Manufacturers of “insulating paints” continue to enter the marketplace with claims of their products’ exceptional potential to reduce building energy consumption. To help dispel this myth,this paper presents the simple theoretical analysis disproving this claim, backed by a more in-depth computational fluid dynamics (CFD) analysis testing the performance of such products. The CFD analysis is conducted in a simulation of a room as a function of various parameters. The benefits of insulating paint are shown to be minimal; even under highly favorable conditions, energy consumption is reduced by less than 1%.