How to Get the Cheapest Car Insurance

How to Get the Cheapest Car Insurance

October 19, 2021


Have you ever felt like you might be overpaying for your insurance but were unsure how to check for real? In Ontario, car insurance rates are the highest of any other province. If your budget is tight, you might be looking for ways to get cheaper car insurance.

Here are 3 foolproof strategies you can use to ensure you are getting the best rates you can get as well as some ways you can get cheaper car insurance in Ontario.

Compare Between Quotes

Did you know insurance brokerages often represent 12-15 different companies? Using an insurance broker can save you a ton of time by not having to call each individual company for a quote. Many of these brokerages even offer very intuitive instant quote tools directly on their websites! You simply plug in what type of coverage you need, and the tool will shop for you! Because of the input from you, the tools will compare “apples to apples” coverage and instantly show you rate charts with the cost of each policy. These non-invasive tools can provide a ton of information without obligation from you. Be aware that, if a website tool is asking you to provide personal contact information prior to giving you the quotes, it is often a lead generation tool and you can expect a sales call shortly after!

“Telematics Programs” for Reducing Premiums

You have always been a great driver and your impeccable record clearly reflects that. Isn’t it time you were rewarded for this? Many companies will offer incentives for their customers to attach what is known as a “telematics device” to their car’s internal system, usually for 180 days. This device will measure your driving behaviours and provide feedback to the insurance company. Some of the data it will collect is how fast you take off at a green light, if you stand on the brakes to stop abruptly, what time of day you drive, etc.

Assuming this “report card” is favorable, you can be rewarded with good driving discounts as high as 25%! Now if you meet up in the industrial park on a Saturday night for the quarter mile or like to practice for your upcoming “stunt driver” audition, this device might not be for you!

Ask Your Broker the Right Questions

It could be that you have been simply renewing your policy year after year and are eligible for better rates you may not know of! Your broker has a lot of clients and perhaps honestly missed an opportunity to reach out to you with these offers. It could be worth the call to your broker to ask a couple of questions:

  • Do you represent a company that offers a telematics program?
  • I haven’t had a claim or infraction in years, do I qualify for a lower rate?
  • Is there an incentive here for me to bundle my auto with my home insurance?
  • Do you represent any new companies that might be a better fit for my needs?

No one likes to overpay for anything. Checking that you are getting the best rates possible only takes a few moments, and now you know where to start!

Reducing Your Rates

If you have determined that you are overpaying for your car insurance, there are additional strategies you can use to reduce your rates. These may include the following:

  • Bundling your different policies, i.e.: homeowner, boat, motorcycle, renters, etc. Some providers may offer big discounts for bundling various insurance services, from anywhere between 5% to up to 25% per policy. If you live with multiple people that need car insurance, this may also qualify you for a reduction.
  • Choose a higher deductible. The higher your deductible, the lower your rates will be. So long as you are comfortable with a larger out-of-pocket amount should there ever be an accident, you can elect to have a higher deductible, like $500 or $1,000. Depending on your insurance provider, you may even be allowed to go higher.
  • Make payments on time. This ensures that you won’t have your rates impacted or risk having your car insurance voided – which can make it difficult to find cheaper insurance later down the line. If you think you may not be able to make a payment on time, be sure to call before it is due rather than simply letting it slip between the cracks.
  • Loyalty can help. While it can be beneficial at times to switch providers if you are unhappy with the rates with your current one, sometimes it can pay off even more to stay with the same provider. For example, some companies may offer loyalty discounts when customers reach certain milestones. You can see if you qualify by calling in every few years or per renewal time.
  • Do a coverage review. Depending on your car’s age or where you live, or if you are using your car less than you did when you bought your policy, you can review your policy to see if you really need all the coverage you currently have. A broker can work with you to help determine what your needs really are.

For more ways to reduce your rates, discuss with Excalibur’s car insurance experts today. You can spare yourself from having to call various different insurance companies by applying for a quote with our Rate Reducer, which compares the best price between multiple insurance companies simultaneously.