When do insurance rates start to decline?

[Cytosol]

I am wondering if anyone knows what the catalyst is for insurance rates to lower significantly in a relatively new driver?

I live in Alberta and have had my license for quite a number of years. However, I have only been insured for just shy of 3 years, and my rates are still through the roof. I have a 15-year old car, and ONLY liability insurance at $1mil. I was paying about $100/month since I got my insurance, and my last renewal a few months back indicated that my rates went up to $110/month. What's worse is I am looking to get a new car (just a cheapo 2013 Hyundai) and my current provider's best rate is $385/month with full coverage ($1mil liability, $500 deductible for collision & comprehensive). There are some other providers that can do a bit cheaper, but it's still way up there.

I work with a guy that has had insurance for around 6 years. He has a $60,000 leased Benz and his rates are about $100/month with full coverage!

I haven't had a single claim and only one minor speeding ticket of 75 in a 60 zone in 2009. Does anybody know what I should do or what I need to wait for so that my rates come down? It's quite ridiculous that my insurance will be increasing by MORE than the car payments on a new cheapo Hyundai!


Thanks a lot.

[Mr.Sea]

I pay $185 a month for my 2003 Nissan Sentra Se-r in Ontario. Suck it up buttercup, you Albertans have a good deal!

With that being said, don't buy a new car, they force you to put full coverage on it.

[Cytosol]

How long have you been insured for?

Unfortunately I have no disposable money to buy a used one, and I would probably die in a crash with a mailbox in my existing car, so I REALLY need something newer. The financing deals on new cars are too good to pass up...

[spike1128]

How long have you been insured for?

Unfortunately I have no disposable money to buy a used one, and I would probably die in a crash with a mailbox in my existing car, so I REALLY need something newer. The financing deals on new cars are too good to pass up...

In Ontario it doesn't matter. You can be 10 years accident free and pay 200-300 bucks a month on insurance. If you search on RFD, some poor sap was asking about buy a slight used Sienna Van and he got quoted 7500 a year. He has no prior history of driving in Canada, but driven 7 years outside the country.

I say if us Ontario came to live in Alberta, we get like below 100 bucks a month for insurance. I want to go to be an Albertan :D.

[oksir]

thats weird. Im 20 Male, licensed for less then a year,I have been insured for just less then a year, got a new car last month, 2012 VW golf, full coverage is $240 a month for me? you should check out whats wrong with your rate. Im not with parents or anything either. and im with TD.

[Mark77]

Wow, I've never paid more than $600/year for insurance, in 2 of the western provinces and I've been driving since I was 16.

[awestruck]

$304 a month for me with TD MM fml.

[dealsaddict]

Try checking with a "cheapo" 2012 Hyundai with different postal codes. What are the quotes for the 4dr Hyundais?

[jordanr19871]

i think it depends on what type of car you have

for example i turn 25 august 12 and just bought a 2008 pontiac g5 2 door back in may
right now my rates are $249 a month and once i turn 25 and my 6 month policy is up it will drop to about 150 a month

my friend has a 2007 impala(i think its a 2007) and hes 25 and paying $50 a month for insurance (we believe its because its more of a senior citizen type car?)

http://www.kanetix.ca/ten-least-expensive-cars-to-insure


Based on collision and comprehenive coverage claim indexes, and theft costs and frequency indexes, the following SUVs, pick-ups, minivans and cars are likely to cost less to insure.

The least expensive vehicles to insure: 2010 model year
Nissan Sentra
Jeep Patriot
Dodge Journey
Chevrolet/GMC Traverse/Acadia
Chevrolet Malibu
Nissan Rogue
Mercedes-Benz E350/E500W
Honda CR-V
Ford F150
Ford Escape
The least expensive vehicles to insure: 2009 model year
Saturn Aura
Pontiac Montana
Kia Sedona
Smart ForTwo
Ford Escape
Hyundai Santa Fe
Kia Rondo
Saturn Astra
Hyundai Accent
Infiniti G37x

[claudiu_corbea]

This is my first year of insurance (had the license for longer but never been insured). For a 2007 LX Civic I pay $200/month with the car registered in Halifax/NS. I wanted to switch to an Ontario plate and my insurance would go to $375/month. Thank god I can keep my NS plate as a student, Ontario is the rip off insurance capital of Canada.

Now to answer to OP's question: your insurance rate will go down only after you have been continuously insured in Canada for more than 3 years. If you have a pause in your insurance the "timer" will reset to 0. So if you sell your car put your name on somebody else's insurance as a secondary driver.

[jason9945]

They don't go down. You start out as a younger inexperienced driver with an older worthless car and your insurance is expensive. Then you get a bit older and buy a new car, rate stays about the same as you're now experienced, but have a car that is worth something.

[george__]

Camry are so freaken expensive to insure. Just so you know.

[cinnamontwist]

You should message this poster guessboi . Knows and deals with Alberta insurance.

[MeiserT]

OP.

Read this

http://www.airb.alberta.ca/gridrate/AirbGridInfo.aspx

[guessboi]

I am wondering if anyone knows what the catalyst is for insurance rates to lower significantly in a relatively new driver?

I live in Alberta and have had my license for quite a number of years. However, I have only been insured for just shy of 3 years, and my rates are still through the roof. I have a 15-year old car, and ONLY liability insurance at $1mil. I was paying about $100/month since I got my insurance, and my last renewal a few months back indicated that my rates went up to $110/month. What's worse is I am looking to get a new car (just a cheapo 2013 Hyundai) and my current provider's best rate is $385/month with full coverage ($1mil liability, $500 deductible for collision & comprehensive). There are some other providers that can do a bit cheaper, but it's still way up there.

