What affects my Car(Auto) Insurance Premiums?
There are 4 main factors that affect your Auto Insurance In Ontario:
1) The vehicle your drive (Year, make and Model)
2) The area you live (postal code)
3) Your driving record (years licensed, at fault accidents, moving violations, non payment cancellations, license suspensions, years continuously insured, cancellation of the policy due to misrepresentation/non disclosure)
4) The use of the vehicle -commute, pleasure, business or commercial
You can always talk to your Broker about Insurance discounts that help manage the prices if its too expensive but not at the cost of getting a substandard product.
Some common auto insurance discounts are:
- Home and Auto Discount ( combine them to save in the long run)
- Winter tire discount (always have installation receipts of the winter tires. It is a requirement of most companies to have them installed before November 1 to April 31)
-Conviction free discount
- Loyalty discount
- Now a days a popular one is telematics (Usage based insurance - install a device in your car and get your use tracked).
- Good student Discount and Graduated License Discount ( for under 25 year old drivers)
Fun Fact- Color of the Car has no effect on your Auto Insurance.