Debunking 2 Common Myths About Car Insurance Rates

Ever since its inception in the 19th century, the American auto insurance industry has exploded into becoming one of the tenets of modern car ownership as we know it today. 

With more than 273 million motor vehicles being registered on the Department of Motor Vehicles’ database as of 2018, the insurance industry stands as a multi-billion-dollar enterprise. Although the industry’s current market value is astounding (and absolutely understandable), the reality is that we haven’t seen its full growth and market cap just yet.  

If you’re on the verge of purchasing your first car or currently have a fleet of vehicles under your name, you’ve likely been exposed to the fundamentals of auto insurance and their accompanying details. Beyond the baseline knowledge (such as what insurance does), however, you might not be familiar with the nitty-gritty of what you’ll be dealing with.

Among the different parts of auto insurance applications, maintenance, management, and ownership that you’ve yet to learn, there’s one concern that’s guaranteed to stand out: The different myths about insurance rates. 

Debunking different myths that surround car insurance rates

Compared to other aspects of auto insurance ownership and management that are rather straightforward, the myths and misconceptions that concern the topic are far more complex to deal with. Although these little myths and mistaken trains of thought may seem simple at first, the reality is that they can severely affect the task of finding reliable auto insurance. This is especially true when it comes to sifting through the options and picking out the best one that suits your needs. 

Considering that auto insurance itself is already difficult to deal with, having myths cloud your judgment will make matters even more complex to the point where it can seem impossible to find the right policy. In fact, the current level of confusion in the auto insurance industry over pricing-related concerns is greater than ever—it’s at that point where most drivers believe in an array of misconceptions!

Thankfully, you won’t have to get caught up in auto insurance pricing-related myths ever again because we’ve debunked two of the most common myths for you: 

Myth #1: It is possible to negotiate the car insurance rates with your company

If you believe that you can visit your insurance company’s office and negotiate for a lower rate, then we’ve got some bad news for you. Unlike flea markets and garage sales, insurance companies operate on a no-negotiate basis because they enforce their rates. However, the problem is that most uninformed drivers believe that they can do so. 

It is impossible to negotiate auto insurance rates with a company because government entities heavily regulate the industry through set price points and regulatory guidelines. While it may be impossible to negotiate your auto insurance rates, you can still get the lowest rates in Florida by consulting with Apex Insurance Agency’s experts and seeing what we can do for you!

Myth #2: The color of your car can affect the total tab of your auto insurance rates

Another surprisingly-prevalent auto insurance myth that’s far more prevalent than expected is the misconception that vehicle colors affect insurance rates. Often confused with the aspect of driving records (which are genuinely responsible for determining a final rate), the idea of a paint scheme affecting set rates is an oddly-common one that is rooted in strengthened belief. From a historical perspective, this myth came from the commonly-held idea that those with red cars had the tendency to drive faster, meaning that the driver is more likely to exhibit high-risk behavior. 

Yet again, this notion is not true because insurance agencies ask for the vehicle identification number (VIN). In fact, this number usually only includes information about the manufacturer, year built, engine size and type, and which plant assembled the vehicle, and not the car’s color!

Conclusion

When it comes to picking the right type of auto insurance product that best suits your needs, it’s best to stay mindful of the different misconceptions that can cloud your judgment. Through this guide’s help, you can take a more mindful approach towards not falling for common rate-related misconceptions so that you end up heading in the right direction!

We provide auto insurance in Delray Beach for drivers that long to find the best options that provide the best rates. Get in touch with us today to learn more about how we can best serve your needs!

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