moment by the insurance company

False. Insurers cannot terminate a policy in the midst of a term unless they have a good cause to do so.

True or false: If you lend your automobile to a friend and they get into an accident, your insurance company will only cover the registered vehicle, not the driver.

False. Even if you were not the driver, you are ultimately accountable for an accident and any damages that result.

True or false: There are many potential insurance policy discounts

True. Insurance prices can be reduced by a student with high grades, minimal car mileage, and combining auto, home, and other policies. When shopping around for insurance, make sure to constantly inquire what savings are available.

Uninsured/underinsured motorist coverage is recommended by The Law Offices of Larry H. Parker. At the absolute least, liability insurance coverage is required since being uninsured is never a good idea.

For a free consultation, call The Law Offices of Larry H. Parker immediately at (800) 333-0000 if you or a loved one has been harmed in a vehicle accident due to no fault of your own. Our skilled automobile accident lawyers are here to assist you and fight for you during this trying time.