You may live in Ontario and are a driver here. Chances are you have heard about how expensive vehicle insurance is in this province. That doesn’t mean that there are not ways to lower your vehicle insurance cost in Ontario.
How to Reduce Auto Insurance Premiums Ontario
You may already be driving in Ontario. If so, then you must already have the mandatory insurance coverage.
The mandatory coverage is going to provide third party liability in the amount of 200,000. It will include income replacement benefits within a specific amount. Also, there will be coverage for medical costs such as rehabilitation and attendant care. There will be inclusion for caregiver benefits. It will also include housekeeping and home maintenance expenses with some restrictions. Along with this will be death and funeral benefits.
There could be potential damage to your vehicle. If you are in a collision. You mandatory insurance has direct compensation for property damage coverage. Then there will be insured auto coverage.
Many individuals feel that this is a lot of coverage for the basic insurance. When one looks at the amount of coverage that’s provided many feel that it is not adequate. This can be for a variety of different reasons. Mostly based on the limited amount of money that gets provided in the coverage. Many feel that it would not cover their needs if circumstances should arise.
Based on this many individuals want to get optional insurance. Or at the very least up the amount of coverage that they have in the basic insurance.
How Much Does Basic Insurance Cost?
Ontario is well known for being expensive to buy vehicle insurance in. Even with the basic insurance, the costs can be substantial. There is no one set price when it comes to insurance premiums. It is going to depend on a lot of variables as they pertain to the individual insurance shopper. These variables include;
- The driver’s history
- The gender
- The vehicle as it pertains to cost type
- The driver’s experience.
Being as each of these will be unique to the driver it explains why insurance costs vary per individual. It has been estimated that the average cost for insurance in Ontario is about $1,920.
How To Reduce Your Vehicle Insurance Costs In Ontario
Quite often individuals want to lower their costs for vehicle insurance. They will reduce their coverage. That is if they have been using optional coverage outside of the mandatory. This may not always be a good idea, and it may mean that more ways need looking at.
First one should look at what add-ons they have applied to their mandatory insurance. To determine whether these are going to be necessary. For example, some individuals may have increased their mandatory income replacement benefits. The mandatory amount only covers 70% of the gross income that an individual makes. This is maxed out at 400 a week. Some individuals feel that this would not be enough to sustain them. Should they have to depend on this type of insurance. They will increase it to higher amounts. To give them the confidence that they know that they will be okay financially should a mishap take place.
An insurance shopper should look at the optional add-ons one by one. To see what is necessary and what is not. It may help an individual to lower their costs. Quite often circumstances change, and individuals forget to adjust their vehicle insurance for this.
One of the most significant ways to reduce the cost of vehicle insurance is by taking advantage of discounts. There are many that are offered. Most individuals may be aware of one or two at the most. For example, they may be aware that if they bundle their insurance, they’re going to get a cheaper rate. Insurance companies have a lot of competition. Based on this they are going to try and outdo each other with their discounts. The problem is that many insurance shoppers don’t take advantage of this.
Become An Informed Insurance Shopper
Another big mistake that shoppers make is that they don’t shop for their insurance. Once they become a client of an insurance company, they tend to just renew their policy year by year. This can be a big mistake in regards to cost and coverage. Every individual’s circumstances change over the years. They should make sure that their insurance policy reflects this.
Each year insurance companies may offer new incentives. These may not be automatically added to their current clients. In other words, the client needs to ask for them to have them applied if they are applicable. This means that each year the insured should look over the renewal policy carefully. Then perhaps do a review of their insurance provider. To see if they’re offering any new discounts or incentives. Ones that have not been applied to the renewal policy.
Do Some Comparisons
Another way to be sure that one is getting the best price on their vehicle insurance is to make some comparisons. This way they can compare it against their current insurance. To determine if perhaps another insurance company is offering better rates. Many insurance shoppers are under the misconception that all insurance companies are the same. Thinking that they are all going to use the same basic rates. Which is not the case.
How to Get Car Insurance in Ontario
How to get affordable car insurance in Ontario includes taking some time. To shop for it effectively. The Internet is such a handy resource it can get used to cut the cost of insurance for the vehicles down. Individuals have the opportunity to do insurance quotes. By getting these quotes, they can then compare the different prices. That some of the insurance companies are offering. There are many different sites that offer this service. Choosing the right site is also going to be as important as getting the quotes themselves.
Once the quotes get given then looking at the difference in cost of the premiums is one aspect of it. The other is also looking at what the insurance company is offering for those premiums. Some may have premiums that are a little higher, but they are offering a much better deal when it comes to add-ons. When doing the review on quotes the individual wants to find out about the discount. What potential discounts that particular company is offering. They may be offering two or three or even four discounts. Ones that apply to the insurance shopper compared to others.