Tips, Articles and FAQs on Buying Car Insurance in Canada

With September just around the corner and school just about to start, the rituals of preparing our children for being away from home for university or college begin with compiling a checklist of things to do before the school year starts; one item that most of us overlook is insurance. Your main question should be, how will my child be protected while away from home, and what can I do to help?

There is no question that harsh winter weather can wreak havoc on your vehicle. From snow, slush, and salt damage to treacherous driving conditions that can increase your chance of a collision, drivers need to be extra cautious during this snowy season.

While you can't control the weather, you do have power over certain practices that put you at greater risk for theft or damage and can be easily avoided. Here are a few winter driving habits that can be costly.

Whether you have just purchased a new car or are simply switching insurance companies, purchasing auto insurance requires that you have a variety of documents on hand.  To ensure you get through the application process easily and efficiently, we have put together a simple checklist of what you need, so you are well prepared.

 

If you are an Ontario driver, you should have already received a second notice in the mail from your insurance company highlighting the important changes that are being made to your auto insurance policy. If you haven't received any communications or information from your insurance company, call your broker or agent to learn more.

Believe it or not getting a ticket for speeding just 10 km per hour over the limit can cost you a lot more in the long run than paying a minor fine.  Unfortunately, the relationship between tickets, demerit points and your insurance rates is misunderstood by many drivers.  However, the relationship is an important one given the impact it can have on your driving record and the amount you pay for your insurance.

Effective September 1, 2010, when new laws are being introduced by the Ontario government, Ontario consumers will have more choices when it come to their car insurance coverage and premiums. In fact, you may have already received a letter in the mail from your insurance company which includes a brief description of these changes coming into effect. To help you better understand the most important changes and your options, we've summarized the major coverage categories of your policy and how they will be affected when the new laws come into effect.

You may have heard that the more expensive a car, the more you will pay in car insurance premiums. Although this used to be the norm in the past, it is not necessarily the case today.

If you think you've already done everything within your power to fight rising car insurance costs, think again. We've all heard many of the most common tips for reducing your rate, but what can you do after exhausting all of these options to make sure your premiums stay low?

When shopping for a used car, it is natural to wonder what might have happened to it in the past. In particular, you may be concerned as to whether the vehicle was previously involved in an accident that might have damaged the car in ways that are not visible.  This is where a VIN can help

Most drivers know that their deductible is an amount they must pay toward a claim before their insurance company pays. However, it is a common misconception that the deductible must be paid every time a claim is made. Although in most cases the deductible is enforced, there are instances where it is not. The following are some common examples of when a deductible is applicable and when it is not, in the province of Ontario.

If you are like most consumers, increases to your car insurance rate often leave you confused and frustrated, particularly when the root cause isn't clear or explained. Although there are several reasons your car insurance premiums may be on the rise, the following are some of the most common:

If you are considering cancelling your insurance policy, you may be wondering if you are entitled to a refund.  When a policy is cancelled, insurance companies use a variety of methods to determine how much of your premium will be refunded to you.  The method used is dependent on the reason that the policy is being cancelled in the first place.

Insurance companies use your driving record, including details of any tickets or accidents you may have had, as a key factor in settling their rates.  For that reason alone you should be sure that the information on it is accurate and up to date.

A car accident can be a very traumatic experience in itself for drivers, and confusion regarding what to do and what not to do can make matters worse. If you find yourself in this unfortunate situation, make sure you don't do any of the things on this list.

Believe it or not, insurance fraud costs the insurance industry approximately billion each year. When most people think of insurance fraud, they typically think of organized groups who stage automobile collisions in order to claim medical benefits. But there are other types of insurance fraud that can be just as costly to the insurance industry and ultimately to you.

If you are like most people, the only times you think of reviewing your insurance policy are if you are making a claim or when you get your renewal notice in the mail. But did you know that there are a number of common changes to your driving profile that require you to notify your insurance company or insurance professional?

