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What Are the Key Considerations When You Buy Auto Insurance?

auto insurance, Ontario

Expert Insights from Your Trusted Insurance Broker in Ontario

Ontario law mandates that every driver has auto insurance for their vehicle. The fines for driving without valid auto insurance can range from $5,000 to as much as $50,000 and lead to other measures such as a suspended licence and the impounding of your vehicle. Furthermore, if an insurance company sees that you have been convicted of driving without insurance, they will likely categorize you as a “high-risk” driver, which will lead to much higher premiums.

The process can be confusing and challenging, particularly if you’ve never purchased auto insurance before. But, there are no excuses for avoiding auto insurance and getting covered does not have to be difficult. Here are some helpful insights to make it easier for you to navigate the world of auto insurance and understand what factors are important to consider:

Is it better to buy auto insurance through a broker?

There are three main sources to buy auto insurance from:

  • An insurance broker: Someone who works with multiple insurance companies
  • An insurance agent: Someone representing a single insurance company
  • A direct writer: Someone directly employed by an insurance company

In order to find the best insurance rate for your vehicle, we always recommend consulting with an insurance broker. They will be able to compare different rates from competing companies and operate as a liaison between them and you in order to find the best price for your needs. Importantly, brokers represent you, the buyer, rather than the insurance company, giving them a vested interest in saving you money.

What should I think about when choosing a plan?

Trust your broker to advise you

It is crucial when picking an insurance plan that you work with a licensed broker whom you trust to represent your best interests. Look for brokers with a strong track record for customer satisfaction and be sure that you meet with them in person to gauge whether you feel comfortable trusting their judgement.

Compare rates

Insurance rates are far from standardized and can range significantly from company to company. A good broker should always give you a few different insurance quotes to compare. Ontario has the highest auto insurance premiums in Canada, with the average rate being $1,920 a year. Especially for people operating on a tight budget, being savvy with your choice of plan can save you hundreds of dollars annually.

Check your coverage and claims

Cheap insurance is not always the best insurance. Though you may save money on a plan, this will mean very little if the coverage falls short should you ever need to make a claim for damage to your vehicle. Before making a choice, look at your deductibles, optional coverage, and limits. It is also worth reading over the accident forgiveness policies, which can sometimes lead to raised premiums and refusals to renew your policy.

Frequently Asked Questions about Auto Insurance

What do I need to get an insurance quote?

For you to receive an accurate quote on your auto insurance, you will need information about yourself, your driving record, your vehicle, your current insurance company (only if you are switching plans) and information about any other drivers who may operate your vehicle.

What is in my insurance plan?

Typically, your auto insurance plan will consist of these types of coverage:

  • Third-party liability coverage
  • Statutory Accident Benefits Coverage
  • Direct Compensation – Property Damage (DC-PD) Coverage
  • Uninsured Automobile Coverage

Get the Best Auto Insurance Policy with Our Insurance Brokers in Ontario

For over a century, Orr & Associates has been trusted by our clients to provide them with the best auto insurance coverage and benefits in the province. Over our history, we have cultivated relationships with the top insurance companies so that we can offer people a diverse selection of plans all under one roof. Our team of trusted brokers take pride in the relationships we build with clients over the years, helping them to ensure they get the best coverage and rates, as well as being there to answer questions or handle issues should the unexpected occur.

For more information on our auto insurance services, call us toll-free at 1 (866) 521 5926. You can also get in touch with us online to request a free quote for your vehicle.