I work with a guy that has had insurance for around 6 years. He has a $60,000 leased Benz and his rates are about $100/month with full coverage!

I haven't had a single claim and only one minor speeding ticket of 75 in a 60 zone in 2009. Does anybody know what I should do or what I need to wait for so that my rates come down? It's quite ridiculous that my insurance will be increasing by MORE than the car payments on a new cheapo Hyundai!


Thanks a lot.

Few pointers for you.

- Liability premium is strictly based on the driver and not the vehicle.
- licensed less than 3 yrs, did you do driver training? If so your rate won't change much until your 3rd renewal...reason being you are rated at -2 grid for the first 2 yrs = 2 yr licensed (bonus having driver training), 3* rating (3 years claims free)
If no driver training, you start at grid +/- 0 and you go down 1 level every yr you are at fault free.

[guessboi]

This is my first year of insurance (had the license for longer but never been insured). For a 2007 LX Civic I pay $200/month with the car registered in Halifax/NS. I wanted to switch to an Ontario plate and my insurance would go to $375/month. Thank god I can keep my NS plate as a student, Ontario is the rip off insurance capital of Canada.

Now to answer to OP's question: your insurance rate will go down only after you have been continuously insured in Canada for more than 3 years. If you have a pause in your insurance the "timer" will reset to 0. So if you sell your car put your name on somebody else's insurance as a secondary driver.

Soooo not true about the gap in insurance. You won't drop to 0 all of a sudden once you have a gap. LOL.

[guessboi]

Also...
Comprehensive Coverage is mainly dependent based on the vehicle (i.e. Comprehenisve coverage for Civics are pretty pricey compared to other vehicles in its class)

Collison Coverage is mainly dependent based on both the driver and the vehicle.

[claudiu_corbea]

@guessboi.
Does the driver training applies if I got my full license directly? I had been driving for almost 10 years before but not in Canada. Do the insurance companies look at this or the driver training counts more? I am in the same situation as the original poster and 3 years of overpaying is a lot of time. So far I have been paying due to lack of options, but what can I do to lower the premiums in the future?
Thank you.


Soooo not true about the gap in insurance. You won't drop to 0 all of a sudden once you have a gap. LOL.
This is exactly what my broker told me. I guess I know now who I am dealing with... :|

[thrifthunter]

No way in hell your insurance should jump from ~$100/month for liability to ~$400/month for full coverage. Liability is by the far the biggest cost on an insurance policy. For my car when I checked, liability alone was $77/month and full coverage $100/month.

You are only talking about insuring an elantra here, so nothing special that would jack up the rates..

[Xiaohaibao]

i think it depends on what type of car you have
Insurance depends 90% on the driver and where he lives, and only 10% on the car.

[Canuck2fan]

Insurance rates in Ontario no longer go down year after year. You might see a slight drop for a year or two but in the end the industry will continue to screw you....

At 48 I pay 1200.00 a year for a 12 yr old neon. In the last 4 yrs with 2 tickets coming OFF my record my rates have went UP from 850.00. NO claims, no convictions and no accidents, bundled with my home insurance in an N postal code it just keeps going up. I shop around and have looked at least 20 companies each renewal time. Every company I talk with wants my business because I am the highest star rating they use but the cheapest was still 1200.00 a year. I even thought about changing vehicles no real difference there either. But hey it isn't a scam or ripoff just the reality of the market "yeah right".

[COSMIC5]

im in ontario and I pay way less for that for 2 cars & a large home..


In Ontario it doesn't matter. You can be 10 years accident free and pay 200-300 bucks a month on insurance. If you search on RFD, some poor sap was asking about buy a slight used Sienna Van and he got quoted 7500 a year. He has no prior history of driving in Canada, but driven 7 years outside the country.

I say if us Ontario came to live in Alberta, we get like below 100 bucks a month for insurance. I want to go to be an Albertan :D.

[COSMIC5]

my rates went down this year even with increasing the optional accident benefits coverages....sometimes being lic'd & insured for some time can impact rates...intact will individually rate a driver and give credit for years lic and yrs insured..


Insurance rates in Ontario no longer go down year after year. You might see a slight drop for a year or two but in the end the industry will continue to screw you....

At 48 I pay 1200.00 a year for a 12 yr old neon. In the last 4 yrs with 2 tickets coming OFF my record my rates have went UP from 850.00. NO claims, no convictions and no accidents, bundled with my home insurance in an N postal code it just keeps going up. I shop around and have looked at least 20 companies each renewal time. Every company I talk with wants my business because I am the highest star rating they use but the cheapest was still 1200.00 a year. I even thought about changing vehicles no real difference there either. But hey it isn't a scam or ripoff just the reality of the market "yeah right".

[guessboi]

@guessboi.
Does the driver training applies if I got my full license directly? I had been driving for almost 10 years before but not in Canada. Do the insurance companies look at this or the driver training counts more? I am in the same situation as the original poster and 3 years of overpaying is a lot of time. So far I have been paying due to lack of options, but what can I do to lower the premiums in the future?
Thank you.

Driver training is only good for new drivers in the 1st 3 years. After that it doesn't do anything.

[Mattones]

203 a month for me, 26/male.