Tickets and Auto Insurance

When it comes to Auto Insurance convictions have a huge impact. Some Insurance companies provide discounts for being conviction free in past 3 years, some surcharge every conviction you get. Now a days there is a coverage at an additional cost that will make sure your rates don’t go up due to minor conviction(s), depending on the insurance company. Every insurance company does not offer this protection. A broker can tell which companies offer the conviction protection coverage and which do not.

All convictions under the Compulsory Automobile Insurance Act (CAIA) and the Highway Traffic Act are divided in 3 categories – Minor, Major and Serious (or Criminal). They all have various degree of impact on your Auto Insurance in Ontario.

Minor tickets usually do not have any impact on your auto insurance policy unless you are under the age of 25 or G1 driver or there are more than 1 minor convictions within past 3 years. Some insurance companies will add a surcharge distinctly while some will include the additional cost in the premiums. Only convictions within 3 years are penalised by the insurance company. Most companies will refuse to renew your policy if you have 3 or more minor convictions in past 3 years. At that point a high-risk insurance company will be able to help you.

Major conviction is serious as you have violated a condition of license, insurance or been negligent while operating your vehicle. One of the most common major violation is driving the vehicle which has no insurance. The second one is G1 driver unaccompanied by a qualified driver. These convictions may result in a license suspension. One major conviction will make you a high-risk driver.

Serious conviction is also called criminal conviction as you have violated the law of the land. This accompanies a severe license suspension, prison time etc. A very common one is Driving Under Influence. Second is driving with a suspended driver’s license. One serious conviction makes you a high-risk driver.

If you have demerits on your license it does not affect your insurance unless your license is suspended, and you drive the vehicle. The resulting conviction of driving while suspended is a serious conviction. These two suspensions – License suspension due to demerit points and driving with a suspended license will affect your insurance rates and eligibility.
For a full list please see the link - http://www.ontariocourts.ca/ocj/how-do-i/set-fines/set-fines-i/schedule-43/

Remember a moving violation affects your insurance for 3 years and license suspensions will affect your insurance for 6 years, with most insurance companies. It is important to disclose the accurate information to your broker when are shopping for insurance.

Tip-Parking tickets do not affect your insurance rates.