There are some age-old auto insurance myths that we want to address today. We are here to debunk the 5 most popular auto insurance myths we’ve heard.

Does vehicle color affect my rate?

You may have heard that people with red cars cost more to insure. Well, we are here to debunk this myth, color has no effect on insurance rates. More times than not, your insurance company does not even know the color of your car.

Can I negotiate my insurance rate?

You may be able to ask your insurance provider about discounts, but you can’t negotiate rates. The auto insurance industry is regulated by state and federal governments; the price is set by insurance companies to comply with regulatory guidelines that vary state by state. With guidelines in place, your insurance company then calculates your rate based on your data. This data includes annual miles driven and your driving history. Sorry, you can’t negotiate the rate, but you can always ask your agent about discounts you may be missing out on, taking a defensive driver course is a great option.

If someone borrows my car, they are responsible for the damages.

This is a common misconception. The best thing to keep in mind is “insurance follows the car, not the driver”. If your friend borrows your car and gets in an accident, your auto policy will step in to pay for the damages.

My personal auto policy covers me if I use my car for business.

If you are hauling something or performing business activities with your personal vehicle, your personal policy will not cover you in the event of a loss. The best way to ensure you are covered properly is to get a commercial auto policy. Remember; commuting does not count as a business activity.

My laptop that was stolen out of my car is covered by my auto insurance policy.

Any personal property (laptops, cellphones, etc.) is not covered under your auto insurance. In the event of damage or theft while in your vehicle would be covered by a home or renters’ policy.