With Debunking Day coming up on March 11th, there’s no better opportunity to clear up some long‑standing misunderstandings about home and auto insurance. Many people make choices based on assumptions they’ve heard over the years, and unfortunately, those misconceptions can leave them unexpectedly exposed when something goes wrong.

To help you stay protected, we’re breaking down eight popular insurance myths and sharing the facts you should rely on instead.

Myth #1: “Red cars are pricier to insure.”

The reality: Your car’s color has zero impact on your insurance rate. Insurers care far more about things like the vehicle’s model year, its safety features, engine size, where you drive, and your driving record. Whether your car is red, blue, or neon green, the paint job isn’t influencing your premium.

Myth #2: “Flood insurance only matters if you live in a flood zone.”

The reality: Flooding can happen almost anywhere—often where people don’t expect it. Roughly a quarter of all flood insurance claims originate outside designated flood zones. What many homeowners don’t realize is that standard homeowners insurance policies typically exclude flood damage. If heavy rainfall is a possibility where you live, flood insurance is worth evaluating.

Myth #3: “Older cars don’t need full coverage.”

The reality: While an aging vehicle may be worth less, that doesn’t automatically mean you should drop important coverage. Most states still require liability coverage no matter how old your vehicle is. If you depend on your car for work, school, or everyday life—and you couldn’t easily cover repair or replacement costs—keeping collision and comprehensive coverage may still be the smartest move.

Myth #4: “Homeowners insurance protects everything I own.”

The reality: Your homeowners policy does include personal property protection, but those limits aren’t unlimited. High-value items like jewelry, rare collectibles, artwork, or expensive electronics can exceed standard coverage caps. To safeguard these belongings, you may need scheduled personal property coverage or separate endorsements tailored to those items.

Myth #5: “Anyone who drives my car is automatically covered.”

The reality: Coverage isn’t universal just because someone has permission to use your vehicle. Policies may extend to occasional personal use, but business-related driving—like deliveries or ridesharing—usually requires additional coverage. If someone regularly drives your car or uses it for work, you’ll want to verify that they’re properly insured under your policy.

Myth #6: “A strong savings account means I don’t need homeowners insurance.”

The reality: Even with healthy savings, the financial burden of a serious loss can be overwhelming. Homeowners insurance goes far beyond protecting the structure of your house. It also includes liability coverage, loss‑of‑use benefits if you’re displaced, and protection for your belongings. Considering that rebuilding a home now averages more than $320,000, skipping insurance is a high‑stakes gamble.

Myth #7: “My auto insurance covers any rental car I drive.”

The reality: Personal auto policies often extend to rental vehicles—but only for personal use. If you’re renting a vehicle for business travel or commercial purposes, your personal policy may not apply. It’s always smart to check your coverage details before choosing whether to accept or decline a rental company’s insurance.

Myth #8: “My credit score doesn’t affect my insurance rates.”

The reality: In many states, insurers use credit-based scoring as one factor in determining premiums. These scores help predict risk patterns based on financial behaviors. If your credit has improved recently, it might be worth contacting your insurance agent—you could qualify for better pricing.

Smart Tips to Prevent Unexpected Coverage Gaps

Taking a proactive approach to understanding your policies can make a huge difference when the unexpected happens. A few helpful habits include:

• Reviewing your insurance at least once a year, especially after major life or property changes.
• Asking your agent to explain what’s excluded from your policy—sometimes the gaps are just as important as the coverage.
• Keeping an inventory of your belongings or storing updated photos and values for your vehicle to simplify future claims.
• Learning how “replacement cost” differs from “actual cash value,” since these distinctions directly affect your payout after a loss.

As you look through your coverage, ask yourself: “If I had to make a claim tomorrow, would I be financially prepared?”

Times When You Should Revisit Your Insurance Policy

Life moves quickly—and your insurance should evolve with it. Think about scheduling a policy review when:

• You buy, sell, or trade a home or vehicle.
• You complete renovations or significant upgrades.
• You get married, divorce, or welcome a child.
• A new driver joins the household (those teen drivers count!).
• You begin a business, launch a side gig, or use your home differently.
• Your income, credit score, or financial situation shifts.

Whether you’ve believed one of these myths or simply want the confidence that your coverage still matches your needs, now is the ideal time for a closer look. We’re here to help you make informed decisions and eliminate surprises when it comes to protecting what matters. Reach out anytime to schedule a pressure‑free policy review.