Automotive

CANADA - Auto Insurance - cancelling my COLLISION

  • Last Updated:
  • Feb 15th, 2021 4:00 pm
[OP]
Member
Nov 9, 2006
373 posts
60 upvotes

CANADA - Auto Insurance - cancelling my COLLISION

My premium is $250 for "COLLISION OR UPSET" and another $182 collision premium for Occasional Driver (18 yr old Daughter)
Image
If I cancel the collision part, will I save (250+182) 432/mth?
Also, if I do cancel the coll part, will I still be covered if I get into an accident and have to cover the other party's damages. Will my insurance still pay for that?
10 replies
Newbie
User avatar
May 31, 2008
96 posts
89 upvotes
Collision pays for the damage to YOUR car, so yes it will still cover the other party's damage. Keep in mind if you are leasing the car or if it's financed collision is often required. I usually remove collision on older cars as it's not worth having considering how little you will receive.

Oh yeah, and get a dash cam. Without collision it will be critical to prove an accident wasn't your fault if that was the case.
Sr. Member
Oct 10, 2020
552 posts
302 upvotes
ronatola wrote: My premium is $250 for "COLLISION OR UPSET" and another $182 collision premium for Occasional Driver (18 yr old Daughter)
Image
If I cancel the collision part, will I save (250+182) 432/mth?
Also, if I do cancel the coll part, will I still be covered if I get into an accident and have to cover the other party's damages. Will my insurance still pay for that?
You save $5000 per year. The hit and run collisions are mostly in parking lots and typically cost < $2000 to repair ( mainly cosmetic and maybe not necessary).

The money I accumulated from not buying collision coverage is more than 3x my car's market value.
Member
Mar 12, 2013
294 posts
117 upvotes
Edmonton
i was going through some information on the car insurance. Was looking for any cheaper auto insurance. Driving history of 2 and half years in Canada.

Currently paying $214 with desjardins. Dont want to create another thread just for this. Looking for options.
Deal Addict
Sep 8, 2017
4027 posts
4158 upvotes
GTA
How much is your yearly premium? Because I'm pretty sure that $432 savings would be per year, not month.
Deal Addict
User avatar
Sep 27, 2011
3771 posts
2689 upvotes
Toronto
Yeah that is probably $250 per YEAR.... they lay it out like that per section and it all adds up to your yearly rate
FreezingCanada wrote: We voted him in as God of RFD last month. Where were you during elections...?
[OP]
Member
Nov 9, 2006
373 posts
60 upvotes
derass wrote: How much is your yearly premium? Because I'm pretty sure that $432 savings would be per year, not month.
Yes, it looks like you are correct.
My yearly premium for that car is only $1814 - LOL
Thanks for pointing that out.
I will leave it as-is.
Sr. Member
Oct 10, 2020
552 posts
302 upvotes
ronatola wrote: Yes, it looks like you are correct.
My yearly premium for that car is only $1814 - LOL
Thanks for pointing that out.
I will leave it as-is.

What is the deductible? You'll save $1432 annually for a deductible of $1000 if you don't have an incident for example. Collision and comprehensive are bad bets for most people.
Deal Fanatic
User avatar
Aug 11, 2008
8847 posts
1443 upvotes
Ontario
In Ontario, regardless of fault, you claim under your own policy. Not at fault accidents fall under the direct compensation portion of the policy, at faults and hit & runs fall under the collision portion
devilsadvocate wrote: Collision pays for the damage to YOUR car, so yes it will still cover the other party's damage. Keep in mind if you are leasing the car or if it's financed collision is often required. I usually remove collision on older cars as it's not worth having considering how little you will receive.

Oh yeah, and get a dash cam. Without collision it will be critical to prove an accident wasn't your fault if that was the case.
RIBO LICENCED INSURANCE BROKER, over 35 years experience
Deal Fanatic
User avatar
Aug 11, 2008
8847 posts
1443 upvotes
Ontario
I suspect those are annual premiums. If you remove them mid term,they will be pro rated for a return or credit of premium to the total policy.
In Ontario, you claim under your own policy for damages. So, if you had an at fault or "hit & run incident" without collision on your car, you would not have your vehicle repaired or get a rental if you have removed the OPCF 20(transportation replacement coverage) the not at fault party would claim damages under their own policy under the direct compensation portion of their policy which is a mandatory coverage.
ronatola wrote: My premium is $250 for "COLLISION OR UPSET" and another $182 collision premium for Occasional Driver (18 yr old Daughter)
Image
If I cancel the collision part, will I save (250+182) 432/mth?
Also, if I do cancel the coll part, will I still be covered if I get into an accident and have to cover the other party's damages. Will my insurance still pay for that?
RIBO LICENCED INSURANCE BROKER, over 35 years experience
Deal Fanatic
Oct 6, 2007
8600 posts
5502 upvotes
Kootenays
COSMIC5 wrote: In Ontario, regardless of fault, you claim under your own policy. Not at fault accidents fall under the direct compensation portion of the policy, at faults and hit & runs fall under the collision portion
Now that BC is going to a no fault system, I hope they don't follow suit. I carry comprehensive on my 2002 F150, but not collision. I wouldn't want to lose H&R coverage.

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