Car insurance is a necessary precondition for driving a car in Ontario. However, many drivers might not have a perfect driving record. In such cases getting auto insurance at a reasonable rate can be troublesome.
If you have a poor driving record, you already know the challenges of finding affordable auto insurance. However, high-risk auto insurance or non-standard auto insurance is the type of car insurance available to high-risk drivers.
When it comes to insurance for high-risk drivers Ontario has several factors, including driving tickets, age, and other driving-related habits. However, everyone deserves and legally requires auto insurance to drive a car in Ontario. Therefore, with the right insurance broker, you can find affordable car insurance in the province. Visit Surex to get the best quotes for insurance coverage for high-risk drivers.
What factors affect insurance for high-risk drivers in Ontario?
In regards to car insurance for high-risk drivers, Ontario providers use a number of factors to determine a policyholder’s risk level. Some factors include the following:
History of causing an accident
It’s no surprise that accidents may happen even if you are driving with utmost caution. How many auto accidents have you been involved in? And among them, how many accidents were you at-fault? Auto insurance companies determine whether you are a high-risk driver based on the number of at-fault accidents.
In Ontario, at-fault accidents remain in your history for six years, during which you will be charged a higher premium given your high-risk categorization.
Convicted of driving without a valid license
Depending on the province, you can be charged anywhere from $100 to $1000 as a penalty for driving without a valid license. Moreover, you can be pushed to the high-risk category if you have a history of such convictions.
Once you have obtained a valid license, some insurance companies will cover you. However, the premiums will be much higher as you will still be considered a high-risk driver.
Getting one or two speeding tickets might not affect your insurance premium. However, if you have multiple speeding tickets on your driving record, you might end up in the high-risk driving category.
Many provinces offer the option of defensive driving education to remove speeding violations from driving records.
History of license suspensions
There can be several reasons for your license getting suspended. Driving under alcohol or drug influence, too many convictions for breaking the traffic laws, criminal offenses, and non-payment of fines are the major reasons in Ontario for license suspension.
After the suspension is lifted, you get back your legal rights to drive. However, you are pushed to the high-risk driving category, making insurance expensive.
Insurance premium payment history
When you deliberately miss your insurance premium payments for financial or other reasons, the auto insurance company may cancel your active insurance policy.
And without an insurance policy, you are not legally eligible to drive any vehicle on the road. Non-payments can land you in the high-risk driver category and lead to an increase in a premium amount from the same provider or a different provider.
Some insurance providers evaluate your credit history to categorize you as a high-risk or low-risk candidate. If you have a poor credit history, you might be considered a high-risk candidate, increasing your premiums.
Generally, many insurance providers categorize newly licensed drivers or teenage drivers as high risk. Senior citizens are considered high-risk drivers despite a clean driving record.
Statistics collected by insurance companies show that drivers aged above 70 years or below 25 years have the highest probability of claiming insurance, regardless of their driving habits.
If you fall in the given age bracket, you might be tagged as a high-risk driver.
How to get affordable insurance in the high-risk category?
Getting affordable auto insurance for high-risk drivers can be a challenge. However, we have curated five ways to help you get affordable insurance even if you are in the high-risk category.
Maintaining a clean driving record
The easiest and the simplest way to get affordable auto insurance is to clean up your driving record. In Ontario, a driving offense or any other imperfections remain in your record for six years.
By practicing safe driving habits and making regular payments, you will soon be moved out of the high-risk category and become eligible for regular insurance premiums.
Shop and compare insurance discounts
Unless you discuss it, you might not know about several discounts provided by the insurance companies. These discounts are applicable for high-risk drivers as well.
Some discounts are available based on the following criteria:
- Completing a defensive driving course.
- Installing an anti-theft device.
- Paying the entire premium amount up front rather than in monthly installments.
- Installing snow tires during the winter season.
The discount percentage may vary from one company to another. Therefore, it is suggested that you do thorough research, speak to an insurance expert and then choose the auto insurance provider.
Increase your deductible
One of the best ways high-risk drivers can save money on insurance is by raising the deductible amount. A deductible is an amount you pay out of your pocket when you get into an accident. The insurance company does not cover this amount.
By increasing your deductible, you might be paying a greater amount in case you get into an accident. However, with careful and defensive driving, you might avoid accidents and save substantial amounts since you don’t need to make any claims.
Combined multiple insurance policies together
Insurance is not just limited to your vehicle. You need insurance for your house, jewelry, and any other valuable item you own. Additionally, you need personal accident coverage and health insurance.
You might be eligible for a multi-policy discount when you combine your vehicle and home insurance or multiple vehicle insurance together.
Car insurance for high-risk drivers in Ontario — Conclusion
When you need insurance for high-risk drivers Ontario auto insurance companies believe there’s more probability of you filing a claim as compared to mid-risk and low-risk drivers.
Getting auto insurance for high-risk drivers can be challenging but not impossible. Connect with the best auto insurance brokers to get the idlest deal in the high-risk category.