Everyone needs insurance, so it’s no surprise that everyone has their own opinion. “You should always get the maximum coverage“, “Women are always more expensive than men“… and that’s how insurance myths are born. We’ll clear up a few misconceptions and set the record straight.

Myth 1: Red Cars are More Expensive to Insure

Surely, there’s an added insurance cost for looking flashy on the highway in your bright fire-engine-red car, right? Wrong. However, if your bright red car happens to be a high-powered sports car, you may end up spending more on insurance – but not because of the color.

According to Financial Avenue the color of your car does not have anything to do with your rates. The cost of insurance is dependent on the make and model of your car, the body type, the engine size, as well as your age, driving record and credit history. Think about it: when was the last time you insurer asked for your car color?

Verdict: False.

Myth 2: Insurance Covers Vandalism & Weather Damage

The type of coverage that would protect you from a tree crashing into your windshield or someone breaking into your car is not mandatory. Same story for hurricane damage or a big hailstorm.

State minimum coverage is liability only, which means it only covers other people and their property. If you want to be 100 percent safe and protect your vehicle from all types of damage, you’ll need to purchase comprehensive coverage. This is an additional and optional coverage for your insurance policy.

Comprehensive covers you from theft and weather damage. If you have a lease or a car loan, it is likely that the lender will require you to get both comprehensive and collision insurance. Work out the differences here.

Verdict: False (unless you add comprehensive)

Myth 3: You’re Covered Under Your Policy while Driving your Company’s Car

This one depends on your contract with the company. If you deliver pizza on the weekends but you’re not an employee of the restaurant you could be in trouble. Get into an accident with your car and you’re on your own. The company’s insurance will not cover you. You are not protected by your personal auto insurance if you are self-employed and driving your own car for work purposes.

Different scenario? You have a personal car insurance policy covering your Ford Taurus and you drive your company’s Honda Odyssey to take your co-workers to lunch. In that situation, your company should have a policy in place to cover the Honda Odyssey. Just don’t forget to be safe and check with your boss before you take the car out. If you’re caught driving the car without proper insurance you’ll be to blame.

Once you start thinking about ridesharing you get into even murkier waters. Read our guide to ridesharing insurance in California and the rest of the states.

Verdict: False.

Myth 4: The Elderly Are More Expensive to Insure

Although this may be true for life insurance, the cost of car insurance does not go up as you get older. In fact, auto insurance rates even have the potential to go down as you age.

Once you’re over the age of 55, you may qualify for a reduction in your auto insurance rates, plus additional discounts with affinity groups AARP or AAA. By completing an accident prevention course, you could receive up to a 10 percent discount on your policy. Some providers also offer a 5 percent discount on insurance if you are retired or unemployed, so it pays to shop around.

Verdict: False.

Whether your car is red, you are older or you live in a hurricane-prone area, it’s no myth that comparing rates saves money. Start shopping for cheaper car insurance on Compare.com and see which companies offer you the best price and policy for your needs.