In October of 2009, the province of Ontario banned texting and/or talking on a handheld device while driving. Warnings with no fines were issued for a three month period. Effective February 1, 2010, the warning period is over and drivers can now be fined as much as 0.

According to theinternetretailer.com, there has been a steady increase in the number of Baby Boomers who are shopping online. "Baby Boomer" is a term that describes those people born starting in 1945/1946, who will be turning 65 in 2010 (which is the set retirement age in Canada), and in 2008 approximately 74 per cent of Boomers went online to make purchases. 

Every year more consumers are taking advantage of the Internet to save money on their car insurance. However, not all websites are created equal and it is important to follow some important tips to make sure that you are getting the best deal available and the most accurate rate possible.

With the holiday season over, you're undoubtedly dreading the bills that are on their way to your mailbox. Fortunately if you're looking for ways to tighten your financial belt in the New Year, there are a number of simple ways to reduce the many costs associated with your car.

The holiday season is a time for friends, family and good cheer — yet unfortunately it can also be a time of potential risk. Sadly, with increased rates of people drinking and driving, plus theft being more prevalent, you'll want to stay aware and cautious, ensuring you get through the season safely. We will share some tips to help keep you and your possessions safe during the holidays.

With the holiday season here, the Reduce Impaired Driving Everywhere (R.I.D.E.) program will be taking to Canada's streets and highways once again. While R.I.D.E. is primarily aimed at keeping impaired drivers off the road, there are important points about the program that you'll want to keep in mind when getting behind the wheel this season. Learn how being prepared and cooperative can help you avoid getting a fine.

We're nearing the end of 2009, which makes now a good time to recap some of the changes that have occurred this year in the insurance industry and with driving laws. We list the highlights in this article.

The deductible is one of the most important options you will select on your car insurance policy. This is because it directly impacts how much your insurance premium will cost and the amount you agree to pay out-of-pocket in the event of a car accident or a claim.

The main purpose of insurance is to protect you in the event of an accident — whether or not you are responsible — in exchange for a premium charged by the insurance company. Your insurance company determines how much you'll pay for insurance by assessing the answers you disclose on your auto or home application.

Drivers in Ontario are about to get hit with car insurance rate hikes.  Are you going to be affected? Find out what you can do about it.

At InsuranceHotline.com, we receive many great questions from our readers. This month, we'd like to share our top 10 Q & As with you.

You're driving along the highway and a stone flies up and hits your windshield. It starts out as a little line and before you know it, you have a cracked windshield. The location of the crack could compromise the structural integrity of the glass, not to mention impair your vision while driving.

There has been a lot of coverage in the media recently over distracted drivers. With Bill 118 (which outlines the ban on handheld cell phone use while driving in the Province of Ontario) likely to come into effect in October 2009, do you know what penalties you may have to pay if you're found guilty of talking or texting while driving?

You're reversing your car into a parking spot when you all of a sudden hear a bang. You just backed into the car parked behind you! You really dented the parked car, where your car just has a scratch on it. The driver of the parked car isn't there and no one is around. You think to yourself, "I'll just leave and no one will be any the wiser."

Throughout this past summer, Southern Ontario endured a string of violent thunderstorms and tornadoes, leaving a path of widespread destruction that's ruined numerous buildings and homes.  For many of the homeowners, insurance will cover most, but not all, of the repair costs as a result of the weather related damage.

Are you new to Ontario? If you've chosen to come to Ontario from another province or another country, there's some important information about driving and insurance that you'll need to know about.

In the upcoming months, our monthly newsletter will cover various common insurance situations that you, as a driver, may face and how to handle them in the most effective way. To get started, let's look at a very common scenario: another driver has hit your car in a parking lot, denting your car.

When it comes to insurance, it's hard to miss the following phrase in the media today — "car insurance rate approval." No doubt you've heard about this, but what does it mean, exactly, and what is car insurance rate approval all about? And, more importantly, how does it impact your auto insurance?

