Red Car Auto Insurance Myth Debunked

red car

There’s probably a pretty good chance you’ve heard the myth that red cars cost more to insure than vehicles of any other color.

“For years there has been a notion that color plays a significant part in calculating insurance premium costs, many people believing that red cars cost more to insure because they are linked to aggressive driving or speeding,” a rep for Insurance Information Institute told

As it turns out, however, that rumor is completely false.

Instead, insurance rates are based solely on the make, model and year of your car, as well as its engine size, body type and safety features.

Image via flickr/Jonathan Rolande

Continue to original source.

Allstate Now Offering Auto Insurance for Uber Drivers


Allstate announced on Wednesday that it will now be offering auto insurance plans for drivers who pick up passengers via apps like Uber and Lyft.

According to Chicago Business, the brand new Ride for Hire policy will come with a price tag of about $15 to $20 per month and will “provide coverage for drivers who get into accidents while they are on the way to pick up new fares.”

To start, the policy will only be available in Illinois, Colorado, Texas and Virginia, though Allstate hopes to expand into more states in 2016.

Image via flickr/Mike Mozart

Continue to original source.

Experts Suggest Driverless Cars Could Slash Auto Insurance Rates

car insurance

As driverless cars continue to become more and more of a reality, experts suggest that we could eventually see auto insurance rates begin to drop.

A recent study by RAND Corp. found that the increased safety benefits from self-driving cars – which promise to come with a reduced risk of accidents – are likely to lead to “a significant reduction in insurance premiums” down the road.

“So many accidents are caused by human error, if you reduce the human factor, it should cut down on accidents,” analyst Laura Adams of told CBS News. “That will mean fewer claims and should reduce rates.”

Image via flickr/Pictures of Money

Continue to original source.

Wells Fargo Caps Subprime Auto Loans

Screen Shot 2015-03-03 at 10.25.36 AM

Wells Fargo announced on Monday that it has put a cap on the amount of money it will loan to subprime borrowers.

As reported by CNBC, according to execs, the San Francisco-based banking giant “is limiting the dollar volume of its subprime auto originations to 10 percent of its overall auto loan originations.”

Last year, that number was $29.9 billion. The new ruling will affect borrowers with credit scores of 640 or lower.

Image via flickr/Mike Mozart

Continue to original source.

Phil Maloof Adds Extra Incentive to Penthouse Listing: A Lamborghini

Screen Shot 2014-11-17 at 9.26.13 AM

Financial tycoon Phil Maloof listed his Las Vegas Palms Casino Resort penthouse for sale five months ago, but the $38 million abode hasn’t received much attention from potential buyers.

So now, Maloof has added an additional perk to the listing: a two-year lease on a 2015 Lamborghini Huracán, worth a reported $237,000.

In addition to the car, the 59th floor rooftop home features a movie theater, a 20-person hot tub and a DJ booth and also houses an original Picasso and an original Dali painting.

The homeowners association fees on the penthouse will cost an additional $4,481 per month on top of the purchase price.

Image via flickr/Mark Richardson

Continue to original source.

Low Credit Score May Cause Car Insurance To Rise


Drivers may be paying higher auto insurance premiums based on their credit scores.

A study by finds that there is a 65% difference in insurance costs between those with high credit scores and those with low credit scores.

State law in California, Hawaii, and Massachusetts outlaws insurance providers from using credit score as a determinant, but it is a regular practice in the other states.

Image by via Wikimedia Commons.

Continue to original source