The most ridiculous Auto Insurance Quotes myths
The credit score is one of the key elements by which the insurance companies sets the rates in their auto insurance quotes. Sometimes beliefs are so w...
The credit score is one of the key elements by which the insurance companies sets the rates in their auto insurance quotes. Sometimes beliefs are so widespread that the workers at insurance companies have nothing to do but laugh when they hear a customer worrying about his insurance rates. However anyone has a policy, it could be used as excess insurance in case the damages caused by the accidents are higher than your policy limits. It was your car involved in the accident, so it’s your insurer who pays for the damage.
Myth #1 : The credit score has nothing to do with car insurance. First of all, in most states you are legally required to purchase auto insurance to operate a vehicle. The insurance department of your state only stables the limits for the insurance companies in what concerns premiums.
Myth #2 : No-fault insurance makes you automatically not at fault in any accident. Fault auto insurance really means is that the insurer will pay for damages caused by an accident no matter who’s fault it was.
Myth #3 : When someone is driving your car and is involved in an accident, its his insurance company who covers the costs. This is absolutely wrong. Most insurers will take your credit rating into account every time you want to get, renew or change your policy. Still, not being involved in any accidents usually means that you’ll get cheap auto insurance, because your driving record directly affects the premiums with your policy. The government has nothing to do with your individual car insurance rates.