Whether you’re buying a new car, renewing your insurance policy or have damaged your vehicle, there are many reasons why you might be shopping around for car insurance.
Choosing the right car insurance is a critical decision.It’s important to understand all the various components that make up your coverage. Why? To compare what different brokers are offering and identify the coverage best suited to your needs.
Here, we look at some of the main factors that can increase automobile insurance premiums. Being aware of these aspects means you’ll be armed with the information you need to get a car insurance quote matched to your needs and budget.
Should I take damage insurance?
As most people know, automobile insurance is mandatory in Quebec. Two types of coverage options are available:
- Civil liability insurance is mandatory. If you cause damage to another party in a road accident that took place in Quebec, you will be covered for a given amount.
- Damage insurance protects your vehicle. There are two types of coverage options you can choose:
Should I choose $1 million or $2 million civil liability insurance?
By law, you are required to be covered for a minimum of $50,000 of civil liability insurance. It is possible to increase your coverage in order to increase your protection. If you often travel outside of the province, it is recommended to increase your coverage to $2 million.
Should I take a $500 or $1,000 deductible?
The deductible is the contribution that you must pay to the insurance company before they pay any damage claims. The higher the deductible, the lower the premium required by the broker. The deductible amount is determined when signing your car insurance policy. Note that the calculation of the deductible varies by broker.
Deductibles help maintain steady rates and prevent insured parties from abusing their insurance. It is a deterrent meant to encourage drivers to be more careful on the road.
There is sometimes confusion as to what goods are protected in the event of a car break-in. Some car owners are unaware that their home insurance covers damage to or loss of property, whereas auto insurance will cover the actual vehicle parts. So, if your GPS were to be stolen from your vehicle, you would file a claim through your home insurance.
Note that many brokers will make you pay two deductibles. However, other companies (such as La Capitale) allow you to pay the highest deductible, both for home insurance and car insurance.
Should I take all the insurance endorsements offered by the broker?
An insurance endorsement is extra coverage that you can add to your insurance policy. Endorsements are evaluated based on the type of vehicle you currently use or own.
If you are considering extra coverage, here are a couple of questions to ask yourself:
Choosing the right car insurance is a critical decision.It’s important to understand all the various components that make up your coverage. Why? To compare what different brokers are offering and identify the coverage best suited to your needs.
Here, we look at some of the main factors that can increase automobile insurance premiums. Being aware of these aspects means you’ll be armed with the information you need to get a car insurance quote matched to your needs and budget.
Should I take damage insurance?
As most people know, automobile insurance is mandatory in Quebec. Two types of coverage options are available:
- Civil liability insurance is mandatory. If you cause damage to another party in a road accident that took place in Quebec, you will be covered for a given amount.
- Damage insurance protects your vehicle. There are two types of coverage options you can choose:
- Collision or upset coverage protects your vehicle if it is damaged in an accident resulting from an impact with another vehicle or object, when you are at fault.
- Comprehensive coverage covers damages to your vehicle caused by fire, theft, vandalism, glass breakage, if no other vehicles were involved, or if you were the victim of a hit and run.
Should I choose $1 million or $2 million civil liability insurance?
By law, you are required to be covered for a minimum of $50,000 of civil liability insurance. It is possible to increase your coverage in order to increase your protection. If you often travel outside of the province, it is recommended to increase your coverage to $2 million.
Should I take a $500 or $1,000 deductible?
The deductible is the contribution that you must pay to the insurance company before they pay any damage claims. The higher the deductible, the lower the premium required by the broker. The deductible amount is determined when signing your car insurance policy. Note that the calculation of the deductible varies by broker.
Deductibles help maintain steady rates and prevent insured parties from abusing their insurance. It is a deterrent meant to encourage drivers to be more careful on the road.
There is sometimes confusion as to what goods are protected in the event of a car break-in. Some car owners are unaware that their home insurance covers damage to or loss of property, whereas auto insurance will cover the actual vehicle parts. So, if your GPS were to be stolen from your vehicle, you would file a claim through your home insurance.
Note that many brokers will make you pay two deductibles. However, other companies (such as La Capitale) allow you to pay the highest deductible, both for home insurance and car insurance.
Should I take all the insurance endorsements offered by the broker?
An insurance endorsement is extra coverage that you can add to your insurance policy. Endorsements are evaluated based on the type of vehicle you currently use or own.
If you are considering extra coverage, here are a couple of questions to ask yourself:
- Do I have another mode of transportation if my vehicle is seriously damaged?
- Will other drivers be using my vehicle?