The Five Most Common White Lies on Auto Insurance Policies:
1. A Change in Drive
An unreported driver in a higher risk category such as a teenage driver, a driver with excessive accidents or an individual who has a negative traffic record or DUI charges will lower the cost of an individual policy.
2. How the Vehicle is Used
Rates for vehicles used to drive to and from work or school are higher than rates for vehicles used for leisure driving only. Typically the miles driven is much lower for leisure vehicle and the amount of time spent behind the wheel is less.
3. Where You Live
Cars registered in areas that are heavily trafficked or prone to crime while cost more than those registered in some suburban or rural areas.
4. The Number of Miles Driven
Miles driven has a big impact on the cost of a policy. According to Quality Planning, reporting an increase in driving of 3,000 miles a year will add about $70 to a policy.
5. Failure to Report Business Use
U’Ren said vehicles use for business, such as a Realtor or contractor, will be used differently and likely more than a vehicle that drives to and from work increasing the rate for that vehicle.
