From $ 4,000 a 12 months to over $ 14,000: An Ontario Man's Auto Insurance Odyssey – Driving

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The scary way small things add up

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Lorraine Sommerfeld Auto insurance terms that everyone should know Photo from Pixabay

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Ontario auto insurance rates are insane, but sometimes people are their own worst enemy. A recent report from CTV news underlines the concept that violations can add up many small things. A 26-year-old Guelph man, Tyler Markidon, predicts his auto insurance rate will soar from $ 4,000 a year to $ 8,500 after a series of mishaps. If he makes a planned move to Mississauga, that number climbs to a whopping $ 14,291 a year.

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What brought him here? Two speeding tickets, two charges for failure to present his pink policy, and a culpable collision after he was driven back into another vehicle. This vehicle was damaged, but his truck was not. All of this has driven up his insurance prices. Could he have handled it differently?

Mississauga is one of the most expensive cities in the province to insure a vehicle. There is not much getting around that, but there are definitely things that could improve his situation. I passed the story to Debbie Arnold, a broker at Sound Insurance.

While the article says "sPee tickets stay in your ticket for three to six years, and with some insurance companies even 10 years ”, our Guelph driver should be happy if this is wrong. Says Arnold: "Convictions only remain on record in Ontario for 3 years and can therefore only be assessed for 3 years. Only driver's license revocation can be assessed for up to 6 years, according to the standard automotive application in Ontario. ”He will not be plagued by these forever, and if he keeps his balance sheet clean in the future, his interest rates should go down. Important note: The 3 years start on the day of the conviction, not the day you receive the ticket.

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What about those pink panties? The police will know if the vehicle is insured before asking you to show them – they have already run your license plate through their system. No actual insurance means a fine from $ 5,000 to $ 50,000; Forgetting your slip pales in comparison, but the law requires you to have it (unless you have it in electronic form on your phone). A Program introduced created the electronic documentation in Ontario in 2019. According to the government website:

  • Drivers need to ensure they can provide evidence of car insurance regardless of potential issues with a mobile device such as a car. B. poor cellular service, dead batteries or damaged screens.
  • Insurance providers that offer electronic insurance cards must include a lock screen feature. This reduces the risk of other people gaining access to personal information while viewing the electronic insurance card. However, it is still the responsibility of the individual driver to activate the screen lock feature and to ensure that personal information is protected.
  • It is still required by law to have proof of vehicle insurance in the vehicle at all times, be it in paper form or in electronic form. Motorists are required by law to provide a police officer with proof of car insurance if requested to do so.
  • The requirements for proving auto insurance outside of Ontario vary. Motorists are advised to check with their insurance provider with any questions about proof of car insurance before driving outside the province.

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But Arnold has two other important pieces of advice for Mr. Marklton. “That particular person should fight the“ Don't have the insurance card ”tickets and he has the option to open them up for appeal. If he does, he must notify the MTO so that they can be removed from his file pending the appeal. ”Pink slip charges can be reversed if you can show the court that you have insurance.

The second is something we should all be aware of. In 2016, the Minor Collision Guideline was implemented by the Ontario government. “If the damage to the third party (the vehicle of the person Markidon returned to) was less than $ 2,000 and there were no injuries, he could have paid out of pocket and no insurer could rate him for that accident. If the polluter pays for any damage not exceeding $ 2,000 per vehicle, no injuries have occurred, and no payment has been made from an insurance company, the damage cannot be assessed. Drivers are allowed to drive one every 3 years, ”says Arnold.

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This is like a grace clause for times when little harm is done. It's very easy to underestimate the damage that could have been caused by even a slight bump in the parking lot, but it's well worth exploring and you can do it overboard. You can both report to a collision center, but you have the option – legitimately – to pay for it not to stay on your file if it does not exceed these parameters.

2:18 run crash 2:18 run crash Photo by Phil Nicholls

Marchildon is right that our insurance rates are unforgiving, and he also told CTV that he would understand if he was charged with something like stunt driving. The fact is, four minor convictions generate a 25 percent premium and put you in a non-standard market.

“Every airline has specific underwriting guidelines for risks that they don't write. These guidelines are on file with the Financial Services Regulatory Association (FSRA) and cannot be overridden. Most regular freight forwarders will say "One mistake on mistake in 6 years with 2 minor convictions" won't be written, "Arnold says, which means you need to keep your records clean if you live in this province. Speeding that Getting them elsewhere are also covered by reciprocal agreements with most provinces and many American states.You must behave wherever you go.

Talk to a broker. You can really make a big difference in this insurance climate.

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