Car insurance is something that every driver needs to have, but it is not necessarily something that everyone spends a lot of time researching. As a result, many drivers have misconceptions about car insurance and about exactly how it works or what will occur when an accident happens.
Our North Carolina accident lawyers know that it can be challenging to pursue a claim for compensation from an auto insurance company after an accident. Arming yourself with information about car insurance both before you buy and in the event of an accident is a smart choice to ensure that you don’t end up costing yourself money or losing out on coverage you deserve.
Myths and Misconceptions About Auto Insurance
Recently, Digital Journal tackled some of the common myths and misconceptions about car insurance.
- Insurance agents don’t always get you the best deal, although many people think that they do. Insurance agents try to get you the best deal among the company/companies they represent but do not necessarily look at all insurers. By shopping around with a broader range of different options, you could potentially get a better price.
- You are responsible for damage you cause if you swerve to avoid hitting a deer, although many people think this kind of accident is not their fault. If you injure someone or damage property, you can be held liable and they can make a claim against you. Your insurance rates can also go up. It may be better to hit the deer than to hit another car because at least you don’t take a chance of causing someone to get hurt.
- You won’t necessarily get back all you owe on your car loan if your vehicle is a total loss, although many people believe they will. Unfortunately, you get back the market value of the car — not what you owe. If you don’t want to be stuck with a loan for a car that has been destroyed, you may wish to look into “gap” insurance that will pay the difference.
- Snow tires won’t save you money on insurance, despite what many believe about discounts.
- Your premiums can increase due to an accident, even if you don’t make a claim. While many think you can avoid an increase, your rates will still go up if you get a ticket or if the other driver makes a claim.
- Men don’t necessarily pay more than women, although some believe they do. Your driving record – not your gender – is the biggest determining factor.
- A rental car won’t always be provided after an accident, despite what you might think, unless you have purchased rental insurance coverage.
- Accident forgiveness doesn’t cover everything, and your rates still could go up even if you’ve bought extra protection. Read the fine print to see when, and remember that the rates will almost definitely rise when changing to a new insurer after an accident.
Understanding the truth about these myths helps you to be more informed about your accident coverage. When you buy insurance or need to make a claim after a crash, there is a lot of potential to make costly mistakes so you need to understand as much as you can about how insurance works.
If you or a loved one is involved in an accident, contact Grimes Teich Anderson LLP. Call 1.800.533.6845. No Attorney Fees Until You’ve Been Paid, exclusive of case costs.
Additional Blog Entries:
Fewer Carolina Trucking Accidents Possible with Hours-of-Service Rules, June 28, 2013, Asheville Road Construction Accident Lawyer Blog