You’ve probably noticed an increase in your car insurance rates in Alberta over the last few years. Unfortunately, vehicles are more expensive than ever to repair and there are still a large number of crashes, especially in Calgary and Edmonton. So what can you do to lower your car insurance rates in Alberta? While you might not be able to control your premiums entirely, there are some things you can do to keep your car insurance rates as low as possible. This includes:

1. Only submit a claim when necessary.
2. Drive safely and follow the rules.
3. Drive less.
4. Try to avoid missing payments.
5. Try not to switch insurers too frequently.
6. Remain insured.
7. Raise your deductible
8. Install anti-theft devices.
9. Equip your vehicle with winter tires.
10. Bundle your insurance.

 

1. Only submit a claim when necessary.

Car insurance is supposed to be for huge, catastrophic events that you couldn’t pay for on your own. Unfortunately, many people make an insurance claim even if the damage isn’t that severe. This increases insurance costs for everyone. If you can afford to repair the vehicle yourself or it’s just above the cost of your deductible, you shouldn’t submit a claim. Talk to your insurance broker if you’re not sure what to do.

2. Drive safely and follow the rules.

It’s far too easy to be an aggressive driver or to tailgate or speed. But this is exactly why there are so many collisions in Calgary and Edmonton – especially during poor driving conditions. Be patient, drive defensively, and always leave enough space between you and the car in front.

3. Drive less.

Did you know that you pay more the more you drive your car? If you commute, you’re also likely paying more as most accidents happen during rush hour. To save money on your insurance, opt for public transit, carpooling, or using your own two feet to get to work. Of course, this isn’t always possible. Transportation options are often limited and our extreme weather makes it difficult to get to work without a vehicle. However, you can still try to save money by driving less.

4. Try to avoid missing payments.

Unfortunately, missing payments generally means you’ll have more to pay down the road. It’s a catch-22. Try to avoid missing payments by putting a reminder in your calendar or turning on auto withdrawal. If you know you’re going to miss a payment, contact your broker or insurance company.

5. Don’t switch insurers too frequently.

It used to be that switching insurers got you the lowest rates. This can be true, but you may also find your rates go up after the first year or the new business discount has been replaced by a loyalty discount. Discuss your options with an insurance broker – they can help you determine if it’s really in your best financial interest to switch insurers.

6. Remain insured.

If it’s possible, remain insured. Even if you just have the minimum third party liability coverage required by law in Alberta. While this won’t offer much protection for you, it will help keep your insurance rates lower (plus, you’re mandated by law in Alberta to have a certain amount of third party liability protection).

7. Raise your deductible.

Raising your deductible will lower your car insurance rates. While you will need to pay more upfront in the event of a covered claim, you’ll save over the long term. Your broker can help you determine the right deductible for you.

8. Install anti-theft devices.

Some insurance companies provide discounts for security and anti-theft devices. Talk to your broker for more details.

9. Equip your vehicle with winter tires.

Winter tires make your vehicle safer to drive in winter. This is one reason Quebec and BC require winter tires on all vehicles for certain months of the year. While this can be expensive, you can find good deals on winter tires. Switching your tires at the right time also helps ensure their longevity.

10. Bundle your insurance.

Insurance companies often offer discounts for multi-vehicle policies as well as if you bundle your car insurance policy with other types of insurance such as home and business insurance.

Your broker is your best resource for saving money on your car insurance rates in Alberta. Talk to them today about how you can save and what your insurance options are.

Let’s face it, we’re always looking for ways to have a little extra cash in our pocket. At Sharp, we’re committed to finding the insurance policy that works for you, at the best price. Why pay more for the same coverage, when you can pay less?

Here are our top 10, nearly foolproof, ways you can save on your car insurance.

1. Bring your policy to Sharp and save 5% – guaranteed*

If we told you we could guarantee you cheaper insurance rates for the same level of coverage, what would you say? On your next renewal, bring your insurance needs to Sharp and we will beat any new customer’s insurance premium by 5% – that’s the Sharp Guarantee. *Eligible policies must be with Intact, Aviva, RSA or additional participating markets. Get a free, no obligation quote today.

2. Bundle and save up to 20%

Insurance can sometimes be complicated, so why not simplify it and save money at the same time? By bundling multiple policies, like your home and car insurance, you pay only one premium, have one renewal date and in the event of a loss involving both your car and your home you only pay one deductible. Start your multi-product insurance quote here.

