At this very moment, most people in Edmonton are paying more money than they have should. If it's been a few years since the last time you took a close look at your insurance policy, there's a good chance that some of the tips below may help you save money on quality auto insurance in Alberta.
Top 8 Ways to Save Money on Edmonton Car Insurance
1. Avoid tickets and claims by practicing safe driving
This sounds obvious, but in Alberta, your driving record when it comes to at-fault claims and traffic violations is generally the most important factor when determining auto insurance discounts. For liability coverage, the best drivers that have 10+ years of clean driving with no accidents may pay as little as $400-$500 per year. On the other hand, a younger driver with 2-3 claims or a few tickets within the span of a couple of years could face very high rates - sometimes as high as $6000-$9000 per year.
2. Bundle your home and auto insurance together
If you just purchased a home or condo, or are thinking about getting renter's insurance, make sure to check with your broker to see if you qualify for a multi-policy or combined policy discount. Most insurance companies will give additional discounts when you insure your car and home, condo or tenant insurance together. In some cases, both your car insurance and home insurance may be significantly cheaper.
3. Make sure your vehicle is being rated correctly
Did you know that different areas in Edmonton have different rates for insurance coverage against accidents and theft? Or that your driving distance to work can impact your insurance rates? If something in your life has changed the way you use your vehicle, let your broker know - it is part of your insurance contract that all changes must be reported to your insurance agent. This will also ensure that you receive all the discounts that you are entitled to!
4. Carefully choose who you allow to drive your vehicle
When allowing others to borrow your vehicle, you are also allowing them to borrow your insurance. If the borrower has an at-fault accident in your vehicle, there will likely be negative repercussions on your insurance payments. Check with your broker to see whether you should share your vehicle.
5. Review your coverages annually
Do you still need collision coverage on that 14 year old beater? Do you really need loss of use coverage on all three vehicles? Be sure to review your insurance coverage on an annual basis to ensure that you are buying the right level of protection for your needs.
6. Look at higher deductibles
In Edmonton, collision coverage can be quite expensive. A higher deductible may save you money while still keeping you protected for a large loss. Think about the age and condition of your vehicles and check with your broker to see if it is worth increasing your deductibles.
7. Check insurance rates prior to purchasing a vehicle
Did you know that, despite costing significantly less money, a base model 2013 Ford Mustang is more expensive for collision coverage than a 2013 BMW X3? Car insurance rates are not solely based on the value of the vehicle - check with your insurance broker prior to purchasing a vehicle to see rate estimates.
8. Avoid small claims
Even if you have an accident waiver on your policy, be wary when filing for small claims. Most Alberta insurance companies treat at-fault claims the same regardless of the actual amount paid out; this means that filing a claim for an $800 fender bender has the same impact on your insurance as filing for a $50,000 vehicle write-off. It often takes at least 6 years for a claim to no longer affect you, even if you have a completely clean driving record otherwise. If you're unsure whether you should file a claim, call your agent to see if they can estimate the impact of a claim on your insurance rates.
Are you looking for a second opinion on your policy or further advice regarding how to save money on your car insurance?