What types of car insurance are required in Marathon, Ontario?
Car insurance isn’t optional in Marathon or anywhere in Ontario, for that matter. Specifically, there are four types of coverage that all Marathon motorists must have if they want to drive in the province. They are:
Without the above four types of coverage, you cannot drive a vehicle in Marathon, so be sure to purchase a valid policy before getting behind the wheel.
What does standard car insurance cover in Marathon?
Standard car insurance is a policy that only features the four mandatory coverages in Ontario - nothing more and nothing less. It is the most basic form of car insurance in Ontario and is legally required no matter where you live in the province. Below, we explain what exact standard car insurance covers and how it can protect you when on the road:
Third party liability coverage
Third party liability coverage will pay for the cost of an at-fault accident if you are found liable for a collision. All Ontario drivers must have no less than $200,000 in liability coverage, though many choose to purchase more. With liability insurance, you can receive a payout that covers everything from medical expenses and repair bills to legal fees, like defence and settlement fees, that may arise from an accident.
Accident benefits coverage
Accident benefits coverage is designed to cover medical and rehabilitative care should someone suffer an injury in a car accident. Whether the person who was harmed was the policyholder, a pedestrian, or a passenger, accident benefits can still be claimed. Bodily harm can be costly, but accident benefits coverages aim to alleviate this financial burden by covering medical expenses not covered by health insurance. It can also pay for lost income due to injury and funeral fees.
Direct compensation coverage
Direct compensation coverage offers direct payouts to policyholders whose vehicles are damaged in accidents. With the payout, you can pay to repair your car. However, you will only be eligible for a direct compensation claim if you are not at fault for the accident. If you suspect damage following an accident, review this vehicle inspection checklist and contact your insurance broker as soon as possible.
Uninsured automobile coverage
Uninsured automobile coverage, also known as uninsured motorist coverage, will pay for the cost of a collision if you are involved in an accident with an at-fault driver who is uninsured or underinsured. It can also cover you if you are the victim of a hit and run where you never learn the identity of the other driver. Uninsured automobile coverage can pay for medical expenses, vehicle repair bills, and more.
Optional auto insurance coverage in Marathon, Ontario
Optional car insurance works a bit differently than mandatory coverage in that you are not required to purchase it. Thus, you can choose whether you want to add it to your policy or not. In addition, it comes in many forms, with each type of coverage designed to protect you in different ways. We break down a few of the most common types of optional coverage in Marathon below. However, if you want a complete rundown of all the different forms of extra protection that you can add to your policy, contact a BrokerLink insurance advisor:
Collision coverage
Collision car coverage is one of the most popular types of optional coverage for a reason. It offers additional protection in the event of an accident. Extending beyond direct compensation coverage, collision car insurance also deals with property damage but it can be claimed whether you are found liable for the accident or not. It can also be claimed regardless of whether you collided with another vehicle, a grounded object, or an animal. Collision coverage can pay to repair or replace your car and is often claimed in the event of a major accident that results in significant damage.
Comprehensive coverage
Comprehensive car coverage will cover your vehicle against non-collision-related damage, so long as the cause of the damage is an insured peril listed in your policy. Insured perils that you will most commonly come across in Marathon car insurance plans include theft, fire, vandalism, falling and flying objects, explosions and riots, and weather-related incidents. In other words, if a fire or fallen tree damages your car, you can find a comprehensive insurance claim and your insurance provider will issue a payout to help pay for the necessary repairs.Comprehensive coverage can also help you replace your car if it is stolen or totalled.
Accident forgiveness coverage
One more type of optional car insurance coverage popular among drivers in Marathon is accident forgiveness. Accident forgiveness is additional coverage that can be added to your car insurance policy as an endorsement, to protect your driving record and to help prevent your insurance premium from increasing if you have an at-fault accident claim. Note: coverage and eligibility varies by province.
Loss of use coverage
Lastly, loss of use coverage will pay for you to take other modes of transportation if your car is damaged in a collision. Depending on the extent of the damage, you may not be able to drive your car for a set period of time while it is in the shop for repairs. If this happens to you, you can file a loss of use coverage claim, through which you can be reimbursed for costs like renting a car, hiring taxis or Ubers, or taking public transportation.
How are Marathon car insurance premiums calculated?
Marathon car insurance premiums are calculated by insurance companies. Insurance companies use risk-calculation formulas to assess each policyholder’s risk level and assign them a premium accordingly. A policyholder’s risk level will ultimately be determined by a wide range of factors, such as the following:
- Where you live
- Age
- Gender
- Vehicle type
- How you use your vehicle
- Driving record
- Driving experience
- Past claims
- Prior insurance coverage
- Number of kilometers you drive
- Type of coverage on your policy
- Your deductible(s)
If you want to receive a free insurance quote and find out how much coverage in Marathon will cost you, contact BrokerLink today.
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Contact us
At Marathon BrokerLink, we’re here to help you with any insurance needs you may have. Whether it’s insuring your home, car, business, recreational items, or pets, let us help you find the best coverage possible. We can also help you adjust or renew your policy down the road.
You can reach us by phone, email, or in person at any one of our locations across Ontario. No matter how you choose to get in touch, a BrokerLink insurance advisor will be happy to assist you. We also encourage you to take advantage of our free online quote tool that can provide you with a competitive quote in minutes.
Marathon car insurance FAQs
How do I file a car insurance claim in Marathon?
