6 things you thought you knew about Arizona car insurance

We all know certain things about Arizona car insurance but are these statements true or are these myths? Some of these statements could cost you a lot of money if you happen to be wrong so it’s time to find out if they are true or false. This is a great article that will help you figure out if you were wrong or right and if you need to make changes to your new or current Arizona car insurance policy:

Car Insurance Myths
Have you ever heard some of these statements? “It doesn’t matter what my credit score is when it comes to getting car insurance.” Or how about this one: “There is nothing to worry about when I let my friends drive my car.” And there is always this one: “My car insurance rate will be lower because I don’t drive a red car.” Correct, you ask? Not even close. We have listed some of the most popular myths that people believe about car insurance and give you the truth instead. You might just be surprised at some of the car insurance myths that people believe!
Myth #1 – Your credit score is not important when it comes to getting car insurance
Anyone with really bad credit that has tried to get car insurance can tell you that this myth is definitely not true. Your credit score is one of several things the car insurance company takes in account when determining your car insurance rate. The worse your credit score is, the more you will pay for insurance. Conversely, the better your credit score is, the lower your car insurance rate can be.
Myth #2 – It doesn’t matter if my friend gets in an accident while driving my car because their car insurance will cover the damages
This can be an expensive myth to believe in. If a friend wrecks your car or gets into an accident while they are driving your car, your car insurance is responsible, not theirs. The only way their insurance can be used is if the accident costs more that your policy allows for. In addition, you will most likely get an increase in your insurance rates and the accident counts against your insurance record, not your friend’s. Let your friends drive their own cars.
Myth #3 – No-fault insurance means that nothing that happens is my fault
No-fault insurance does not mean you aren’t at fault in any type of accident. It simply means that your car insurance company will pay for your damages no matter who is at fault in the accident. If you aren’t clear about what no-fault car insurance covers, you need to talk to your insurance agent.
Myth #4 – Car insurance rates are set by the federal government for everyone
The federal government is too busy to worry about setting insurance rates for the entire country. Car insurance ranges are actually set by each state and are regulated by each state’s insurance department. However, your actual rate depends on a variety of things, including your credit score, where you live, how many miles you drive each day, your driving record and even your marital status. Your car insurance premium is calculated using these indicators.
Myth #5 – Car color affects car insurance rates
Please. If you believe this, you have been watching too much television. It does not matter if you drive a red car, a blue car or an orange one with purple stripes down each side. Buying a red vehicle does not mean you are going to pay more for car insurance. The things about your car that are important factors for car insurance and the year of your vehicle, the make and model, the engine size and the type of body your vehicle has. Color is a totally unimportant issue when it comes to car insurance.
Myth #6 – Young guys pay more for car insurance than anyone else
There is some truth to this myth in the fact that young men who are less than 25 years old do pay more for insurance than female drivers in the same age group. However, the groups that pay the most for insurance are senior citizens and teens. The members of these age groups get in more accidents than anyone else so they end up paying more for car insurance because of that.
Myth #7 – I paid my insurance premium, so my new car is covered by my old insurance policy
Whenever you purchase a new vehicle, you need to notify your car insurance company. Most policies do cover a new car for a specific number of days after you have purchased a new vehicle, but chances are, your rates are going to change anyway, so you want to have the correct coverage from day one. Protecting your new purchase by getting the appropriate car insurance should be one of your top priorities when you buy a new car.
Myth #8 – I don’t have to have comprehensive coverage to be covered for deer accidents, theft or damage from hailstorms
A lot of people only purchase collision car insurance. It only covers damage that happens from driving your car, specifically driving accidents. Collision car insurance does not cover vandalism, running into a deer, the occasional freak hailstorm or your car being set on fire. That is what comprehensive coverage is for. It is always the best choice to buy both collision and comprehensive car insurance coverage to fully protect yourself.
Myth #9 – Personal car insurance covers business and personal use of my car
This is not necessarily true, either. Your best bet is to talk to your insurance agent and let them know that your personal vehicle is also used for business such as meeting with clients or transporting equipment. Most car insurance agents will recommend adding to your personal aut insurance to cover your business use as well. Something else to think about is that if you have employers that use their personal cars for business, you might need to get an additional policy to cover that use.
Myth #10 – I don’t need car insurance because I’m a careful driver who has never been in an accident
No one is that lucky all the time! Besides, it is illegal not to have car insurance of some kind on any vehicle that you drive. If you are in an accident and don’t have car insurance, you will be in trouble with both the police and the people in the other vehicle. They can sue you personally for damages. Car insurance is the best way to protect yourself if you ever do get into an accident.
Conclusion: For more information on car insurance visit our main site at Online Car Insurance you can instantly compare quotes, view state requirements, and additional educational information that will help you in your selection with car insurance.
Article courtesy of www.OnlineCarInsurance.com

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