Insuring your vehicle

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  • Every government requires a driver to be covered under the vehicle’s insurance policy.

    Insurance is money collected to cover the costs associated if the driver is ever in a collision.

    Some provinces offer insurance through the government, while others use private companies.

    You can get private insurance

    • directly from an insurance company
    • from agents who represent one company
    • from agents who represent two or more companies
    • from brokers who do business with many companies
    • from auto clubs
    • from employers, unions, or fraternal organizations offering group plans

     

    Wherever you get your private insurance from, be sure to shop around and deal with someone who has a solid history of dealing with claims.

  • Types of Private Insurance

    Liability

    • protects you if any claims arise when you are held responsible for a mishap or collision
    • bodily injury
    1. covers claims involving other people from passengers to pedestrians
    • property damage
    1. repairing or replacing public or private property
    • the minimum provincial requirements are insufficient as you will be held responsible for any costs that exceed your policy coverage

    Collision

    • pays for replacement or repair to your vehicle, no matter if you are held at fault for the damage
    • underinsured motorist insurance is more compete as it covers bodily injury
    • due to the increasing cost of this coverage, a minimum amount (deductible) must first be paid before the insurance pays for damages

    Comprehensive

    • protects you from damage due to vandalism, theft, fire, floods, windstorms etc
    • also has a deductible

    Medical Payment

    • specifically covers costs for ambulance, hospital, funeral services

    Towing

    • covers the cost of on-road repairs and having your vehicle towed

    Insurance can be complicated. Talk to a broker who shows you the different options available to find out which works best for you.

  • Insurance Costs

    There are a number of factors which contribute to what your insurance will be.

    Age

    • youngest drivers pay the highest premiums

    Driving Record

    • traffic violations, collisions, previous claims etc

    Vehicle Usage

    • if you drive to work, car pool, or drive only for pleasure, your insurance changes

    Marital Status

    • married persons pay lower premiums

    Gender

    • women statistically drive less and therefore pay less

    Vehicle Type

    • the more expensive or sporty the vehicle, the more expensive it is

    Residence

    • higher density living areas pay more due to increased rates of vandalism

    Discounts

    • offered to those who take driver training courses!