Car insurance myths debunked

Don't get caught out

From what your car insurance covers to declaring points on your driving licence, it's important that you know the facts from the fiction to avoid your policy being invalidated!

1. Red and black cars are more expensive to insure than other car colours

False!

Studies have been conducted in several different countries to determine whether the colour of a car is a factor insurance companies take into consideration when providing a quote, and unsurprisingly none of the findings have been conclusive. In fact, most insurance companies don't ask what colour your car is when you apply for car insurance.

2. Your job title doesn't matter; the insurance company just ask for it for the sake of it

False!

Believe it or not, your job title could have a large impact on the price you pay for your car insurance – this is because of the risks associated with certain job roles.

MoneySavingExpert found that subtle changes in your job title could slash or increase your premium. For example, putting your job title as 'Restaurant Manager' instead of 'Café Owner' could cost you an additional £87 a year.

Top tip

The MoneySavingExpert website has a free tool, Car Insurance Job Picker, that shows which job titles could save you money when it comes to applying for car insurance – simply provide your current job title and how much you currently pay for your car insurance, and click 'find jobs'.

3. It's cheaper to buy car insurance through a comparison site

There's no right or wrong answer for this one!

Comparison sites are great for comparing quotes from multiple providers in one place, but some providers aren't partnered with comparison sites, meaning the only way to get a quote from them is to go direct to their website.

4. Your car insurance covers you, not the car

False!

When you purchase car insurance, you are buying cover for your vehicle, not you. This means that without taking out temporary car insurance, you're likely to be driving uninsured if you drive someone else's car, even if you have permission from the owner.

Did you know... you can take out short-term vehicle insurance for anywhere between one hour to 60 days? You can even purchase it up to 28 days in advance!

5. Parking your car in a garage overnight is cheaper than parking it on the street

It depends!

Depending on your postcode, your car insurance quote may be cheaper if you decide to park your car on a street outside of your house rather in your garage.

Although you'd think that your car would be safer in a garage overnight, you're more likely to cause damage to your car when entering or exiting a garage.

6. You don't need to tell your car insurance provider if you receive points for a motoring conviction

False!

Regardless of if you've got one month or eleven months left on your car insurance policy, you're required to tell you insurance provider of any points you receive for a motoring conviction. If you don't declare this, your policy will be invalid, and you could face criminal charges for withholding information from your policy provider.

7. Your credit score doesn't matter

False!

If you're looking to pay your car insurance on a monthly basis, it's likely that the provider will run a credit check to see how you handle your finances – they'll want to make sure that the risk of not making your monthly payments is low.

Did you know... there are usually additional costs associated with choosing to pay your car insurance in monthly instalments, rather than in one lump sum?

Calling all new drivers! Make sure to check out these six car insurance myths you need to put the brakes on. 👈

Information includes references to:

Money Saving Expert – Car insurance job picker

RAC – 7 car insurance myths debunked and Temporary car insurance

MoneySuperMarket - How does being caught speeding affect car insurance costs?