Does speeding affect your car insurance rates?

When you’re handed a speeding ticket by a police officer, your eye may go directly to the cost of the fine. But in fact, the fine is just one part of the costs to you of speeding. Beyond the dangers and the demerit points, there’s also the cost to your auto insurance rates to consider.

Do speeding tickets affect your car insurance rates?

if your ticket is for 15 to 30 kilometres over the speed limit, likely one ticket won’t count against you if your record is otherwise clean
if you have more than one ticket though, or if you were stunt racing, which is defined as driving more than 50 kilometres over the limit, you could start paying higher premiums
your insurer may classify you as a high-risk driver, or could even refuse to continue insuring you
What about demerit points for speeding?

​the number of demerit points is based on how many kilometres you were over the speed limit:

            -       16 to 29 kilometers over = 3 points

            -       30 to 49 kilometres over =  4 points

            -       50 kilometres over or more = 6 points

even if you didn't receive demerit points for speeding, it can affect your auto insurance rates as companies count on convictions, not points
Street racing, stunt driving and speeding

there are some hefty driving penalties for being 50 kilometres per hour over the limit:

            -       your licence will immediately be suspended for 7 days, and your vehicle impounded for 7 days

            -       if you’re convicted, you’ll face a $2,000 to $10,000 fine, 6 demerit points, up to 6 months in prison and up to a 2-year licence suspension for a first offence

            -       for a second offence within 10 years of the first, add in a driver’s licence suspension of up to 10 years

Driving Speed Safety
while the speed limit may be anywhere from 40 to 100 kilometres per hour, remember that this is a maximum speed limit

there are many situations where you should not be driving as fast as the speed limit permits:

-       when passing emergency vehicles stopped on the shoulder or in another lane

-       in bad weather

-       when in a construction zone

fines may be higher for not reducing your speed around emergency or construction workers and their vehicles, as well as in community or school safety zones

-       what’s a community safety zone?

-          a stretch of road where public safety is of particular concern – around schools, playgrounds, etc.

-          fines may even be doubled in these zones

10 ways to lower your car insurance rates

Who doesn’t want cheaper car insurance? Whether you’re a new or experienced driver, looking for a new car or driving an old clunker, here are 10 ways you can save on your auto insurance rates.

1.    Increase your deductible

the higher your deductible (the share of a claim you pay), the lower your premiums

2.    Eliminate collision and/or comprehensive insurance coverage

if your car is older, consider eliminating the collision and/or the comprehensive coverage

if you don’t have collision insurance and you have an accident, you’re responsible for any costs to repair or replace your car, unless someone else is as at fault

if you don’t have comprehensive insurance coverage you’ll have to pay for the repairs if your car is damaged by hail, has a cracked windshield, etc.

3.    Buy a car with a lower-cost insurance rating

insurance companies keep track of which cars are most often stolen, and most frequently in accidents, and those cars can cost more to insure

when shopping for a new or used car, check out Insurance Bureau of Canada’s report "How Cars Measure Up".

4.    Build a clean driving record

a consistent accident and conviction-free driving record will help your premiums too

even if you currently have a bad driving record, consider today the first day of building a clean driving record

5.    Reduce how much you drive

Insurance companies charge higher premiums to drivers who drive further in a year

For longer trips, buying an air, train or bus ticket may be cheaper in the long run than the extra mileage

Walking when possible is good for the fuel budget, the waistline, and the environment, and it keeps your annual mileage lower

6.    Remove new or high-risk drivers from your policy

if you have a new driver or a high-risk driver on your policy, it may be better to have them insured separately

if it’s practical, new or high-risk drivers should drive and be insured on the older or less valuable household car

7.    Make sure your driving record is up to date

make sure you let your insurance broker know when you have graduated from a G1 to a G2 license, or from a G2 to a G under Ontario’s graduated licensing system

double-check the Vehicle Insurance Number (VIN) that appears on your insurance records versus the VIN in your car

if the numbers don’t match, you could be paying insurance on a more expensive make or model