3. Enroll in Usage-Based Insurance (UBI) aka Telematics

When it comes to the data on your phone or your lunch at the salad bar, you’re only paying for what you use. You can get that same benefit with your car insurance by enrolling in a usage-based insurance (UBI) or telematics program through participating insurance companies. This can save you up to 10% in the first year.

What is UBI or telematics?

Did you know your car is built for a device that can track and transmit information about your driving skills such as hard braking, speed, distance and the times of day you travel most?   A small removable device that gathers data, can be installed in your vehicle to rate your insurance premium based on your driving skills rather than demographic generalizations. Inevitably, having this device track your good and bad driving habits will prompt you to be more aware on the road which will help increase safety precautions for you and others on the road. If you think you’re a fantastic driver, then this device could mean big savings for you. Additionally, should you make some not great driving choices, your premium cannot be increased. 

4. Raise your deductible

Deductible – [dih-duhk-tuh-buh l]. $250, $500, $1,000 – no matter the amount, your deductible is the amount you are responsible for paying before your insurance coverage kicks in to pay for the remainder of the damage in the event of a claim. You can save money on your insurance by increasing your deductible amount. While this could save you money in the long-term, it’s important to be aware that you will be responsible for paying a higher amount towards claim costs and be financially prepared.

BONUS TIP: Consider saving your deductible amount in a high-interest e-savings account. Then you’ll have it on-hand should you need it, and you will be earning interest on it as well.

5. Pay your premium annually

Many of us pay our insurance premiums monthly. However, some insurance companies – including several we work with – will offer discounts if you pay your premium up front. You could save up to 4% by paying your premium annually. Talk to your Sharp Insurance broker to determine if this is right for you.

6. Enroll in driver’s education

From an insurance perspective, young or inexperienced drivers (less than 3 years’ experience) are more at risk of filing a claim- that is why their insurance costs are generally higher. By enrolling in driver training, you’re gaining experience that helps you become a better and safer driver – lowering the likelihood of having a claim – and ultimately lowering your premiums as well.

7. Install an anti-theft device

According to Statistics Canada, Alberta leads the country in vehicle thefts, with almost 23,000 vehicles stolen every year. That works out to roughly 60 vehicles per day.

 

Some insurance companies will provide discounts on your car insurance when you provide proof of installation. Furthermore, in the event your vehicle is stolen, the fact that you have an anti-theft device installed may result in your insurance company offering you a reduced deductible.

The three types of anti-theft devices on the market include:

• Passive: an anti-theft system that automatically protects your vehicle. They are often built into your car and arm themselves when the vehicle is turned off, the key is removed and the door is shut.
• Active: an anti-theft system that you need to enable to work. These include things like a steering wheel Club® or a car alarm that needs to be manually armed.
• Auto immobilizers: one of the most effective types of anti-theft device for your vehicle. They prevent the car from being started unless a specifically coded key is used.

Not all anti-theft devices are eligible for insurance discounts. Before you install anything in your vehicle, speak to your Sharp Insurance broker.

8. Practice safe driving

As of September 1, 2011, distracted driving became illegal in Alberta. In 2017 in Edmonton alone, police issued over 7,400 distracted driving tickets. That’s an average of 20 tickets per day. Across Alberta in 2017, there were over 24,000 distracted driving convictions, according to data from the provincial government.

Insurance companies take into account the number and type of traffic violations as well as the number of at fault collisions when determining your insurance premium. By keeping your eyes on the road, following traffic laws and going the speed limit, your likelihood of getting into a collision reduces significantly, and you may just be rewarded with insurance discounts.

9. Group and Professional discounts

If your employer or professional association is a member of Sharp’s Group Home and Auto Insurance program you’ll benefit from exclusive discounts on insurance, 24-7 insurance access and service, 24-7 claims support and payment flexibility. Learn more about our group insurance program and how to register your organization here.

10. Talk to a Sharp Insurance broker

Insurance can be confusing and complicated. Let us do the work for you! Whether you need to insure a single vehicle, or the whole family fleet, we’re ready to help you find the coverage to protect your ride.

Our team of experts will find you customizable coverage with a policy that fits your needs. We partner with the top insurance companies in Canada to provide you with excellent options at the best value.

A quote from Sharp Insurance is always fast and free. What are you waiting for? Start your wicked fast insurance quote today.