Below are some tips on how to answer the questions posed by our car insurance calculator to get the most accurate estimate.
1. Make sure you know the names of the car’s make, model, and trim.
Make and model names can be found near the back bumper or in your owner’s manual.
Trim is usually designated by letters or numbers after the model name. Some common ones are DX, LS, or a series, like 300 or 500. This information is also usually displayed on the back of the car. It can also be found in the driver’s manual.
Body style refers to the type of car you have: coupe, sedan, hatchback, wagon, SUV or CUV.
2. Figure out how many kilometres you drive daily.
Many people don’t know how offhand the number of kilometres they drive each day. Natural Resources Canada assumes drivers in Canada log 20,000 kilometres annually when determining the fuel efficiency of new vehicles.
If you want a more precise estimate, a quick way to figure out your personal mileage is to calculate your daily commute using Google Maps, which will show you the distance between your home and your workplace. You only need to state the distance you drive one way. Based on your answer, our calculator will automatically tell you what your annual mileage is.
3. Be prepared to answer whether you want optional insurance coverage.
Two things you should know about our calculator:
If you’re buying a car that’s the current model year, we include comprehensive and collision coverages automatically.
For any car older than the current year, our calculator assumes that you only want to buy the mandatory minimum coverage required in your province.
However, you may actually need more coverage than the minimum. For example, you may want to increase your accident benefit to minimize the amount you need to pay out-of-pocket if you are ever injured in an accident.
By comparison, excluding comprehensive or collision car insurance while using our calculator will lower your monthly premium. However, these coverages may be a good idea, especially if you’re driving a valuable car that you cannot afford to repair or replace out of pocket.
Bonus savings tip: Car insurance companies award discounts to drivers who install snow tires during the winter. You can save up to 5% per year.
4. Review your accident history.
Our insurance calculator asks whether you’ve been involved in any at-fault accidents. Being at fault includes scenarios where you were found to be partially at fault. So, if your insurance company determined that you were, for example, 50% to blame for a car accident, you need to check ‘yes’ on the box that asks if you’ve had any at-fault accidents. There isn’t an expiration date on these, either. If you’ve ever been found at fault for an accident, you need to answer ‘yes.’ The insurance company will verify that you’ve answered these questions truthfully.
5. Review your traffic ticket history.
Traffic tickets refer to tickets for speeding, running red lights, careless driving, and more. Parking tickets don’t count as a traffic ticket. Insurance companies or brokers will call on historical reports to confirm this information.
6. Consider which insurance discounts you might qualify for.
There are many more discounts available to drivers than we can include in our form. Examples include seniors’ discounts, grade point average (GPA) discounts, alumni discounts, trade discounts, and more. Talk to your agent or broker about these or any other discounts you may qualify for.
If you plan on sticking with your current insurance company for your home or tenants’ coverage, don’t check this box. By checking this box, your quotes will be reduced by about 10-15%, but it isn’t final. Your insurance company will have to ask you questions about your home and determine the likelihood of you needing to file a home insurance claim.
If you’re not yet a member of CAA or Costco but are thinking about joining now that you know about the discount, check the box anyway. To qualify for this discount, just let your broker or agent know that you have not yet applied for a CAA or Costco membership but will join before the policy is activated.