Does Car Color Affect Insurance Rates? Debunking the Myth
You’ve probably heard it: red cars cost more to insure. Or black cars get more tickets. It’s one of the most persistent myths in American car culture. Here’s the straight answer: car color does not affect your insurance rate. No major U.S. insurer uses paint color to set premiums. This guide explains where the myth came from, what insurers actually use, and what you can do to lower your bill. We’ll also walk through the real factors that move your premium—driving record, vehicle type, location, coverage, and more—so you can stop worrying about the wrong thing and focus on the levers that actually save you money.
The Origin of the Myth
The “red cars cost more” idea has been around for decades. It likely started from a mix of folklore and a grain of truth: red sports cars are often driven faster and may be involved in more claims—but that’s about the type of car and how it’s driven, not the color. Insurers don’t ask for or track your car’s color when calculating your premium. They care about risk factors they can measure: your driving record, where you live, the vehicle’s make and model, and how you use the car. So if you’ve been avoiding a red (or black, or white) car for fear of higher insurance, you can let that go.
What Insurers Actually Look At
Insurance companies set rates using data that predicts claim frequency and cost. They look at things like your age, gender (where allowed), driving history, credit-based insurance score (where permitted), location, annual mileage, and the vehicle itself—make, model, year, body type, and sometimes trim. They do not look at paint color. There’s no field for “color” in the rating algorithm, and no major carrier in the U.S. uses it. So when you get a quote, the rate is the same whether your car is red, black, white, or silver.
Factors That DO Affect Your Rate
These are the levers that actually move your premium—and where you can focus if you want to save.
1. Driving Record
Accidents, tickets, and DUIs have a huge impact. A clean record keeps rates down; even one at-fault accident or serious violation can push them up for years. This is one of the biggest factors you can control.
2. Vehicle Make, Model, and Year
Insurers use historical claims data by vehicle. Sports cars, high-theft models, and expensive-to-repair vehicles usually cost more to insure. Sedans and mainstream economy cars tend to be cheaper. The vehicle’s safety ratings and repair costs matter—not its color.
3. Coverage Level and Deductibles
Higher limits and lower deductibles mean higher premiums. Choosing liability-only vs. full coverage, or a higher comprehensive/collision deductible, directly changes your price. Use our Insurance Cost Estimator to see how different coverage choices affect your quote.
4. Credit-Based Insurance Score (Where Allowed)
In many states, insurers use a credit-based insurance score to predict risk. Better credit often means lower rates. Improving your credit can help over time, and in some states you can ask that this factor not be used.
5. Location
Where you garage the car matters. Dense urban areas, high-theft ZIP codes, and regions with more accidents or weather claims typically see higher premiums. Moving can change your rate, though that’s not a practical “tip” for most people.
6. Annual Mileage and Use
Less driving usually means lower risk. Insurers often ask for annual mileage; if you drive fewer miles, you may qualify for a discount. Using the car for business or ride-share can increase the rate.
Real vs. Myth: What Actually Affects Your Premium
| Factor | Affects premium? | Notes |
|---|---|---|
| Car color | No | Myth; no major insurer uses it |
| Driving record | Yes | Accidents, tickets, DUIs |
| Vehicle make/model/year | Yes | Claims history, theft, repair cost |
| Coverage level & deductibles | Yes | More coverage = higher premium |
| Credit-based insurance score | Yes (in many states) | Better credit can mean lower rate |
| Location (ZIP) | Yes | Theft, accidents, weather |
| Annual mileage | Yes | Less driving often = lower rate |
| Age & experience | Yes | Young drivers typically pay more |
| Gender | Yes (where allowed) | Varies by state |
Use our Insurance Cost Estimator to see how different vehicles and coverage options change your estimated premium.
How to Actually Lower Your Insurance
Since color doesn’t matter, focus on what does:
- Shop around. Get quotes from several carriers; rates vary a lot for the same driver and car.
- Choose a lower-risk vehicle. Before you buy, check insurance costs for the make and model. Browse our guides and use our Insurance Cost Estimator to compare.
- Raise deductibles (if you can afford the out-of-pocket risk). Higher comprehensive/collision deductibles usually lower the premium.
- Bundle policies. Many insurers discount when you bundle auto with home or renters.
- Ask about discounts. Good driver, low mileage, defensive driving course, pay-in-full, and autopay discounts can add up.
- Improve your credit where it’s used. Over time, a better credit-based insurance score can reduce your rate in states that allow it. Paying bills on time and keeping balances low can help.
For more on total car costs, use our Car Affordability Calculator and Cost Per Mile Tool at AutoSpecs Daily.
Frequently Asked Questions
Do red cars really cost more to insure?
No. No major U.S. insurer uses car color to set rates. The idea is a myth. Your premium is based on factors like driving record, vehicle type, location, coverage, and (where allowed) credit.
Why do people think red cars cost more?
The myth likely comes from red being associated with sports cars and risk-taking. Insurers charge more for high-performance or high-theft vehicles, not for the color. The correlation was mistaken for causation.
What affects my car insurance rate the most?
Driving record, vehicle make/model/year, coverage level, location, and (in many states) credit-based insurance score have the biggest impact. Car color is not a factor.
Can I lower my rate by changing my car color?
No. Changing the color doesn’t change your premium because color isn’t used in rating. To lower your rate, focus on driving safely, choosing a lower-risk vehicle, shopping quotes, and using discounts.
Where can I estimate insurance cost for different cars?
Use our Insurance Cost Estimator and browse our guides at AutoSpecs Daily for more on insurance and total cost of ownership.
Conclusion
Car color does not affect insurance rates. No insurer tracks or uses it. Premiums are driven by driving record, vehicle type, coverage, location, mileage, and (where applicable) credit—not by whether your car is red, black, or any other color. You can buy the color you like and focus on the factors that actually move your premium. Shopping around and improving your driving record and credit will do far more than changing paint. For tools and guides on insurance and car costs, visit AutoSpecs Daily and try our Insurance Cost Estimator and Cost Per Mile Tool.
