In this article, we will tell you what are the Widely Spread Myths About Car Insurance Plans. If you feel you know a lot about car insurance, believe me, there is a high risk that you are believing some myths about the insurance plans. Some of the car insurance is believed as facts and it becomes harder to separate the facts from the myths. This article is intended to make you able to understand the realities and spread over myths of the car insurance plans. What to expect and what not to expect in car insurance, these two factors play a vital role in selecting the appropriate car insurance plans.
Here are top myths about car insurance plans which are believed as fact by many.
Full Cost recovery.
Most of the people think that insurance company will bear the full cost of the damage occurred in the result of an accident. But it is a widely spread myth which is baseless. The specific car insurance plan offers specific coverage’s in case of an accident. Your policy may be the combination of many car insurance plans but availing the full coverage on car insurance is not as easy as it is assumed.
If you avail the car insurance plan which is legally mandatory by the state, only damages to other person and to his car will be covered and your damage will be covered by the insurance plan of other’s person. In many states, it is essentially required to have personal injury protection insurance plan and your medical treatment expenses will be arranged by the insurer if you get injured from an accident.
If you avail the comprehensive insurance plan and think that you are fully covered, think again and review the insurance plan. It is right that you will be covered if your car got damaged by the hail, storm or other natural disastrous phenomena but this insurance plan will not cover the accidental damage or hit and run type accident. For covering this end you have to couple your comprehensive insurance plan with Collision insurance plan to cover this end.
Insurance Cost depends upon Color.
It is a widely spread misconception that car insurance cost varies from color to color of the car. This is not a fact just a myth. People think that red color cars cost a higher amount for insurance plans in comparison to other available colors.
If you look over the car insurance application form it is evident that no information regarding the color of the car is required. All you need to provide is just your information and the model make of the company.
The main reason behind not asking the car color is that insurance companies are there to earn profit and excel their business. If they had any idea that your car color had anything to do with your driving style they would definitely require the car’s color information.
For the SUV cars which are expensive, and require a lot of money for repair work and can achieve maximum speed in a minimum time, for these cars premiums will be higher.
Employers Insurance Plan will cover me.
Sometimes people get confused if they are working in a traveling company and their duty is to just drive the car. These drivers assume that the company has already purchased insurance plans for its drivers so there is no need for me to purchase the new car insurance plan.
It is a myth, most of the times company purchases the insurance plans to cover its assets and resources and that is nothing to do with you. So be very careful before joining any such employer, be well informed about the insurance plans and your coverages otherwise you will remain shocked in case of any untoward accident.
Fast, Shiny and Expensive Cars are attractive for thieves.
Many people believe that only shiny, expensive and fast cars are attractive for thieves and they do not pay attention to the low budget and old cars. It is a myth and a totally wrong assumption. So avail car insurance plan for car whatever you have. According to the National Insurance Crime Bureau, America, Honda Accord 1997 and Honda Civic 1998 models have mostly stolen cars in the year 2018-2019.