No matter what channel you go through to buy your policy, the basic coverage plans across the province are the same. What is different, however, is the company’s position in the marketplace and its ability to offer you lower rates. While it may not appear obvious, insurance companies know they operate in a very competitive industry, and they change their rates accordingly when they need to.

Shopping around is the only way you can guarantee you are getting the best deal for your dollars. Talk to various brokers and agents and do not be afraid to ask for advice. Check out any discounts insurers may be offering. If you protect more than one vehicle on the same policy, or if you have multiple drivers, chances are you will be able to score a discount.

Know exactly what kind of coverage you need. Third party liability auto insurance Ontario mandates you buy as minimum protection. That is regulated by the Financial Services Commission of Ontario, part of the Ministry of Finance, and there is no negotiation. However, you will likely want, if not need, more protection for your own peace of mind.

The provincial government also requires insurance companies to offer a $300 deductible for comprehensive coverage and a $500 deductible for collision coverage. However, you might want to consider a policy that has higher deductibles. Raising it even an extra few hundred dollars could greatly reduce your premiums.

With its almost year-long winter season, this province also provides the perfect opportunity to get into snow sports. One of the most popular is snowmobiling, but don’t let its off-road nature fool you into thinking you don’t need insurance – you do. Unless you are driving on your own private property, auto insurance is a must for all snowmobiles. The same goes for motorcycles; once you venture off private property, you are legally required to have the proper protection, and we’re not talking about helmets!

Wherever you buy your auto insurance, Ontario or elsewhere, it is important to be on the lookout for scams that offer cheap coverage packages that in effect do not actually exist. People claiming to be licensed insurance brokers or agents have managed to scam thousands of people into false plans, which they often only discover after it’s too late. Make sure anyone trying to sell you insurance is legally allowed to do so by checking on the Insurance Agents Licensed in Ontario website at fsco.gov.on.ca

Everyone knows to shop and compare prices for clothes, computers, electronics, and more. However, most people just accept the quote that they receive from an insurance agent without checking for a better price. It does not have to be that way!

There are reasons that people do not shop for auto insurance and compare prices, and there are also myths.

Myth #1 - You do not need to shop around for Canada auto insurance because insurance companies all charge the same price.

Myth #2 - Shopping for rates are only for those who have just gotten their license, or for people who have accidents and/or tickets on their record.

Believing these myths is not only the wrong thing to believe, but it will also cost you too much money if you do!

Your driving record may be squeaky clean, yet you are still paying too much for your auto insurance. This is because auto insurance companies do NOT charge the same amounts, and in some cases rates can vary quite differently.

Take the time necessary to get a Canada auto insurance quote to save money.

2. Deductibles, Raise or Lower Them?

You may consider raising your deductible, which is the amount of money you have to pay if you are in an accident before the insurance covers the rest, to save you money. Most people usually take on the lower deductible so they pay less out of pocket. A higher deductible will lower your premium over the course of its run, and is a better idea in saving you money. You are not going to be in an accident every day so this is the smart thing to do, and will save you money in the long run.

3. Canada Auto Insurance Discounts

Many people do not realize the insurance discounts they can receive if they just ask. Here are a few:

Age: At the age of 25, your insurance rate will drop, just ask!

Multi-Vehicle discounts- If you insure more than one auto on the same policy, you can receive discounts.

Multi-line discounts - If you insure not only your vehicle, but your house, motorcycle and boat as well, you can get insurance breaks.

Anti-theft coverage - If you have these installed, you can get insurance breaks.

Low mileage - don’t drive much? Let your insurance know for breaks on your premium!

Occupational discount - You may get a discount depending on your occupation; for example, military members get insurance discounts.

Auto club discounts - Many auto clubs, such as AAA, can get you insurance discounts if you are a member.

Remember, it doesn’t hurt to ask!

4. Drive safely

Your driving record is one of the major things that an insurance company figures in when they are putting together your premium. Accidents happen to everyone, but it is always important to pay attention when you are driving. Any accidents that you are at fault for, or any driving tickets you receive, are going to negatively affect your insurance rates when you try to get auto insurance!

Everyone in Canada is required by law to have auto insurance. However, that does not mean that you have to pay high premiums for it! Take your time figuring out your auto insurance as well as using the 4 key factors above, and you will be on your way to savings!

If you’ve been involved in a collision that may result in a claim, contact your insurance representative as soon as possible. You must notify your insurer as soon as possible (some policies specify within seven days) about any accident involving the automobile:

• that must, by law, be reported to police; or
• for which you intend to make a claim under the policy.

Most policies state that a written declaration (”proof of loss”) must be made within 90 days of the accident. If you don’t make your claim within this time, your insurance company may not be legally bound to honour your claim. In practice, however, most companies will honour a claim made within one year if there is a reasonable explanation of the delay.

