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Common Auto Insurance Myths Debunked

Common Auto Insurance Myths Debunked

It’s important that you know the facts about auto insurance before you are involved in an accident. There is a lot of misinformation out there, and it’s important to separate myth from fact. Let’s debunk some of the more common myths surrounding auto insurance:

You Should Never Admit Responsibility Following a Car Accident

This is true. You should never admit fault or responsibility after a car accident. You should always be calm and respectful at the scene of the accident, but leave the details and the case to the insurance professionals. Your insurer needs the chance to review the details of the case and determine how to proceed. If you admit fault, it could interfere with your insurance company’s ability to defend you following an insured loss.

You Will Receive Full Value of Car Following a Write-Off

This is false. Instead, you will likely receive a cash equivalent of the value of your car at the time of the accident, not at the time of purchase. Cars depreciate quickly – not just when you drive it off the lot, but from the wear from distance driving and other dents and bumps along the way.

Talking About Accidents on Social Media Could Impact Your Claim

This is true. Even if you aren’t at fault, you shouldn’t post any details about the accident online. In the event of a disputed claim, the statements that you made online could act as evidence. It’s never a good idea to post about your injuries or rant against the idiot driver who crashed into you. Keep the details offline and share them only with your insurer.

Your Car Insurance Can Cover Rental Insurance

As long as your auto insurance policy includes accident benefit and third party liability, this is true. Enjoy peace of mind of vacations and road trips knowing that your rental car is insured. However, depending on the policy, it may not extend to cover rental for vehicles like moving vans and RVs. If you aren’t sure what your policy covers, call one of our insurance brokers today and they would be happy to clarify.

You Don’t Need Year-Round Coverage for a Summer Motorcycle

This is false. Motorcycle insurance doesn’t just cover you when you’re on the open road. It also protects you against damage, vandalism, or theft of your vehicle when your motorcycle is in storage. Motorcycle premiums are adjusted based on use, and it’s important to maintain year-round coverage to build up an insurance history. This history can help you get better rates down the road.

Don’t fall for myths about auto insurance. If you have any questions or concerns, always ask your insurance broker for clarification.

Rowat Insurance

Insuring Ontario and Quebec since 1955. Trust Rowat Insurance Brokers to look after your home, auto, business and life insurance needs. We always guarantee fast, friendly service and highly competitive premiums. As brokers, we are entirely independent from Insurers and Financial Institutions; we will work with you to analyze and advise on risk, and customize the coverage that is right for you.