Before we dive into a list of the five Canadian regions with cheap auto insurance quotes, we need to consider just why pricing can vary so widely. You may be sitting with or speaking your broker and scratching your head over why it is that they just cannot get you an affordable or cheap quote. Understand that some factors are not in their control, but some things are in your hands.
Let’s understand that: Rates all over Canada vary because there are private and public programs in almost every region. Some of the Provinces (British Columbia, Manitoba and Saskatchewan, currently) have provincially run insurance, others have independent companies creating more competitive pricing.
In addition to private insurers making it a bit easier to obtain a cheap or more affordable quote from a broker, there are many, many factors relating directly to the driver that can affect the bottom line. Your driving history, the type of car, how you drive, the different types of coverage you have, your membership in certain organizations, your marital statusâ€¦the list of issues that can reduce or increase your quote from a broker is extensive.
Finally, each of the Provinces has what is typically known as a minimal coverage requirement. This is a mandatory level of insurance that all drivers must have, and without it you are seen as being in violation of the laws around auto insurance. A good broker will never allow you to fall outside such parameters and will strive to obtain an affordable, even cheap, quote.
Now that we understand how factors apart from your Province will affect the cost of coverage, let’s look at the five Canadian regions with cheap car insurance quotes:
- Quebec – Noted for having the cheapest or most affordable policies throughout the country, it also benefits from being a Province offering both public (for personal injuries only) and private insurance providers (for property damages). Though you can always opt for additional or alternative coverages (like glass, collision, and so on), you are required to have $50,000 in third-party liability. Damages are limited to property if within the Province, and to personal injury and property if outside of the Province.
- Prince Edward Island – Private insurance only, and you are required to carry a minimum of $200,000 in third-party liability as well as medical payments, funeral expenses, and disability. Victims can sue for pain and suffering and drivers can sue for losses beyond their no-fault benefits.
- New Brunswick – Auto coverage is around 2.8% of “after tax income”, making it one of the most affordable. You are required to carry a minimum of $200,000 in third-party liability as well as medical payments, funeral expenses, disability and Accident Benefits insurance. Victims can sue for pain and suffering and drivers can sue for losses beyond their no-fault benefits. New drivers should get a discount, but lose it with their first ticket or accident.
- Nova Scotia – Because there are so few incidents in this region, the pricing is decreasing each year and anticipated to dip below the amounts required in PEI within the next few years. You are required to have $500,000 in third-party liability as well as medical payments, funeral expenses, and disability. Victims can sue for pain and suffering and drivers can sue for losses beyond their no-fault benefits.
- Newfoundland and Labrador – Currently ranked fifth, pricing is climbing due to increases in traffic accidents in recent years. You are required to have $200,000 in third-party liability, but medical payments, funeral expenses, and disability are optional. Victims can sue for pain and suffering and drivers can sue for losses beyond their no-fault benefits.
Though you may want your broker to give you an affordable or cheap quote, as you can see, there are some factors that can set the average prices in stone. That leaves it up to you to choose the right car, keep a good record, maintain good habits, pay on time and make no claims and understand how age, years driving and location affect prices.
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