How do insurers determine my car insurance rates for Sudbury, Ontario?
Drivers in Sudbury, Ontario might be disappointed to learn that the province of Ontario is often assigned some of the highest auto insurance rates in the country. This is due to rates of insurance fraud, distracted driving, and the fact that many cities in the province are highly populated. To combat these inflated rates, drivers may benefit from learning about how their rates are calculated exactly. Here is what goes into your premiums:
Driving record
Having a lot of moving violations, being involved in multiple severe or at-fault accidents, or having a track record of speeding can signal to insurance companies that you're at higher risk of making a claim. If you have a poor driving history, you'll pay more for your insurance.
This is also why inexperience is often flagged the same way as a poor driving record. You haven't had enough time spent behind the wheel to demonstrate safe driving skills. With patience and time spent compiling a clean driving history, this can change.
Kilometres driven
Your commute distance is also considered when calculating your car insurance rates. In Sudbury, driving less and on slower traffic times may qualify you for lower rates. Vice versa, driving a lot, at night, or in Greater Sudbury (downtown especially) may put you in the higher risk category and you could be assigned higher rates.
The type of vehicle you drive
The condition, make, model and year of the vehicle that you drive can make or break your car insurance premiums. Your Sudbury car insurance may cost you less or more depending on the safety ratings of your vehicle, how costly its parts are to repair or replace, etc. If your budget is tight and you are still looking to purchase a vehicle, keep in mind car insurance costs when you are finalizing your decision.
Location
Insurance costs vary from province to province, but they also may vary from city to city and even postal code! Depending on where you are located in Sudbury, car insurance may cost you more or less. Postal code accounts for traffic conditions in your local area, crime rates, and accident frequency.
Age
While it can be exciting to be a new driver with his or her very first car insurance policy, new drivers tend to pay more for their Sudbury car insurance. This is due to the fact that auto insurance is priced higher for inexperienced drivers since they are statistically more likely to be involved in accidents, what with their inexperience and lack of time learning how to handle stressful situations behind the wheel.
