Insurance Premiums

June just ended her mobile phone conversation. Her car insurance agent was on the other end. Her face showed disgust. She just had to tell her good friend what had happened. She dialled Jan's number, waited a while, Jan's voice was on the other end.

Term Life Insurance Policy June :"Jan, Ben my car insurance agent cheated me!"
Jan :"What happened June? Ben the one your ex boyfriend introduced to you?"

In Quebec, your basic insurance coverages are provided by two sources; the government agency Société de l'assurance automobile du Québec (SAAQ) and private insurers. The government agency provides coverage for Quebec residents who sustain bodily injury in an accident. This coverage is funded through premiums collected as part of the fees for vehicle registration and driver licensing. All other auto insurance coverages, including the mandatory Civil Liability coverages, are purchased through private insurers.

Life Insurance June :"That's the one. Remember 2 months ago I told you that he quoted me 10% cheaper than what you were paying? I am talking about covering my car against vandalism inclusive. He called me just now to tell me the premium I am paying doesn't cover my car against vandalism. I have to pay 20% more to have it included."
Jan :"That's not nice. You can break it anytime, can't you?"

Regardless of where you may be driving in Canada, if you plan to drive a vehicle on public roads the vehicle must be covered under an insurance policy with certain minimum compulsory coverages. It is the law in all provinces and territories. So where do you go to get a basic auto insurance policy with the coverages you need Well that depends, on which province or territory you're talking about.

Insurance Life Premium June :"Yes, but I will lose something like 20%. I have to check the figure again though. Is your car insurance company good?"
Jan :"My car insurance company is quite reputable. So far their service is good. Want some tips to insure your car the cheap and safe way, June? I got them from my friend in the cooking class."

The freeze applied to premiums collected for mandatory insurance and optional coverages, such as collision and comprehensive. The reforms now in place address the costs of mandatory insurance only, Party Liability ( PD) and Accident Benefits (sometimes called Section B). The optional coverages are not currently capped, however, this does not mean they won't be in future.

Health Insurance Policy June :"Share them with me."
Jan :"Sure. Only deal with reputable companies. They normally wouldn't do things that can harm their good reputation. Shop around, compare and get the best of their quotes."

Your auto insurance is there to protect you against financial loss if you are in an accident. Your auto insurance is, basically, a contract between you and your insurance company. You pay a premium, and in return, the insurer agrees to pay for any losses as they are defined in your car insurance policy. Auto insurance and the law

Health Insurance June :"I should've done that. That's one, the others?"
Jan :"You could raise your deductible, it will reduce your car insurance rate. Try to insure your house, second car, boat...everything with one company. This company will most probably give you its best discount. Show the proof that you have no bad driving record. A good driver gets a lower rate than a bad one. Buy a low profile car that thieves don't find worthy stealing (laugh). The more likely your car is to get stolen the more it will cost to insure. There you go June."

Auto insurance coverage may be standard throughout your province, but insurance premiums are another story. Coverage from one company to the next can vary by hundreds, if not thousands of dollars. The only way to make sure you are getting the best base price for your policy is to compare, compare, compare. Compare car insurance quotes to see if you could save money on your auto insurance premiums. >

Insurance Life Premium Return June :"They are good tips. Thanks Jan, I am feeling better now."
Jan :"You are most welcome, June. Take care."

Whole Life Insurance Policy June decided to learn more about car insurance. She looked up the yellow pages and started dialling.

Auto Cheap Insurance June :"Hi, I am June. I am planning to have my car insured. Can you help me?"
Car insurance agent :"You call the right place mam. What sort of coverage do you plan for your car?"

Insurance Life Premium Whole June :"I still don't know yet. Can you tell me the coverages you can offer, so I can choose later?"
Car insurance agent :"Certainly. We have 'liability insurance', the basis of all auto insurance policies and the minimum required in most states. If you are found at fault in an accident, it pays for the injury and property damage expenses of the third party involved in the accident. Property damage pays for the replacement or repair of anything that was damaged. Bodily injury expenses cover lost wages and medical bills. It is suggested that you buy more than the minimum required by your state, so that you get covered sufficiently should you cause a major accident."

Cheap Home Insurance Policy June :"What about the one that pays for my car repair?"
Car insurance agent :"That's 'collision coverage'. If you're found at fault in an accident, it will cover expenses needed to repair your vehicle. Collision coverage is usually the most expensive component of an auto insurance policy. In cases where the repairs exceed the market value of the car, we would just proclaim your car a 'total loss'. If this occurs, we will pay you the actual cash value, minus the deductable. From there your car is off to an auction where it will be sold for parts or scrap."

Home Insurance June :"How is the actual cash value determined?"
Car insurance agent :"Ok, actual cash value is the value of your car when it is damaged or destroyed. We figure it by subtracting the depreciation from the replacement cost. Depreciation is the decrease in value due to age and wear on vehicle, whereas replacement cost is the amount required to replace your car or repair damages without considering depreciation."

Care Insurance Long Premium June :"What about the one that covers damages caused by earthquake, riot and other non traffic accident stuff?"
Car insurance agent :"That would be 'comprehensive coverage'. It will pay for damages to your vehicle that were not caused by an accident. This includes fire, vandalism, theft, natural disaster, and even animals. Depending on the damage, we will pay the car's worth right before the incident. This is an optional coverage. That's about all, mam. Take your time to think about which one suits you best. Call me whenever you have more inquiries or whenever you have decided to buy one for your car."

Home Owner Insurance Policy June :"Thank you, you are very helpful. What did you say your name was?"
Car insurance agent :"My name is Bon, mam. Bon Bon. You are most welcome."

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