How to Find the Cheapest Car Insurance
The Ultimate Guide!
Car insurance is a necessary expense for all Canadian drivers, but it doesn't have to break the bank. Finding the cheapest car insurance can save you hundreds or even thousands of dollars in the long run.
Below, we’re sharing 6 practical tips to help you find affordable car insurance, so you can enjoy peace of mind without overspending.
1. Shop Around and Compare Quotes
The best way to find cheap car insurance is to shop around and compare quotes from different insurance providers. Rates can vary significantly between companies, even for the same level of coverage. Use online tools to get multiple quotes quickly, and don't hesitate to ask for discounts or special offers. Our favourite tool is RATESDOTCA!
2. Consider Bundling Insurance Policies
If you have other types of insurance, like home or renter's insurance, consider bundling them with your car insurance. Many insurers offer multi-policy discounts, which can significantly reduce your premiums. It's worth checking with your current provider and comparing bundled rates with other companies.
3. Raise Your Deductible
Your deductible is the amount you pay out of pocket before your insurance kicks in. Raising your deductible can lower your premium, but be sure you're comfortable with the higher out-of-pocket cost in case of an accident. If you're a safe driver and rarely make claims, this could be an effective way to save on car insurance.
4. Maintain a Good Driving Record
Insurance companies reward safe drivers with lower rates. Avoiding accidents, speeding tickets, and other traffic violations can help you maintain a clean driving record and qualify for better rates. Additionally, some insurers offer safe-driving discounts or usage-based insurance programs that monitor your driving habits and adjust rates accordingly.
5. Look for Discounts
Insurance companies offer various discounts that can reduce your premium. Common discounts include student or alumni discounts (I used Wilfrid Laurier University’s alumni discount for my insurance on my last car), anti-theft device discounts, low-mileage discounts, and discounts for installing winter tires. Ask your insurance provider about available discounts, and take advantage of as many as possible.
6. Choose the Right Vehicle
The type of car you drive can impact your insurance rates. Generally, older cars and vehicles with high safety ratings tend to have lower premiums (there’s a reason our parents LOVE the Toyota Carola!). Before purchasing a new car, research its insurance costs and choose a vehicle that aligns with your budget and safety requirements.
Final Thoughts:
Remember to shop around, compare quotes, and take advantage of discounts to get the best rates. And if you're looking for a quick and easy way to compare car insurance quotes, check out the RATESDOTCA comparison tool, a free online service that can help you find the best deals on car insurance in Canada. Give it a try, and start saving today!
Good luck, and drive safe!
About The Author
Amanda and Siobhan found a shared passion for personal finance shortly after completing their MBAs in 2018. Amanda excelled as a Director of Product in the tech industry, while Siobhan established herself as a leader in e-commerce before transitioning to academia as a Professor.
In 2020, they joined forces to found Hiver Academy, a platform born from their own experiences and triumphs in conquering student loans and building wealth. Realizing that financial success is within reach once the complexities are simplified, their mission now revolves around empowering individuals to achieve financial freedom.
With a wealth of knowledge and a commitment to demystifying money and investing, Amanda and Siobhan are dedicated to helping others navigate the path to success.
