Survey highlights auto insurance myths that consumers believe are true

auto insurance fraud

Survey shows that many drivers believe in myths about what affects the cost of their insurance coverage has released the results of a new survey concerning the auto insurance myths that consumers believe are true. The survey was meant to uncover the factors that drivers believes influence the price of their insurance coverage. Many drivers believe that myths, such as owners of red vehicles are charged more for coverage, are true, which may have an impact on how they shop for coverage as well as the vehicles that they own.

42% of consumers believe that red cars are more costly to cover

According to the survey, 42% of drivers in the United States believe that those driving red cars are charged more for auto insurance coverage, which is not true. Approximately 53% of these consumers are Millennials, with 44% being college graduates and 36% having an annual salary of more than $75,000. The survey shows that 34% of drivers also believe that auto insurance covers items stolen from a vehicle. In reality, however, homeowners and renters insurance covers these stolen items.

Lack of experience with insurance means that consumers may not understand nuances of coverage

auto insurance mythsLaura Adams, an analyst with InsuranceQuotes, notes that the majority of consumers learn about their insurance coverage when they file a claim. For Millennials, the opportunity to file a claim is rare, so they have limited experience concerning the factors that affect the price of their coverage. Because the nuances of insurance coverage vary from state to state, it can be difficult for consumers to form an adequate understanding of auto insurance coverage.

Contacting an insurer may be the best way to form a better understanding of coverage

For those interested in learning more about their policies, InsuranceQuotes suggests contacting their insurance provider. Insurers can provide more information concerning what a policy does and does not cover, allowing consumers to prepare appropriately in the event of a major incident. Many consumers may need to be pro-active when it comes to learning about their auto insurance coverage, otherwise they may be exposed to certain risks that could otherwise be avoided.

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