When it comes to auto insurance, small mistakes and oversights can cost you big money both on your premiums and on claims that cannot be honoured due to insufficient or improper coverage. Many drivers make errors when selecting and managing their vehicle insurance, and it’s important to be in the know so you don’t make these mistakes.
Insurance Brokers Calgary: Mistakes Drivers Make when Selecting Coverage
When you’re shopping around for coverage, be sure to do your homework. Here are some tips to help make sure you get the right policy at the right price:
- Shop around. Not all insurance companies and policies are equal, even if they seem to be on the surface. Generally speaking, it’s best to purchase vehicle insurance through well-established companies with a proven track record for quality customer service. One of the best ways to shop around is to get your insurance through a broker, rather than dealing with the insurers directly. The broker will essentially shop around on your behalf, assessing the pros and cons of your options at various price points.
- Don’t assess a policy based on price alone. It can be tempting to purchase the minimum possible coverage to save some money on your premiums, but think of where this could leave you in a worst-case scenario. In almost every case, it’s better to pay a little extra for more coverage than it is to save a few bucks on bare-bones coverage that leaves you exposed to major risks.
- Research rates before you buy a new car. Insurance rates vary significantly from one make, model and year to the next. Be sure to research insurance rates for the vehicles you’re considering before you buy, rather than after. Otherwise, you may find yourself stuck with a car you can’t afford to insure.
- Anticipate the future. Are you going to be adding drivers to your policy in the future? Will you be changing jobs or moving? These factors influence insurance rates, so be sure to think ahead.
- Carefully consider deductibles. Raising your deductible is the easiest way to reduce your monthly premiums, but exercise caution and carefully consider real-world claims scenarios. Can you honestly afford to cover the deductible you’ve selected out of pocket? If not, it’s a better idea to pay a little more every month to get a lower or $0 deductible.
- Disclose your driving history honestly. It can be tempting to fudge the truth or tell little white lies when shopping around for quotes, but this is a very risky proposition. If you ever need to file a claim and the insurance company discovers you weren’t honest with them when you purchased your policy, your coverage could effectively become null and void and you may be left to cover expenses out of your own pocket. You may also have a hard time getting insurance in the future if your current insurer cancels your policy due to dishonesty.
Also, you should be sure to carefully review your policy when it comes up for renewal. This is something very few drivers do, and if your situation has changed since you initially purchased the policy, you may need to add additional forms of coverage or remove protections you no longer need.
You should also check to make sure your driving record is accurate, as traffic tickets or at-fault accidents that are no longer applied to your record may sometimes still appear on your policy. There may also be insurance discounts that you qualify for, yet are not reflected on your current coverage. For example, you may be entitled to significant savings if you bundle your home and auto insurance through the same carrier.
Insurance Brokers Calgary: Driving Habits and Incidents to Avoid to Keep Rates Low
Accidents, speeding tickets and related incidents will all affect your auto insurance rates. Thus, it’s also essential to be a safe, responsible driver to ensure your premiums don’t rise as the result of negligent driving.
Be sure to avoid:
- Breaking rules of the road
- Distracted driving
- Drinking and driving
- Aggressive driving
- Driving too fast for weather conditions
Going accident-free and ticket-free is the best way to guarantee you’ll continue to enjoy the lowest possible rates.
Insurance Brokers Calgary: The Lane’s Insurance Edge
Lane’s Insurance brokers of Calgary is a leading provider of affordable, comprehensive vehicle insurance for Alberta drivers. We offer knowledgeable and reliable guidance and advice, value-added service and complete resources for all clients and prospective clients. To learn more, please contact us at Lane’s Insurance.