With rising gas prices and cost of living expenses increases, you may be asking yourself “how can I afford to pay for the damages from an accident?” One way to help your bottom line is to re-examine your car insurance. We’ve come up with 12 ways to save on collision coverage below.

1. Bundle your home and car insurance

Insurance carriers are happy to reward you when they insure more than one asset in a family. Savings differ, depending on your circumstances and the insurance companies. However, it is not uncommon to reduce your spend by upwards of 15-20%.

2. Adjust your driving patterns to minimize usage

During the pandemic lockdown, many of us did not use our vehicles as much because we were not commuting to work. Driving fewer days into work can lower your auto insurance rate. Explore possible flex hours with your company to assist with this.

3. Remove or “suspend” coverage on a vehicle you are not using anymore

If there is only one vehicle on the policy, Ontario insurers may “suspend” coverage by way of an OPCF 16. This will leave comprehensive coverage in force in the event of a loss if the vehicle is not in operation. Removing all but comprehensive coverage is only available when you have more than one vehicle on the policy. The media reports that this kind of change can result in savings of up to 75% off regular premiums.

FYI: The policyholder must advise the carrier/agent/broker to re-activate coverage when driving habits return to normal.

4. Amend the use of the vehicle to pleasure only

By doing this, you can reduce the annual mileage for a premium credit if the vehicle was originally covered for commuting or for businessThis type of change can result in saving you up to 15% off regular premiums. However, if your vehicle is already rated for pleasure driving only, no savings will result.

5. Anti-theft devices can help you save on collision coverage

If you have an anti-theft device installed on your car, such as a car alarm or engine immobilizer, it helps reduce the risk of your car being stolen. Most insurance companies will lower your rates accordingly, which will help you save on collision coverage. However, you will need to provide proof of installation of the approved device to the insurance company in order to get a discount.

6. Winter tires

The Ontario government passed a law mandating that insurance companies award up to a 5% discount off your collision coverage or $80 per vehicle per year if you put winter tires on your car. You many need to wait until your policy renews, but it is well worth looking into if you want to save on your collision coverage.

7. Dashboard cameras

“Dashcams” are a new technology that are becoming increasingly popular. Should there be a dispute of who is at-fault in an accident with no other witness, you have objective proof to fall back on. It is also extremely helpful if you are involved in a hit-and-run accident.

At present, there is no mainstream or common discount from most insurance companies. However, it can assist in reducing the amount of insurance fraud, provide evidence of fault during a dispute and protects you against scams.

8. Telematics

Otherwise known as usage-based insurance, telematics allows you to pay your insurance based on when and how you drive. It puts the power of the best car insurance rates in your control by monitoring your driving distance, speed, overall usage and safety (risk). It personalizes feedback on how to make you an even safer driver.

FYI: Not all Ontario insurers offer UBI, so talk with an isure broker to find the insurer who offers the best Telematics program for you.

9. Raise your deductible to save on collision coverage

By increasing the dollar deductible on your auto policy from $200 to $500, you can reduce collision and comprehensive coverage premium costs. Increasing your deductible to $1,000 may save you even more! Still, in the event of a loss, you’ll be responsible for the deductible, so make sure that you’re comfortable with the amount chosen.

10. Change vehicles

What type of vehicle you drive is one of the major factors in how much your insurance rates will be. So, when you are thinking of purchasing a vehicle, steer clear of high-theft models, vehicle safety ratings, price and cost of repair.

11. Shop around to save on collision coverage

The surest way to find the lowest rate is by having your isure broker compare offers from as many insurance companies as possible. An insurer that offers the cheapest policy for third-party liability or comprehensive car insurance will not always offer the best rate for collision insurance. Each insurance company uses a proprietary formula to calculate the cost of a policy.

12. Check your memberships & affiliations

Some professional associations have benefits or can get better quotes for their members, including savings on car insurance.

If your auto insurance policy doesn’t already offer collision coverage, we recommend that you obtain it. The extra coverage will result in higher insurance premiums, but it can save you from significant car repair or replacement costs following an accident. Speak with one of our isure representatives about one or more ways to save on collision coverage today!

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