If you are making a claim against another driver, you should notify him or her as quickly as possible. It’s also a good idea to notify the other driver’s insurance company of the claim yourself; don’t assume that the other driver has done so.

In the unlikely event that you intend to sue your insurer, check your contract for any time limits that may apply.

Preventing further loss

If you are involved in a collision, you are responsible for protecting your vehicle from further loss or damage. The insurer, however, will pay for the damage if you have purchased Collision or All Perils coverage. You must not order repairs, other than those needed for protection of the vehicle from further loss or damage, until the insurer has consented or has had a reasonable amount of time to inspect the damage.

You cannot simply abandon a wrecked vehicle to the insurer without the insurer’s consent. However, when your insurer has replaced or paid for a wrecked vehicle, the wreck or whatever is left of it (salvage) belongs to the insurer.

You must not voluntarily assume liability (responsibility) for any collision or settle any claim, except at your own cost.

Claims adjuster

Once your insurance company has been advised, a claims specialist – an “adjuster” – will be assigned to look after your claim. The amount you receive for your claim will depend on the type of coverage you bought. The adjuster’s job is to determine the facts relating to the claim and the extent to which the claim is covered by insurance. The adjuster, who is paid by the insurance company, also attempts to reach an agreement with the other people involved regarding the amount of their loss and extent of their responsibility.

When you don’t have Collision coverage

If the collision was the other driver’s fault, you could claim payment of your damages from the at-fault driver. (In Ontario and Quebec, Direct Compensation - Property Damage may apply, in which case you would claim from your own insurer.) If it was your fault, you will be personally responsible for your damages.

In Ontario, drivers who do not carry car insurance as they are required by law to do cannot sue another driver to claim for reimbursement for damage to their cars.

You do not have to wait for your auto insurance renewal to do something about the cost of your auto insurance. If you have just renewed your coverage, now is the best time to start preparing for next year’s renewal. There are things you can do now to reduce the cost of your auto insurance renewal cost. Remember that the most important consideration of the insurance companies in quoting your premiums is your risk rating. If you show these insurers that your risk rating is low, chances are you can bargain for cheap auto insurance on your renewal.

You can start by driving less. There are gadgets that you can put under your glove compartment or under your dash board to track the mileage on your car. It can also track where you go and at what speed you drive. This shows the insurers that you are at very little risk of getting into accidents for speeding, which is one of the most common causes of accidents. Great discounts can be had from companies that charge premiums on usage-based insurance.

Educate yourself on defensive driving techniques. Most auto insurance companies would offer discounts to those who equip themselves with the professional training needed for safe and defensive driving. Your ability to navigate the streets of Canada without or with very little risk of causing or being part of an accident will definitely merit some form of discount from your auto insurance company.

An accident-free driving history would also serve well to secure for yourself a cheap auto insurance coverage. You can even ask your insurance company to waive your first at-fault accident benefit on your accident protection endorsement to save hundreds of dollars on your auto insurance coverage’s renewal premiums. This endorsement just means that in the event that you get into an accident for the first time (which is highly unlikely given your driving history), you will take the responsibility for shouldering the expenses incurred instead of the insurance company.

Keeping your risk ratings low will help you secure a cheaper auto insurance quote from your current insurer and from other insurers as well at the time of your renewal. Do not just wait for your auto insurer to present their renewal rates to you. Ask around and search for comparative quotes from various insurers. You might just find one that has a better price as well as better benefits in their packages.

A lot of insurance companies would have websites that have online quote request facilities. This is the easiest way to go through cost canvassing. You have to give your basic information, as well as information about your car. You will also most likely be asked for information about your car’s history so the insurer’s underwriters can evaluate your risk rating. When you get a standard risk rating, you will most probably get a cheap auto insurance quote.

Get insurance quotes from reputable companies with a track-record of servicing their policy owners. Cheap auto insurance does not mean worthless auto insurance. It is important that you get your auto insurance from an insurance company that really pays on claims. It would be worthwhile to check if your insurance company for life and other protection products carries automobile insurance. They might have promotions or loyalty programs that will allow you to get auto insurance at a discount. Ask your current insurance company for any affinity programs they might have.

Check the benefits you have with your auto insurance. The cheapest type of insurance will only give you third-party liability insurance which covers you for damages on persons, or other vehicles or properties. Those that include accident, flood and water damage, and fire damage will cost more but if your location’s statistics show high incidences of these perils, it might be worthwhile to spend the extra dollars to include these perils in your coverage. Again, only get coverage for things that are relevant to you. If it hardly ever rains (let alone flood) in your area, then it might be a waste of precious money to get a coverage that includes coverage for it no matter how cheap it might be.

