Trying to find cheap car insurance in Edmonton can be a time consuming task. Car insurance rates vary widely from one firm to the next, which may lead you to wonder just exactly how insurance rates are calculated in the first place. Keep reading to find out more about rates, the factors that can affect your insurance and how you can get better premiums.
Who sets the auto insurance rates in Edmonton and the rest of the province?
Unlike many other Canadian provinces, the auto insurance market in Alberta is privately run. But that doesn’t mean that insurance companies can set whatever rate they choose. Both the Automobile Insurance Rate Board and the Office of the Superintendent of Insurance regulate rates.
What factors can affect your auto insurance premiums?
There are a number of different things that can affect your car insurance rates in Edmonton, including:
- The age of the vehicle you’re trying to insure
- The amount of coverage you’d like to have
- The type of vehicle you’re trying to insure
- The vehicle’s use
- Where you live
- Your age
- Your driving history
- Your gender
- Your marital status
How rates are calculated
Auto insurers in Alberta calculate your rates using the Grid Rate Calculator established by the provincial government. The Grid Rate Calculator determines the base rate as well as the maximum and minimum amounts that you should pay for insurance.
Insurance providers use the information contained in your driver’s record as well as the personal information you provide them to determine your place on the grid and calculate your rate. The more of a risk you represent, the higher your premiums will be. On the other hand, if you have a clean driver’s record and present less of a risk, you’ll pay lower premiums.
Ways to reduce your premiums in Alberta
Some of the ways you can help to reduce your premiums are:
- By maintaining a safe driving history
- Choosing the right type of coverage for your needs
- Taking a driver’s training program
- Purchasing insurance bundles
- Using winter tires
When shopping around for cheap car insurance in Edmonton, it’s important to ensure that you’re getting adequate coverage. Don’t let price be the only determining factor when choosing an insurance product.
Visit HDF Insurance in Edmonton for all of your home, auto, travel, business, health and life insurance needs. Contact us today to learn more about the insurance products we offer and let us find you the insurance solutions you need at the best possible rates. At HDF Insurance, we work for you!