8.    Ask your insurance broker about discounts

if you’re over age 65, insure an occasional driver who is a full-time student far from home, have an approved anti-theft system, or drive a hybrid or electric vehicle, you could qualify for insurance discounts

also ask about a discount for insuring more than one car, or your car(s) and home with the same company

9.    Invest in good driver training

professional driving courses can mean lower insurance rates; ask your broker before you choose your driver training company, or if you have just graduated from driver training

10.  Pay bills, including your premiums, on time

your credit score and any lapses in coverage count, so make sure you pay all of your bills on time

 

Why consider optional car insurance coverage?

The phone rings and it’s your auto insurance company, calling to tell you that your car insurance policy is ready for renewal. It’s time to take a look to see if your existing car insurance coverage meets your current needs.

You stifle a groan, knowing you should sit down and re-assess your coverage, but you’re tempted to just go with the status quo and hope for the best.

Maybe that worked out fine for you in the past, but car insurance in Ontario has changed dramatically since 2010, when Ontario auto insurance reforms took effect.

Ontario auto insurance reforms affect everybody’s auto insurance coverage.

In Ontario, the Financial Services Commission of Ontario regulates car insurance rates and we have a Standard Automobile Insurance Policy, regulating what’s in every policy, and what is optional.

In September 2010 the Ontario government made changes to the accident benefit coverage section contained within the Standard Automobile Insurance Policy in the province of Ontario.

The government implemented auto insurance reform in the hopes of stabilizing the ongoing challenge of auto insurance in Ontario. Some of the measures in the legislation are aimed at reducing auto insurance fraud. And, we know that car insurance fraud pushes up all our premiums.

What is car accident benefit coverage?

Auto accident benefit coverage is what covers the policyholder, spouse/partner, dependents and any other occupants should they be hurt in an automobile accident. So it’s important that you take a very careful look at this part of your car insurance coverage, if you haven’t already.

54% of Ontarians involved in automobile accidents suffer from some sort of injury.

Since September 2010, injuries that occur as a result of a car accident fall into three basic categories, Catastrophic, Serious or Minor. Each of these car accident injury categories will determine the level of benefits that will be available to a claimant through their car insurance coverage.

Catastrophic injuries

The testing process required to be deemed `Catastrophically' injured is extremely stringent, and as a result, fewer than 10% of accident victims will qualify for higher-level accident benefits provided under this injury category.

Serious injuries

Instead, many automobile accident victims will be deemed to have sustained `Serious' injuries, which often involve broken bones or severe strains. As such, the injuries usually disrupt the injured person's quality of life for a prolonged period of time.

Minor injuries

Many auto accident injuries received in an auto accident could also be considered 'Minor'. If you experience a minor injury due to an auto accident, your medical and rehabilitation accident benefits are limited to $3,500 regardless of the coverage level you have selected.

The table below shows how the type of injury affects your accident benefit coverage, and what optional car insurance coverage offers you in additional benefits.

Three things you need to know about Ontario car insurance

Did you know that by law, in Ontario, if you own a car, you must have auto insurance?  Because you have to have it, insurance experts say a little knowledge goes a long way in choosing the best car insurance coverage for you.

“Auto insurance can seem confusing, but it doesn’t have to be,” says Robert Manson, Sr. Vice President of carinsurance.ca. “Understanding the basics of how auto insurance works helps when choosing the right car insurance policy for you. In Ontario, every auto policy comes with certain coverages mandated by law and then there are additional coverage options people can consider purchasing for their added protection and peace of mind.”

There are three important things to know about Ontario car insurance.

1. Standard auto insurance coverage includes:

Third Party Liability– provides coverage for injuries to another person or their property if you are at fault in an accident, up to the limit of your car insurance coverage.

Direct Compensation-Property Damage–covers damage to your own vehicle and/or property within your vehicle caused by a car accident where you are not at fault.

Accident Benefits – provides certain benefits to you or others injured or killed in an automobile accident.

