Why is Auto Insurance Required and what is covered?
There is a variety of reasons why people need car insurance. Of course it is legislated by the Ontario Government and there is a $5,ooo fine for drivers with no insurance. However, the principle reason people buy car insurance is protection for your automobile as well as yourself from lawsuits due to accidents. Driving without insurance could ruin you financially.
Mandatory car insurance requirements include:
Third Party Liability: it pays for losses you are held responsible for while driving. For example, if you injure another party or damage someone else’s property. This coverage pays for your legal defence as well as any damage awards (up to the limit of the policy).
Statutory Accident Benefits: It pays for medical expenses, income replacement (up to certain limit) and funeral expenses if you are killed in a car accident. These benefits are available regardless of who was at fault for the accident.
Collision: most people carry a $500 deductible. If an accident is your fault, you pay the $500 deductible and the insurance company pays the rest. As your car gets older and depreciates, some people will elect to delete collision, you then become responsible for any damages to your car if you are at fault in an accident.
Comprehensive: most people carry $300 deductible. Comprehensive covers claims for glass, vandalism, fire and theft. As cars get older, some people will also choose to delete this coverage. Another way of decreasing premium is to amend the coverage slightly to Specified Perils; it will only cover fire and theft.
Other: You may also purchase a number of other specific coverages which are available based on your circumstances. Your Utter Morris broker will review these with you and make recommendations. These could include coverage for car rentals, waiver of depreciation for new cars, or increased accident benefit coverage. Experience the Utter Morris difference.
The Utter Morris Insurance Brokers Limited Difference
You may think you want the cheapest insurance you can find, but realize you may not be getting everything you bargained for …
… While most insurance products are similar in price and function, insurance providers are very different when it comes to structuring a policy that actually covers you.
There’s no such thing as a one-size-fits-all insurance policy.
We’re your neighbors. We protect people we know and care about in Burlington, and that means we always look for ways to protect you better, including carefully choosing the insurance companies we represent to be both affordable and responsive.
Click on the quote request button now and let the professionals at Utter Morris Insurance Brokers Limited help you forge the strongest shield possible to help you protect the things you care about most.