Debunking the Most Common Insurance Myths That Exist Today

Are you considering purchasing an insurance plan?

Buying the right policy can protect your well-being and assets. Still, getting the coverage, you need often involves a lot of research to separate fact from fiction.

Insurance is a confusing topic, and a lot of misinformation exists about insurance. Perhaps you have heard or said something about insurance that isn’t true.

Here, we break down some of the most common insurance myths and give you the facts. Let’s debunk some insurance myths!

All Insurance Policies Have the Same Premium Prices

Today, one of the most common insurance myths is that all insurance policies have the same premium prices. This is not true, as individual insurance policy premiums vary greatly depending on the type of coverage, deductibles, and other factors.

Shopping around and comparing policies when considering the best insurance policy is important, as different plans may be much more cost-effective than others. The premium price of a specific procedure is not the only factor to consider; individuals should look at the entire policy’s cost when making coverage decisions. 

You Don’t Need to Insure Small Valuables

Insuring small valuables is one of today’s most common insurance myths. Many believe that since small items, such as jewelry and electronics, do not cost much, insurance is unnecessary.

However, this is not true. While small, these items can be quite valuable and even irreplaceable.

As such, it is always a good idea to insure them for their replacement cost should something happen. Even if the cost of insurance for the items may be more than the current value of the article, it can still be a good idea to invest in some form of insurance in case of unexpected damage or theft. 

If You Don’t Drive, You Don’t Need Auto Insurance

Today, one of the most common insurance myths is that if you don’t drive, you don’t need auto insurance. The fact is that having the appropriate auto insurance coverage is essential for all drivers, regardless of how often you use your car.

Claims resulting from an accident or theft can be devastating, even if you don’t use your car that often. If a collision were to occur, you would be held responsible for any repair or medical costs.

You could be liable for any damage or injury if you need to borrow a friend’s car and do not possess your auto insurance coverage. As such, you must carry the right type and amount of coverage to protect yourself financially.

Insurance Companies all Charge the Same Rates

One of the most common insurance myths is that everyone in the insurance industry charges the same rates. This is not true.

Different insurance companies base their rates on numerous factors, such as the type of coverage, the individual’s age, their claim history, and the number of miles driven. Each Medicare insurance company develops its rates based on its internal data and algorithms, so it is important to shop around and compare rates.

The Time Has Come to Crush All These Insurance Myths

The insurance landscape is complex and riddled with myths, so it pays to take the time to research and find the best policy for you. Don’t let these insurance myths become roadblocks to getting the coverage you need.

Reach out to get personalized policy recommendations tailored to your needs!

Check out our other blog posts if you need more insurance tips and tricks.