There are lots of ways to bring down the cost of your automobile insurance premiums. This section talks about several of those strategies.
Work on your driving record
This is an easy, yet effective way to bring down your insurance costs. Build a consistent accident and conviction-free track record with an insurance company.
Choose your automobile wisely
Do your research before you invest in a new car. Read consumer reports, and check with your insurance company to find out which cars tend to be targets for theft and vandalism. Remember, If you buy a car with a high theft rate, your premium will be higher.
Check out the claims and safety record of your car at the Insurance Bureau of Canada.
Adjust your driving habits
By adjusting the way you use your automobile, you can also bring down the cost of your insurance rates. If you live in a metropolitan area can you take the subway, train or bus to work? Has your job changed, or have you moved recently? Do you use your automobile to drive a short distance to work, but maintain low annual kilometres? Have you recently celebrated your 25th birthday? If you answered yes to any of these questions, you may be able to reduce your insurance costs.
Review your coverages
Take a close look at your coverage limits and deductibles. Consider purchasing a higher deductible for collision or comprehensive coverages. Or, if you have an old car, it may not be worth having these types of coverages at all.
If you've purchased $2,000,000 Third Party Liability coverage on your property and automobile insurance, consider purchasing an umbrella policy to provide the higher liability limit. This would likely reduce your automobile and property insurance coverage limit, reduce your overall premium costs and provide a broader liability protection.
Take advantage of discounts
Review your automobile policy on a yearly basis to take advantage of discounts that might be available to you. See the section called insurance discounts for more information.
Auto insurance quickguides
- Introduction to auto insurance in Canada
- Common insurance coverages and endorsements
- Accident Benefits in Ontario
- What is no-fault insurance?
- How premiums are calculated
- How to reduce your auto insurance costs
- Insurance discounts
- Special situations