Unfortunately, many people don’t think about their auto insurance before they have an accident. And, particularly if the policy was bought through a price-comparison series of calls, you may find that the coverage was not adequate. This is why a local agent like Graham can make such a big difference. We have the knowledge and experience to read the policy, compare it to others with the same levels of protection and make a recommendation that gives you the coverage you need at the best possible price.
We make sure you are getting the best possible coverage at the most reasonable cost. That means you won’t have to pay out of pocket for repairs or expenses, but it also means making sure your assets and income are protected in case you’re at fault and there’s a lawsuit.
That means, we’ll show you all of your protection options, recommend the right limits and make sure you receive every discount you’re entitled to (such as cars with daytime running lights; better yet, bundling other types of insurance with the same carrier).
What is a car insurance quote?A car insurance quote estimates your premium for a car insurance policy. Insurance companies calculate the quote using the information you provide, such as your age, car you drive, driving history, and postal code. Every insurer uses a unique formula to calculate your car insurance quote, so even if you provide the same information to different insurance companies, no two quotes will look the same.
After applying for a policy, an insurance company’s next step is to figure out how much risk you pose to them — what is the likelihood of you getting into a car accident, and how expensive will the damage be?
Insurance companies use roughly the same methodology to assess risk. Here are the main things that influence your rate:
1 Your forward sortation area (the first three letters of your postal code)
2 How long you’ve had your licence
3 The type of car you’re looking to insure
4 Your insurance history
There are more ways than ever to get car insurance in Canada. Here’s an overview of the four primary providers of car insurance quotes in today’s marketplace.
- Insurance brokers. Brokers sell insurance, but they’re not tied to an insurance company. Brokers are self-employed professionals who can show you quotes from multiple companies; it’s the old-school way to shop the market. One pro of using a broker is that they still work in person. A downside to doing things the old-school way is that brokers charge fees for their services, which could diminish any savings you may find by working with them. They earn commission from insurance companies; however, the law prevents brokers from recommending one insurance company over another if it’s not in your best interest.
- Insurance agents. An agent is an employee of an insurance company. They can only show you the products from the company that employs them. The upside is that agents always have the most up-to-date information on the company’s latest products and discounts. Agents also work on commission, but unlike brokers who must work with insurance companies to complete a policy purchase, insurance agents have the power to complete the sale on their own.
- Direct writers. A direct writer is a type of insurance company. They only sell in-house insurance products. The experience of buying insurance from a direct writer is more hands-off. Direct writers exist as online entities that are supported by call centres. Since they have less staff and no brick-and-mortar locations open to the public, insurance from a direct writer is often cheaper. Like an insurance agent, a direct writer is limited to selling products from one provider. This means they’re restricted from helping you shop the whole market.
- Insurance comparison site. A insurance comparison website is a term that can refer to a site like RATESDOTCA, also known as an insurance aggregator site. Comparison sites act as a one-stop-shop for insurance seekers. They gather rates from different sources — brokerages, insurance companies, direct writers — and organize them in one place, displaying the lowest rates first. The service is free to consumers, while insurance providers pay aggregation sites after getting a new client.