At this very moment, most people in Edmonton are paying more money than they have to on car insurance. 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 may sound obvious, but in Alberta, your driving record when it comes to at-fault claims and traffic violations is generally the most important factor in terms of auto insurance discounts. When it comes to liability coverage, the best drivers that have 10+ years of clean driving with no accidents may pay as little as $400-$500 a year. On the other hand, a younger driver with 2-3 claims or a few tickets within the span 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 an 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, make sure you let your broker know. Not only will this ensure that you receive all the discounts you are entitled to, but it is actually part of your insurance contract that all changes must be reported to your insurance agent.
4. Choose carefully when it comes to letting others drive your vehicle
When you lend out your vehicle, you are also lending out your insurance. Be careful about others driving your vehicle - if they have an at-fault accident, your insurance payments will likely be affected. If you're not sure whether you can lend your vehicle out, check with your broker!
5. Review your coverages annually
Do you still need collision coverage on that 14 year old beater? Do you need loss of use coverage on all three vehicles? Be sure to review your insurance coverage every year to make sure 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 talk with your broker to see if it may be worth increasing your deductibles.
7. Before buying a vehicle, check the insurance rates
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 just based on the value of the vehicle - check with your insurance broker before buying a car to see what the rates will be.
8. Avoid small claims
Even if you have an accident waiver on your policy, be careful when it comes to filing 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 a $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 not sure whether you should file a claim, call your agent to see if they can estimate the impact of a claim on your insurance rates.
For a second opinion on your policy or more good advice about how to save money on your car insurance, contact the ARC Insurance Brokers Edmonton office today or call us at 780-809-8486 or toll-free at 1-888-633-9898.