Did you know that in Ontario several factors impact the price of your car insurance premium besides your driving record?
We’ve highlighted some of the factors that influence the price of your car insurance premium.
#1 Where You Live
Your address matters when it comes to how much you’ll pay for insurance. For example, if you live in an area where car break-ins and theft occur regularly, insurance companies assume that the same thing will happen to you and will charge you a higher rate to insure your vehicle. Reports on loss ratios that occur in each postal code help insurance companies determine what rates they are going to charge.
#2 Type of Car
In Ontario, the type of car you drive has a significant impact on your insurance rate. If you want to know how much you’ll pay for the car of your dreams, call us and we would be happy to give you a price so you’ll know if it’s something you can afford.
#3 Your Age
The longer you are licenced to drive, the lower your premium will be. Generally, when drivers turn 25 they experience a drop in their insurance premium, however, insurance is individually rated based on your driving record. For example, if two 18-year-old males have the same driving history but one took a driver’s training course, he could pay less than the male without the training.
There are other factors that affect the price of your insurance and your driving record is a major one. If you have at fault accidents or major tickets on your record, you are considered a high-risk driver and you can expect to pay higher premiums.
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