Buying car insurance can be overwhelming and confusing. The following tips can help make the process a little clearer and ensure you are getting the policy that is right for you:
- Auto insurance in Canada is not just an option, it is the law. All motorists must have valid insurance. If you do not have insurance or your current policy has expired, your driver's licence can be suspended and your vehicle impounded.
- Insurance can only be sold by a licensed broker, agent or insurance company in Ontario. To find out if your insurance broker is licensed to do business in the province, visit the Registered Insurance Brokers of Ontario website.
- Insurance rates and policies vary greatly from one to another, so make sure you shop around to find the one that suits your needs and budget best. Obtain quotes from different direct writers, brokers and agents.
- Some insurance companies give discounted rates if you insure your home or other vehicles with them. Don’t be afraid to ask for a discount.
- Your driving record will be taken into consideration when determining your rates. The cleaner your record, the lower your rates.
- The type of car (i.e. sedan, SUV, sports car) you drive will also affect your rates. The more expensive it is to fix and the more enticing to thieves, the higher your rates.
- Be honest and accurate with your insurance agent if your circumstances change, as this can affect your rate.
- In Ontario, all motorists are required to have a minimum amount of insurance. Click here for more information on what is included in the Standard Auto Insurance Policy
- Make sure your fully understand what is and what isn’t covered under your policy. Ask questions.