Make sure your car is equipped with safety gadgets. It is often cheaper to insure a car that has safety measures installed than one that does not have any. Equipment that protects your car from theft like alarm systems and tracking systems make you eligible for cheap auto insurance as to air bags and automatic seat belts. Auto insurance on certain car makes and models, however, are highly priced as they are no matter how much safety equipment they have. Sports cars and more expensive car brands fall under this category. If you want cheap auto insurance, stick to less expensive cars.

Auto insurer have promotional discounts from time to time depending on your location. It would be best to check out their websites much earlier than your current coverage’s expiration date. When you take it upon yourself to handle your auto insurance needs, you get better deals, and a coverage that gives you exactly what you need at a price you can afford.

This is no reason to be resigned to the fact that premiums are high and cough up whatever premium is quoted by an insurer. It is all the more necessary for you to get quotes from various insurers so you can compare their costs and benefits. Since you are already paying more than you want to pay for auto insurance in Toronto, you want to get the most value out of it.

The range of premiums for auto insurance in Toronto is about $1000 to $2000 for car models within the past decade. Premiums charged for auto insurance varies depending on certain risk factors that include the vehicle owner’s age, the type of car being insured, the use of the car being insured, the gender of the vehicle driver, and the driving history of the vehicle driver. Drivers who have been issued one or more tickets in the past 6 years, or those who have figured in at least once during the same period averages around $3500 in auto insurance premiums.

You can get quotes for Toronto auto insurance through online websites of auto insurers. By going direct to the insurers, you are already cutting down on the cost of paying for the services of an account executive. You can check the sites of various insurers without being obligated to buy from any particular insurer. Comparing these quotes based on costs and benefits is faster and easier.

The cheapest auto insurance coverage would be the standard state-mandated liability insurance. This provides basic coverage for damages due to accident or negligence. There are add-ons to the basic coverage that may or may not be bought together with the basic policy. Other types of coverages that include indemnity for damages other than those included in the basic coverage are also available. These coverages can be a bit pricey but there are ways to reduce premiums on your auto insurance coverage.

One way to have lower premiums on your auto insurance coverage is to stick to the minimum coverage amount as set by law. In cases, however, when your vehicle causes an accident that results in damage to other vehicles or properties, the amount of damages you will have to settle could be more than what your auto insurance will pay for. If you do not want to be caught off-guard with an expense like this, you can try to adjust the amount of your coverage upwards to an amount that will not cause your premiums to increase substantially.

Another way to bring your auto insurance premiums lower is to go to the same company providing your life insurance and financial services needs. Your insurer might be able to offer you discounts based on your total relationship with the company. Aside from outright discounts, you can also ask for discounts for staying clear or not claiming from your auto insurance policy.

A car insurance policy is the best add-on you can get for your car. It can give benefits for you and your car in the event of an accident, vandalism, or theft. In the industry of car insurance, Canada is one of the most aggressive countries. Auto insurance is mandatory in Canada. Several provinces in the country have a public auto insurance system that provides basic auto coverage. Accident coverage is mandatory for most provinces in Canada while loss of or damage to the driver’s own vehicle is optional.

The benefits provided by auto insurance vary from one insurance company to another. There are those that provide only the basic coverage while there are those that provide additional optional coverages that you might opt for.
Take no-fault insurance, for example. Insurance companies, public or otherwise, in all provinces in Canada offer some form of no-fault insurance that accident victims can benefit from. The extent to which the no-fault is exercised, however, is different from one province to another.

Coverage for liability is the minimum that is required for any car insurance in Canada. This covers an automobile for cost of damages due to accidents or negligence up to a certain maximum limit. This coverage can be extended to vehicles or property other than the vehicle insured. Collision coverage can also be added to the basic coverage. This covers the repair costs of a vehicle that figured in an accident. In case the vehicle cannot be repaired anymore, the auto insurance can pay for the cash value of the vehicle. For coverage on other types of accidents such as hail or fire damage as well as vandalism, a vehicle owner can get a comprehensive auto insurance.

Prices of car insurance in Canada also vary from one province to another. There are guidelines used in determining the amount of payments, or premiums, for car insurance. Canada male car owners have to pay more for their auto insurance than female car owners. This is because males are found to have a higher probability of getting into an automobile accident. In the same way, teenagers are also considered high risk and are therefore charged higher premiums. Driving experience and accreditation can reduce their future premiums.

Car insurance policies in Canada often have a deductible amount stipulated in the contract. This deductible amount serves as the insured’s share in the cost of repairs. The amount of the deductible has an impact to the coverage and premium of any car insurance in Canada. Logically, the higher the deductible amount is, the lower the premium charged for the insurance coverage.

Auto insurance is something that you do not want to use but is something that you should definitely invest in. For quotes in car insurance, Canada has a lot of sources available for you to search from. Conduct your search thoroughly, evaluate your options with care, and choose wisely. The Canada auto insurance industry is supervised by government agencies. All insurers are bound by provincial regulators to adhere to the regulations as provided by federal and provincial laws.