Auto Insurance Myths
Car Insurance Myth - "One speeding ticket will make my auto insurance rates go up."
False: (In most cases) Most of the time you will need two speed tickets for your policy to be affected, assuming you take the traffic school course. The few exceptions depend how fast you were speeding over the speed limit.
Car Insurance Myth - "I have driven over 10 years and never been in an accident. I don't need car insurance."
False: By state law, you are legally required to have at least liability coverage in case you are involved in an accident. If you are unable to prove that you have insurance, you can be ticketed, fine and face other punishments. Having auto insurance is always recommended to have coverage for your own party and car in case the unexpected happens or else you may be faced with a heavy auto shop bill.
Car Insurance Myth - "My credit score does not affect my insurance rate."
False: Your credit score pretty much affects anything personal finance related these days. Insurance companies will take your credit history into consideration when deciding how much your policy will be.
Car Insurance Myth - "My new car will automatically be covered under my insurance."
False: No, most auto insurance companies will state that you need to notify them within a certain number of days that can range from 3 to 7 days.
Car Insurance Myth - "My insurance policy covers damages from hail, fire, vandalizism or theft."
False: Unless you paid for the comprehensive coverage, which is not required in most areas, then your state required policy will only cover liability damage. Liability damage is damage caused by you to others.
Car Insurance Myth - "My insurance policy will pay for rental car damage."
False: Your auto policy will only pay for the rental car cost if you have it included the coverage in your policy. There is typically a cap on how much they will reimburse you for the car meaning that you can't end up trying to rent a SL 500 if you have a Honda Accord.