Uninsured Auto Coverage – covers you in the event of an accident with an uninsured driver or unidentified vehicle.

2. For added protection, you can include:

Collision insurance– covers damage to your vehicle in an auto accident.

Comprehensive insurance–protects your car against loss or damage beyond collision.

All Perils or Specified Perils – All Perils covers both Collision and Comprehensive, while Specified Perils only protects against specific risks.

Under new Ontario law, Statutory Accident Benefits – such as medical, rehabilitation and attendant care, death and funeral benefits, dependent care, and income replacement can be enhanced.

3. In all cases, loss or damage coverage is subject to limits, deductibles and exclusions.

As Ontario has no-fault insurance, any claims on your policy are made directly with your insurance company, no matter who is at fault.

No-fault insurance does NOT mean no party is found to be more responsible for an accident. When an accident occurs, the parties’ insurance companies determine what percentage of ‘fault’ each party bears in an accident using fault determination rules set out in the province’s Insurance Act. 

Under new law, if you are found to be less than 25% at fault, the accident cannot affect your insurance premium.

This article is for information purposes only.  In the event of conflict between this article and your policy, terms of your policy prevail.

America| Insurance - World Insurance

Insurance is the equitable transfer of the risk of a loss, from one entity to another in exchange for payment. It is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss.

An insurer, is a company selling the insurance; the insured, or policyholder, is the person or entity buying the insurance policy. The amount of money to be charged for a certain amount of insurance coverage is called the premium. Risk management, the practice of appraising and controlling risk, has evolved as a discrete field of study and practice.

The transaction involves the insured assuming a guaranteed and known relatively small loss in the form of payment to the insurer in exchange for the insurer's promise to compensate (indemnify) the insured in the case of a financial (personal) loss. The insured receives a contract, called the insurance policy, which details the conditions and circumstances under which the insured will be financially compensated.

Cashing Your Hurricane Insurance Settlement Check

Now, you are wondering if that sum you received was enough to pay for repairs to your damaged real (Structure) property or lost personal items (Contents).

First, you need to understand whether or not the check(s) you received from yourInsurance Company, was that their "final" offer, or was it just an "advance" on your total property insurance settlement. Very often, that is the case. Often, they hold back some amount of money which won't be released until repairs are complete. This hold back amount is usually referred to as depreciation.

However, if your insurance company says your payment was the "final" property insurance payment, then you should definitely have the immediate concern that it might not be enough.

And, you ask yourself "since I accepted and cashed the settlement check, is it all over?" Be sure you look at the check for any contractual language, on the front and the back. It would be rare to see anything like that but, before you cash it, check with your attorney if you see any language like that.

Well, if you are offered a "final" insurance settlement check(s), and you have cashed it, that is usually just fine. It is still no problem to reopen you claim, and to file for legitimate additional insurance money for your property losses. Most policies require your original claim to be filed within one year from the date of disaster. Check with your State's department of insurance.

Health Insurance For Tourists

Your current health insurance plan may leave you with expensive medical bills for injuries and illnesses that occur while traveling abroad due to network restrictions. If your plan doesn't cover incidents that occur internationally, then you'll want to be sure to purchase tourist insurance before departing.

With insurance companies adding more restrictions to where and who policyholders can get coverage from, there's a good chance that your insurance plan doesn't cover you during international trips. In that case, you'll still be able to receive treatment overseas, but not without some extremely expensive bills.

The best solution to avoid that scenario is to purchase health insurance for tourists. Backed by well-trusted companies like Sirius, tourist insurance plans give you the peace of mind that if an unforeseen health problem occurs during your travel, you'll be fully covered.

Since everyone has different needs while traveling, your health insurance for tourist plan can be customized with supplemental coverage items like sports coverage and lost luggage location assistance. These supplemental benefits offer calming reassurance that if you're injured while participating in an athletic activity, you'll receive affordable healthcare, or that if your luggage is lost (or you encounter other travel difficulties) you'll have access to trained professionals who can help you overcome international language and logistical barriers.