No, car color does not affect insurance rates. Whether your car is yellow, black, silver, or any other color, your car insurance will not be affected as car insurance companies don’t even know the color of the car you’re driving. Insurers know your vehicle identification number (VIN), but the color isn’t included in VIN information. Your vehicle’s make, model, year, body type, engine size, sticker price, average repair costs, overall safety record, and risk of being stolen all impact the cost of your insurance, but not its color.
Are there any car colors to avoid?
The only way your car’s color could be a factor in your insurance rate is if you have a custom paint job. Your color could be considered “additional custom parts and equipment,” but you shouldn’t be charged much extra for it. Worst case, it would be a minor additional charge added to your premium.
Although many people believe flashy colors like red and yellow are more likely to be pulled over or encourage riskier driving, there is no statistical evidence to support that. If you’re concerned about the chances of being pulled over, studies show certain models are more likely to be stopped by police, but not certain colors.
When it comes to car color and other risks, white cars have been shown to have the lowest statistical risk of an accident, and car thieves prefer silver, gold, green, black, and white cars. But just like with traffic tickets, certain models are more likely to be stolen, crashed, or ticketed with much greater predictability than certain colors. There is no definitive proof that car color has any measurable effect on safety or risk, so it doesn’t matter for calculating insurance premiums.
Why do people think color affects insurance rates?
If there’s no relationship between color and cost, why do more than 40% of licensed drivers believe red cars are more expensive to insure? The answer could be that red cars (and vehicles in other popular colors) do cost more to buy.
Red, black, white, and blue tend to be the most expensive car colors to buy because they are the most in-demand with consumers. Popular colors keep sticker prices from coming down since dealerships don’t need to negotiate prices for high-demand colors the way they might for less popular ones. The more expensive your car is, the more it will cost to insure it, so in a roundabout way, car color could theoretically affect your rate. In practice, though, color doesn’t impact a car’s value enough to affect car insurance premiums.
No matter what you’ve heard about the color of your car, you’ll pay lower premiums for family-friendly, conservative vehicles and higher premiums for a luxury dream car, regardless of color.
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