Types of car insurance in Ajax: mandatory
Ajax car insurance is not optional for drivers. You will need to purchase coverage if you want to get behind the wheel and not be at risk of a fine or losing your licence. In Ontario, drivers must have insurance policies that include four main coverage types, each of which is broken down below:
Third party liability coverage
Liability insurance protects drivers against the cost of property damage or bodily injury if they get into a car accident that is their fault. For instance, if you rear-end someone at a four-way stop, your third party liability coverage would kick in to cover the cost of any applicable vehicle repairs, medical expenses, and even legal fees, if necessary. For your Ajax car insurance policy to be valid, it must have at least $200,000 in third party liability coverage.
Accident benefits coverage
Accident benefits coverage is for when you are involved in an accident that causes bodily harm to another. This type of coverage can pay for medical fees that health insurance does not cover, like physical therapy or prescription drugs, and it can pay for these medical expenses regardless of whether it was the policyholder who suffered an injury or someone else from the accident.
Direct compensation - property damage coverage
Direct compensation - property damage coverage can reimburse you for the cost of repairing your vehicle if it suffered damage in an accident you did not cause. For example, if someone rear-ended you and dented your bumper, you may be able to receive a payout or have repairs completed directly from your insurance company via the direct compensation - property damage portion of your policy.
Uninsured automobile coverage
Uninsured automobile coverage, also known as uninsured motorist coverage, protects drivers in the specific instance that they get into a car accident with a driver who does not have auto insurance. It can also help if the driver you get into an accident with does not have sufficient coverage enough to cover the cost of repairing or replacing a vehicle, or if you do not know the identity of the other driver, in the case of a hit and run.
Types of car insurance in Ajax: optional
Optional car insurance in Ajax may be just as important as mandatory coverage. Though it is not legally required, it offers broader protection that can be worthwhile for many drivers. Take a look at some of the most popular types of optional coverage among Ajax drivers below:
Collision car coverage can reimburse policyholders if they get into a car accident that damages their vehicle. The accident can be with another vehicle, or even an animal or object you encounter on the road, and this type of coverage can be claimed whether you are found to be at fault for the accident or not. While this coverage can be optional, many finance or lease contracts require this coverage for the duration of the loan or lease.
Comprehensive car coverage is also optional but is extremely popular due to the fact that it protects against risks that are not collision-related. For example, with comprehensive coverage, you can receive an insurance payout if your car is stolen or damaged while parked. The only catch is that the loss or damage must have been caused by a named peril in your policy. Named perils range between insurance providers but commonly include fire, falling objects, vandalism, theft, water damage, windstorms, etc. You can also purchase all perils coverage, which combines collision and comprehensive coverage, for the greatest amount of protection.
Accident forgiveness coverage
One more type of optional car insurance coverage popular among drivers in Ajax is accident forgiveness. Accident forgiveness is additional coverage that can be added to your car insurance policy as an endorsement, to protect your driving record and to help prevent your insurance premium from increasing if you have an at-fault accident claim. Note: coverage and eligibility varies by province.
Loss of use coverage
Loss of use coverage, which you may hear referred to as temporary vehicle replacement coverage, can cover you if your car is ever temporarily out of commission and you are forced to rely on an alternate mode of transit. For example, if your car is damaged in a hit and run and it needs to be in the shop for a week, loss of use coverage will reimburse you for any transportation costs incurred during this time. These could include the cost of ride shares like Ubers or Lyfts, public transportation, like bus or subway passes, or even the cost of renting a car for the week.
Calculating the cost of auto insurance in Ajax
How much is car insurance per month in Ontario? If you're an Ajax driver, then you might be wondering this. However, no price is guaranteed until you speak with an insurance company. Why? Insurance companies calculate premiums based on a wide variety of factors. Thus, rates can differ significantly, even among drivers in the same city, such as Ajax. Below is a list of factors that insurance companies are likely to consider when calculating the cost of your Ajax car insurance policy:
- Where you live (and where you regularly commute)
- Model, make, and year of vehicle
- Past claims
- Average mileage
- Driving experience
- Driving record
- Insurance history
- Deductible amount
- Regulatory bodies
- How you use your vehicle
Receive a free quote for a better idea of how much Ajax car insurance will cost you by contacting BrokerLink or using our online quote tool today.
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Filing a car insurance claim in Ajax
Purchasing car insurance means having financial protection if something goes wrong. For example, if you get into a car accident, you will likely need to file a claim with your insurance company. Whether you’ve filed a claim in the past or not, the BrokerLink team has put together this step-by-step guide to preparing and submitting an auto insurance claim in Ajax:
Contact your insurance provider
The first step to filing a claim is to contact your insurance provider. Anytime an incident occurs, it is important to let your insurance company know as soon as possible, ideally within seven days of the accident. From there, your insurer can walk you through the process of filing a claim, which may be different than other insurers.