Are you one of the 'lucky' consumers who have a great set of discounts with their current auto insurer? If so, then you must be paying the lowest premium out there, right?

No one wants higher insurance rates, which is why making a deal with another driver to not report an accident to your insurance company seems so appealing — but that doesn't mean it's a good move.

Keeping your insurance rate low starts with keeping a clean driving record, which is free of tickets and accidents, and one of the best ways to do that is to practice safe driving habits. With summer finally here, it's especially important to stay smart and aware while on the road. School's out, kids are taking to the streets to play, and it's your duty as a driver to follow good driving practices.

Maybe your teenager just passed her driving test and is now a G1-licenced driver. Or perhaps your university-going son and G-licenced driver is back home for the summer. If you have young drivers in your household, who are using your vehicles, then this means they're on your insurance policy, which may have you concerned. What does this mean for your rates? And what potential consequences could your kids cause to your good record?

As a driver, you already know there are consequences for breaking the rules of the road — but do you know the difference between a minor and major infraction? Or what about how convictions can influence your insurance rates?

The Financial Services Commission of Ontario (FSCO) is has clarified the use of an endorsement which can be added to your insurance policy.

Insurers just announced another record profit of .2 billion dollars. Many feel they've made this money from the pocketbooks of the drivers, and not as a result of a return on their investments. 

updates 30 of the top Canadian insurance company rates every week. And car insurance rates are dropping, especially the rates for ‘good' drivers.

You've packed your bags, booked time off work, and are ready to hop in the car and travel to spend time with friends and family for the holidays. But have you ever wondered if your car insurance will protect you out of province?

In the thick of holiday festivities, your safety is probably the last thing on your mind, but you should be aware of several risks unique to this time of the year. Check out our list of tips below on how to protect yourself, your loved ones and your property this holiday season. 

With winter fast approaching, is your car ready for the cold? Follow these seven steps to help your vehicle tackle the elements and to keep you safe this coming winter season.

Will you be ready for anything on the road this winter? It's a good idea to stock your trunk with a winter driving emergency kit, just in case your car stalls. You can buy a car emergency kit at most stores that sell automotive products, but if you want to make one yourself, or enhance one you've already bought, here's what you'll need:

How prepared are you to get behind the wheel this winter? Check out these nine tips on playing it safe and smart on the road this season.

It's often tough to separate fact from fiction when it comes to car insurance, especially when a number of myths and misconceptions exist among Canadian consumers.

It's an unfortunate fact of life, but owning and operating a car is very expensive for students, especially when you consider additional expenses such as gas, insurance, oil changes and regular maintenance.

Want to reduce your car insurance premium? Have a look at these tips.

Ever wondered how your car insurance premium is calculated? What factors are taken into consideration? Why you are asked so many questions?

Some people think it's acceptable to lie about past accidents, traffic convictions, claims and prior insurance cancellations when applying for a car insurance policy.  The mind-set of these consumers is often that insurance companies owe them something, especially if they've never reported a claim.

Over the next few weeks most college and university bound students will be packing up personal belongings and getting ready for the move away from home to enjoy the much anticipated "campus life". But before packing away laptops, televisions and iPods, students would be wise to have parents review their insurance policy to ensure valuable personal items are sufficiently covered in case of accidental loss or damage while away at school.

With the first day of school approaching, drivers can expect to encounter young children commuting to school for the first time in almost 3 months. Many drivers can be particularly unprepared for the increased road traffic, crossing guards, bicyclists and pedestrians during the morning and afternoon drive times.

Fraudulent activity occurs in the business world and the insurance industry is no exception. The Insurance Institute of Canada estimates that 10 to 15% of insurance claims in Canada are fraudulent and the latest insurance scam in Ontario involves the sale of fraudulent auto insurance policies to unsuspecting drivers.

Effective July 2^nd 2008, all Canadian drivers caught driving under the influence of drugs or alcohol will no longer be able to refuse roadside sobriety tests and will now face tougher penalties including the following.