Vehicle Color vs. Insurance Rates

Despite the popular belief, the color of a car has no effect on insurance cost.

In 2005, a survey of 1,000 drivers conducted by Progressive Insurance found that 25 percent of the drivers believe that the color of a vehicle affects its insurance cost.

Misconceptions

In the United States, a car's color generally has no effect on its insurance cost. Instead, factors such as the car's make and model, year, engine size and body type determine the base insurance rate.

Better Red

The car color myth especially focuses on red cars. Jeff McCollum, a spokesman for State Farm Insurance, believes this is because people with sporty red cars have an image of being "wild and reckless."

Fun Fact

Although car color generally has no effect on insurance cost, vehicles with pearl or metallic paint colors may cost more to insure because those paints cost more.

Geography

In South Africa, a car's color does affect its insurance rate. Darker colored vehicles cost more to insure because they are harder to see.

References

• MSN Money: The Six Biggest Car Insurance Myths
• Insurance News Net: Myth Or Reality? Vehicle Color Influences Rates And Insurers Can Charge Whatever They Want
• Arrive Alive: Your Colour Does Affect Car Insurance in South Africa
• Cheap Car Insurance: The Top 20 Cars that have the Lowest Insurance Rates