10/13/2011 - Insurance myth: Color affects auto insurance rates
Whether it's greater mileage, reliability or improved handling, car buyers factor many things into their decision when deciding on what car to choose. While performance is a critical selling point, the aesthetic appeal is also a consideration, especially with regards to its color.
And while a car's color matters to the owner, it's not something auto insurance companies take into consideration when assessing rates, despite what some may believe. According to a recent poll, Insure.com reports that approximately 25% of respondents said a vehicle's color was at least partially determinative of premiums, particularly if it's red.
But Jeff McCollum, spokesman for a major insurer, said color is of little consequence to insurers.
"The idea that the color of a car enters into what you're going to pay for insurance is a myth that's been around for a long time," McCollum told Insure.com. "I wouldn't be surprised if it came from the fact that people with red sports cars have the image of being wild and reckless, but it certainly isn't based on any type of reality."
What do play a role in auto insurance premiums, however, are a vehicle's make and model, year and age, along with the driver's history.