We often take our automobiles for granted. We change the oil, look at what maintenance it needs next, but do we read the fine print of our auto policy to be sure what we think is also what is true?
Thank you for reading this post, don't forget to subscribe!There are quite a few common auto insurance myths out there, and PA Auto Insurance Outlet wants to be sure you are not falling for them. Read on to see how we debunk these common auto insurance myths.
Myth #1: State Minimum Insurance is Enough
While technically true from the state’s point of view, if you are involved in an accident and deemed responsible, you could face some hefty debt. If you only have $30,000 worth of coverage and hospital bills along with other damages equal a substantially higher amount, you will be personally liable for the difference.
Myth #2: Credit Scores Have Nothing to Do with Auto Premiums
Your credit score is one of the bigger factors in saving you money on your insurance premiums. Higher credit scores show an individual who pays bills on time. While not allowed to be used directly, this score is still factored into your premium.
Myth #3: Auto Insurance Costs More as You Get Older
Again, quite the opposite is true. As you age, if you have a good driving record and few claims, your premiums generally decline until age 65. Once you do reach 65 there are some discounts you can get to counterbalance the increases.
Myth #4: Your Auto Insurance Company Can Drop You at Any Time
Not at all. Your auto insurer and you agreed to a length of time for your vehicle’s insurance coverage premium. Your insurance carrier will not be able to drop you during that time unless you commit fraud or do not pay your premiums on time. However, they may not renew your policy once the term is completed if they feel they have good reason.
Myth #5: No Fault Means No One’s Fault
No-fault refers to medical bills relating to an accident. It means that your company will pay your medical costs and lost wages — up to the coverage limit — no matter who is at fault for the accident. Your property damage policy will not cover for damage to your vehicle if you are at fault. If you don’t elect uninsured motorist coverage and the other person has no insurance and is at fault, you also will not be covered.
Myth #6: Auto Insurance Covers Items Stolen from Car
Auto insurance covers damage to your vehicle but not the contents inside or in the back of your vehicle. If laptops, cells, wallets, purses, or other items are stolen from your car you will need to file with your homeowner’s or renter’s insurance.
These common auto insurance myths can put you in a lot of trouble if you don’t speak to your insurance agent. The licensed professional agents at PA Auto Insurance Outlet are skilled at talking through the jargon of premiums and riders. Call or contact us today. We are happy to help!