Are you planning to buy a new car? Besides deciding on the four-wheeler’s model, you need to consider several other factors, and car insurance is one of them. It is essential to sign up for the right automobile insurance.
Have you been asking yourself: How much car insurance should I be paying?
If you are a Calgary resident, you'll need to ensure that you know about mandatory coverage for car insurance in Calgary. In this article, you'll learn everything you need to know about car insurance, features, and how to find the right deal.
Visit Surex to learn more about car insurance and premiums.
There are several types of insurance you can get for your car. However, the following are the two most popular types of coverage purchased by car owners:
This type of insurance coverage covers bodily injury. It is applicable in the following conditions:
- If the car owner gets injured in an accident (either due to the fault of self or a third party)
What it provides:
- It covers auxiliary care services, medical care, rehabilitation and other medical expenses incurred for treating bodily injury due to car accidents.
- It provides income replacement.
This type of car insurance is mandatory and applicable in the following conditions:
- Bodily injury and material damage caused due to the fault of others
What it provides:
- The claim of both property damage and bodily is covered up to $200,000.
Note: Quebec requires compulsory third-party insurance of $50,000, while in Nova Scotia, the amount goes as high as $500,000.
You may pick any of the two types of car insurance mentioned above that best fits your requirements. For extended protection, you can add comprehensive car insurance, specified perils auto insurance, collision car insurance, or all-risk car insurance to your policy.
If the question “how much car insurance should I be paying” has been keeping you up at night, there are numerous factors you should know about that determine the rate of an insurance premium. These include age, driving experience, how often a person drives, and more.
Companies also determine what kind of vehicles are highly likely to get into accidents and how expensive their repair will be.
It is to be noted that the car that an individual chooses to buy plays a crucial role in how easy or difficult it may be to find an affordable insurance premium option. Other significant factors that affect car insurance prices in Calgary are:
- Age and gender
- Past driving history
- Your residential area – car insurance prices in the countryside and city are different.
- Purpose of buying the vehicle - for commuting to work daily or for business purposes?
- Vehicle type – the premium value depends on the vehicle that the individual drives. Car models that can be stolen easily have a higher premium.
- Third-party liability
- The date the driver's license was issued
- The options chosen for coverage such as accident forgiveness, roadside assistance, etc.
Your previous claims history also plays a significant role in determining your insurance rates. Drivers with frequent claims end up paying higher premiums. Thus, it is always advised not to file a claim for minor repairs.
Adults aged between 50 and 70 can easily find cheap car insurance in Calgary. However, insurance companies consider the history of an individual when deciding on insurance premiums. The insurance rates creep up for individuals aged more than 70 years.
Plus, the probability of filing a claim is comparatively higher in this age group, and these individuals are more likely to take a longer time to recover from an accident or an injury. Therefore, it is recommended to do a little research when looking for potential car insurance providers in Calgary.
On average, young car owners pay the highest amount of insurance premiums. Also, it can be challenging for students or new drivers to find cheap car coverage in Calgary. Consider the following factors to reduce your car insurance price:
- Avoid buying a new car, if possible. Get a used car from a reliable seller. Insurance for used vehicles is comparatively low.
- Look for discount offers provided by insurance companies to students with good GPAs.
- Sign up for a driving course to make sure you get proper certification. It will help you in finding car insurance at the lowest possible rate.
If you are a new immigrant to Calgary, you may be going through the process of getting a license and getting insured. Those who already have insurance of some kind can ask their old insurance company to provide a reference to the new insurance company in Calgary.
It goes a long way in securing a low rate car insurance rate. Additionally, proof of driving history and insurance creates a better chance of getting reasonably priced car insurance.
Individuals with too many traffic convictions have a tough time getting car insurance. They are put into the "high-risk” category by the insurance companies. Individuals who had their licenses revoked also fall under this category. To an insurance company, being a high-risk driver means you are more likely to file an insurance claim eventually.
For these reasons, insurance companies charge a higher premium. Some insurance firms provide insurance to high-risk drivers but not as many as you would find otherwise. In extreme cases, individuals may also fail to get facility insurance – coverage provided by Canadian insurance companies to high-risk drivers.
You may have been asking yourself: How much should I pay for car insurance? Now you know that finding the best car insurance rates in Calgary will require some research.
If your car has safety features such as airbags and anti-lock brakes, your premiums can be low. Insurance companies keep these considerations in mind when deciding premium rates. Look for deductibles when signing up for car insurance. Increased deductibles mean lower monthly premiums and rates. In case you have a history of accidents, you'll need to bear pricy car insurance. So be careful when looking for a car insurance policy.