10 Tips to Lower Your Car Insurance Rate in Ontario

Insurance bundling or purchasing multiple policies from the same provider can qualify you for savings between 20% and 50%. Plus, bundled insurance is easier to manage, reducing the chances of forgetting to pay your bill.

Some providers offer single deductibles for claims affecting both your home and vehicle, reducing out-of-pocket expenses when you make a claim. 

If you have multiple vehicles in your household, combining them all in one policy can save you money. To qualify, drivers must live in the same household and be related by blood or marriage. Unrelated drivers can be eligible if both people own the vehicle.

Many multi-car insurance plans allow drivers to specify tailored coverage for each vehicle. For example, you can adjust coverage levels based on each vehicle’s specific needs, providing drivers with the appropriate amount of coverage without paying unnecessary costs. 

When drivers are involved in an at-fault accident, rates increase upon renewal. A clean driving record decreases costs because you’re less likely to get into an accident and file a claim. 

Some insurance companies also provide discounts to drivers who’ve taken defensive driving courses, though different providers have varying rules about accreditation.

The Canadian government requires drivers to get basic auto insurance, but you may only need some add-on you see on an insurance website. For instance, if your vehicle’s value is under $2,000, replacing and repairing certain parts out-of-pocket may be cheaper than paying high premiums. 

When shopping for insurance add-ons, measure the cost of your policy against the expenses you can realistically incur in case of an accident. 

A deductible is how much you pay in case of a loss. Getting a low deductible may seem reasonable, but it does result in higher premiums. Increasing your deductible can lower your annual premium – just remember you’ll pay more out-of-pocket in case of an accident.

Higher deductibles also discourage smaller claims, since you’re more likely to pay for damages yourself rather than your insurance provider. Fewer claims keep your claims history clean and discourages providers from increasing your rates in the future.

Usage-based insurance policies reward drivers for being safe on the road. They use telematics to measure driving habits like quick acceleration and sharp breaking. Many options reward a discount upon signing up with opportunities to get bigger discounts upon renewal. 

New drivers may benefit from usage-based insurance most as it provides quicker opportunities to build up their insurance history. 

Auto theft is prevalent in Ontario, so installing an anti-theft device is a good move. You’ll decrease the likelihood of your vehicle getting stolen while potentially lowering your insurance rates. 

Some anti-theft devices include systems that shut down your fuel pump or starter motor to prevent thieves from driving away with your car. Depending on your provider, you can save up to 20% on premiums with an anti-theft device.

Comparing insurance quotes between providers is the best way to determine whether you get the most bang for your buck. However, finding cheap rates isn’t the only criteria you should note – it’s just as vital to understand an insurer’s creditworthiness. 

If an insurer promises a good policy, it should have the financial strength to pay its insurance claims. Review the potential insurer’s claims history or talk to friends and family who have policies with a particular provider. 

MyChoice can help you compare insurance quotes based on your location, your driving history, and the vehicle you drive.

Canada is known for its harsh winters, and driving on slippery roads can increase your risk of an accident. Getting winter tires can safeguard your vehicle by providing better traction and making it easier to brake in snowy conditions. In addition, it can give insurance providers peace of mind, encouraging them to provide small discounts on premiums during the winter season.

Driving a hybrid or electric vehicle (EV) is good for the environment and your wallet. Some electric vehicles come with built-in anti-theft features, which also lower insurance costs. Depending on who you choose are you insurance provider, you can save an average of 10% on insurance premiums. 

However, it’s essential to review certain EV-related factors that might affect how much you save, including: 

• Vehicle make and model
• Retail prices
• Average repair costs
• Potential battery damage

When choosing an EV to save on insurance premiums, consider a used vehicle, check out reviews on the model you’re eyeing, and equip your car with insurance-friendly features.