We spend every day working with Arizona drivers to help them find the right coverage and ensure their claims are processed smoothly. There are many misconceptions within the insurance industry – information that we are always working to clarify with our customers. If drivers knew what we knew, they could save themselves a lot of frustration in the future. Continue reading to learn some of the information that car insurance agencies wish their customers knew.
Buy the red car if you want it.
The red car theory has been around a long time, and many people still believe it. Countless drivers think that buying a red car automatically means higher insurance rates. The truth is color has nothing to do with your coverage. Instead, insurers tend to look at the make, model, body type, year, and engine size of a vehicle when formulating a rate. So yes, a red sports car will probably cost you more than a white four-door sedan – but not because it’s red.
Car insurance might not pick up the tab for items stolen from your vehicle.
While theft and vandalism of your vehicle might be covered by your car insurance policy, items were taken from inside your car, such as your laptop or cell phone, probably are not. Theft of personal belongings is usually filed as a separate claim under your homeowners or renters insurance coverage. If you don’t have coverage on your personal property, you might want to consider buying coverage. It is likely that you will qualify for a multi-policy discount if you purchase home or renters insurance from the same insurer as your vehicle.
Not all drivers are responsible, and some are uninsured.
We wish everyone would protect themselves with uninsured and underinsured motorist protection, as well as collision coverage. The law here in Arizona states that all drivers must carry a minimum amount of liability insurance — $10,000 for property damages and $15,000 for bodily injury of one person ($30,000 for two or more people). Unfortunately, these amounts may not be enough to cover your medical bills and lost wages if you are the victim of a careless driver. Worse, some drivers break the law and drive without insurance altogether despite severe fines and penalties for doing so. According to the Insurance Information Institute, more than 10 percent of drivers here in Arizona were uninsured in 2012. No one should be forced into bankruptcy for medical expenses just because he or she were the victims of a car accident caused by a driver without insurance.
Expect that your teen may be in an accident.
It’s the thing that no one wants to talk about, but every parent should know about. Teenage drivers – regardless of how safe their parents may think them to be – are 4 times more likely to be in a car accident between the ages of 16 and 19 than more experienced adult drivers. Though many of these accidents are fender-benders, we want parents to know that their chances of filing a claim are significant once their teen starts to drive. That means it might be smarter to opt for a safe, inexpensive used vehicle versus a brand-new car or high-performance vehicle.
There is so much more to buying insurance than the cost.
Regardless of your financial status, everyone wants to save money when it comes to insurance. However, truth be said, the cost of your coverage pales in comparison to having the right coverage in the first place. You should also consider the reputation of the agency and company you buy it from. The personalized service you’ll receive from your agent, and the ease with which you will be able to file a claim, will be priceless when it comes time to needing it. Working with independent car agencies like Vanyo Insurance Group can go a long way to ensuring you are adequately protected after an accident, whether it was your fault or not.