common myths about red cars

Common Myths About Red Cars and Auto Insurance

3 minute read

Does having a red car actually increase your Auto Insurance rate? This is common question people ask before buying a shiny, new red car. We’re here to tell you that the answer is no. The color of your car has absolutely no effect on the price you pay for Car Insurance. This is because when you’re shopping around for a policy, insurance companies most likely won’t even ask you what color your car is. They do not factor this into how they determine your Auto Insurance rate. So, why do so many people believe that red cars increase premiums?

Where Do The Myths About Red Cars Come From?

One reason for the red car myth may be due to the fact that nearly 50% of licensed drivers believe that red cars are a target to police officers. Another reason could be because many sports cars are red, and sports cars typically have higher Car Insurance rates than standard vehicles. However, both of these myths about red cars are untrue. Police officers don’t pull drivers over just because their car is red, and sports cars probably have more expensive rates only because they are riskier to insure. The risk comes from their increased likelihood of being in a collision and the high cost of their parts if they ever need to be repaired. In other words, the premiums have nothing to do with the color of the car.

How Is My Auto Insurance Rate Determined?

red cars and auto insuranceThe main details about your vehicle that an insurance agent will ask you for include the VIN (vehicle identification number), miles on your odometer and any damage already done to your car. Just in case you don’t know, the VIN is like the DNA of a car. No two cars have the same number. The VIN allows the Department of Motor Vehicles (DMV) to stay informed when there are changes in ownership of the vehicle. It also helps the DMV know if there’s been a theft or if it was involved in a collision. However, it does not provide the color of the vehicle. You don’t even need to report the color of your vehicle to the DMV should you choose to repaint it.

What Factors Can Actually Increase My Auto Insurance Rate?

Let’s face it, nobody likes paying more for Car Insurance. However, you may not be fully aware of what factors truly affect your rates. Below are just a few of the reasons that your Auto Insurance rate may change.

Driving Record. One of the most common reasons for an increase in insurance premiums are car accidents. When you get into an accident, it goes onto your driving record. When your policy is reviewed at the time of renewal, a company will see that you were in a collision and made a claim. This will most likely cause an increase in your premium.

Speeding Tickets. Getting a traffic citation, specifically a speeding ticket, also goes onto your driving record. The same thing happens when your policy is reviewed at the time of renewal; your insurance provider will see the speeding ticket and most likely increase your Auto Insurance rate because of it.

Zip Code. Another factor that most people don’t know affect their policy is their zip code. If you live in a neighborhood with lots of traffic and car theft, then your insurance company will take that into consideration when determining your rate. Moving to a safer area could help lower your Auto Insurance rates and vice versa.

How Can I Lower My Auto Insurance Rate?

It’s true that red cars do not have higher insurance rates just because they’re red. Your premium is determined by much more important factors like driving record, previous claims, where you live and your annual mileage. At AIS, we can help you lower your Car Insurance rate. There are many discounts and bundle options that our Insurance Specialists can help you find. Just call (855) 919-4247 today for a free quote that compares multiple trusted companies at once.


The information in this article is obtained from various sources. This content is offered for educational purposes only and should not replace manuals or instructions provided by the manufacturer or the advice of a qualified professional. The definitions, terms and coverage in a given policy may be different than those suggested here. No warranty or appropriateness for a specific purpose is expressed or implied.