Filing an insurance claim is easier than you might think. Since the process often varies between insurance providers, you should first contact your insurer to confirm how to proceed. Typically, you will need to fill out a claims form, submit it to your insurer, answer any questions the adjuster asks, and wait for an update on your claim. If your claim is approved, the insurance company will let you know the amount of your payout. Car insurance claims are most commonly filed for collisions but can also be filed for other types of damage or loss, such as theft.
How do I renew my auto insurance coverage in Marathon?
You can renew car insurance in Marathon by informing your insurance company or broker that you wish to renew your coverage. Make sure to do this at least a month in advance of your current policy’s expiry date to give your insurer ample time to respond to the request and to avoid a lapse in coverage. You can inform your insurer by calling them or visiting their insurance office in person. Depending on your insurance company, you might even be able to apply to renew your policy online by logging into your account on the insurance company’s website.
Can I drive with expired car insurance in Marathon?
No, you cannot drive with expired car insurance in Marathon. Doing so is illegal since, in effect, you are driving without any car insurance. Given the fact that an expired policy is the same as no policy, you can be subject to serious penalties if you are caught without a valid policy. These penalties may include fines of up to $50,000, the impoundment of your car, and the suspension of your driver’s licence.
Will I qualify for a discount on my Marathon car insurance plan for installing snow tires on my car?
It is true that one way that Marathon motorists can qualify for cheaper car insurance is by installing snow tires on their cars. Snow tire discounts are often given to drivers who install winter tires on their cars and meet the conditions set by their insurance company, such as all four tires being the same model. If you hope to qualify for a winter tire discount in Marathon, be sure to ask your insurance company what conditions need to be met to be eligible.
How do car insurance deductibles work for Marathon drivers?
Deductibles work the same way for Marathon drivers as they do for Marathon homeowners. No matter what type of insurance plan you have, deductibles function similarly. A deductible is the amount of money that the policyholder must pay in the event of a claim before the insurance company will issue a payout to cover the rest. So, if you get into a car accident and file a claim and you have a $1,000 deductible, you will need to pay $1,000 before the insurer steps in and covers the remaining cost of the damage, whatever that may be. Please note that all coverages are subject to a limit, so there is no guarantee that your insurer's payout will cover the remaining costs after your deductible. Lastly, the deductible you choose will influence your premium, with higher deductibles usually resulting in lower premiums and lower deductibles resulting in higher premiums.
I got into a collision and was found liable. What will happen to my Marathon car insurance premium?
Since accidents affect car insurance rates, especially at-fault ones, you should prepare for an increase to your car insurance premium. That said, this increase will not come until the next time you renew your policy, and it likely won’t last forever. At-fault accidents stay on Ontario driving records for six years. After this point, it will be removed from your record, and your rates may go down again, assuming you don’t have other infractions on your record. Another thing worth noting is that if you have accident forgiveness coverage on your policy, then your insurer won’t be able to raise your rates following your first at-fault accident.
When will my Marathon auto insurance premium go down?
Many drivers wonder when their car insurance rates will become cheaper. The reality is that this varies from policyholder to policyholder. That said, as you age, you can generally expect car insurance to go down. Many customers find that their rates start to decrease after they incur seven years of clean driving history, though this will depend on when you first started driving, as well as your driving record. Meanwhile, if you are wondering when your rates will go back down after they were raised due to a driving infraction, it all depends on how long the infraction remains on your record. If you got into an accident that you were found liable for, it will likely take six years until the accident is no longer on your record, which means your rates may not go down for six years. Given that infractions impact rates, driving safely is your best bet if you want to lower your premium. You can find a list of safe driving tips here.
What types of car insurance coverage are available from an insurance broker in Marathon?
An insurance broker in Marathon, Ontario can help you find everything from basic car insurance coverage to enhanced coverage. The specific types of coverage that a broker can help you add to your policy include third party liability, accident benefits, direct compensation, uninsured motorist, collision, comprehensive, waiver of depreciation, loss of use, roadside assistance, and accident forgiveness coverage.
How can I lower my Marathon car insurance premium?
There are many effective ways to lower a car insurance premium in Marathon. For example, you can bundle home and auto insurance or buy multiple auto insurance policies. You can also ask a broker about employment or education-based discounts, as well as occasional driver discounts, telematics discounts, driver’s education discounts, winter tire discounts, anti-theft device discounts, and safe driver discounts. Of course, another way to lower your premium is by driving responsibly, obeying all traffic laws, and keeping your driving record clean.
Do I need an Ontario driver’s licence to buy a car insurance plan in Marathon?
Yes. Buying car insurance coverage in Marathon is impossible if you do not have a valid driver’s licence.
What are the penalties for driving without car insurance in Marathon?
The penalties for uninsured driving in Marathon, Ontario, are steep. Ontario has some of the harshest penalties for any Canadian province or territory for this offence. First offenders can face fines of up to $25,000, whereas second or repeat offenders can face fines of up to $50,000. Those caught must also pay a 25% surcharge on any fines incurred. They could also have their vehicle impounded for up to 90 days and lose their licence for up to 365 days.
How do I get a free car insurance quote in Marathon?
Simply ask! Get in touch with an insurance agent or an insurance broker near you and ask them if they offer free quotes. If they do, answer some questions about your car, your driving habits, and the type of coverage you’re looking for to receive the most accurate quote possible. Most of the time, car insurance quotes can take anywhere from five minutes to 15 minutes and can be obtained online, in person, or over the phone.
If you have any questions, contact one of our local branches.
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