Gather the necessary information and documentation
The next step is to gather the necessary information and documentation. In other words, it’s time to gather your evidence. This means photo and video footage of the incident, police and witness statements, if applicable, as well as basic information like the date, location, and time of the incident. If you have the contact information of the others involved in the accident, make sure to provide that as well.
Fill out the required insurance claim forms
The next step is when your insurance provider will give you some paperwork to complete. Fill out these forms as carefully and precisely as possible.
Cooperate during the investigation
After you have completed and submitted the relevant forms and information, the investigation will commence. An insurance adjuster appointed by your insurance company will conduct an independent investigation and state their findings, which will determine the fate of your claim. If the insurance adjuster has questions at any point or requires further evidence, do your best to cooperate by responding in a timely manner and giving them what they need.
Receive your payout
If your claim is approved, you will be issued a payout from your insurance company. Depending on the terms, you might be paid by direct deposit or cheque. Note that the entire claims process can take up to 30 days, and receiving compensation can take even longer than this. Alternatively, if your vehicle is repairable the insurance company will pay the repair shop that completes the repairs, less the deductible you are responsible to pay.
If you need help filing a car insurance claim in Ajax, don’t hesitate to contact BrokerLink. We can walk you through the process of filing an insurance claim and give you advice on how to make the process as stress-free as possible.
We’re in your community
BrokerLink is about more than providing Ajax customers with high-quality insurance solutions. We care about the community, which is why we aim to serve and give back to every community we operate in. You can find us at all kinds of local events in Ajax every year, from fundraisers and festivals to marathons, and more. Learn more about BrokerLink’s core values by speaking with a licensed insurance broker today.
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If you’re a member of a group or association, you may be eligible for more discounts.
At Ajax BrokerLink, we’re here to help you with any insurance needs you may have. Whether it’s insuring your home, car, business, recreational items, travel plans, special events, or pets, let us help you find the best coverage possible.
You can reach us by phone, email, or in person at any one of our locations throughout Ontario. No matter how you choose to get in touch, a BrokerLink insurance advisor will be happy to assist you. We also encourage you to take advantage of our free online quote tool that can provide you with a competitive quote in minutes.
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Car insurance Ajax FAQs
If I install snow tires on my car, will I qualify for an Ajax car insurance discount?
Most likely, yes. Winter tire discounts are one of the most popular types of car insurance discounts in Ontario. In fact, insurance companies in the province are legally required to offer this type of discount to any policyholder who meets the conditions. Conditions vary but are generally fairly basic, such as installing the winter tires by a set date each year or making sure that all four tires are the same make and model. Contact your insurance provider if you intend to swap out your summer tires for winter tires.
How do I renew an auto insurance policy in Ajax, Ontario?
Interested in renewing car insurance in Ajax? Renewal processes vary between insurance companies, but to get started, the best thing to do is contact your insurance company or broker and let them know that you would like to renew your policy. Make sure to do this in advance of the expiry date. Otherwise, you risk a lapse in coverage, or having to pay for two separate insurance policies and a gap could lead to an increase in your premium. Plus, even though expired car insurance renewal is possible, it could also put you at risk of driving without car insurance, which is illegal and can have severe consequences.
Do car accidents affect Ajax insurance premiums?
Typically, yes, though it depends on the circumstances of the accident. For example, if you did not cause the accident, then your rates may not be affected. However, if you were responsible for the accident, then your premium is likely to increase upon renewal and may remain higher for several years. In Ontario, accidents remain on driving records for six years. If your car insurance plan features accident forgiveness coverage and this was your first at-fault accident, then your premiums will be unaffected just as if you had not caused the accident at all.
Does Ajax car insurance cover personal items stolen from my car, e.g. wallet, smartphone, or laptop?
In most cases, no. If you have a home insurance policy, it may cover personal belongings being stolen from your car, but it depends on the circumstances surrounding the burglary and the terms and conditions of your property insurance plan. However, generally speaking, car insurance policies do not cover the theft of personal items left in your car. That said, if you add comprehensive coverage to your policy, you can receive a payout in the event that your entire car or a permanent part of your car, like the steering wheel, is stolen. You can also be compensated if your car is damaged by a thief in the act of stealing a personal belonging from your car, such as if they smashed the passenger seat window to grab your wallet. For the broadest possible protection, do some research into the different types of auto insurance available to Ajax drivers.
How can I save money on Ajax car insurance?
Bundling insurance policies, choosing high policy deductibles, installing winter tires on your car, equipping your vehicle with an anti-theft device on your car, buying a car with a high safety rating, and driving responsibly can all lead to lower car insurance rates. Find more safe driving tips here.
Can I buy Ajax auto insurance without an Ontario driver’s licence?
No. You must have a valid driver’s licence in order to purchase car insurance and legally drive in the province of Ontario. You will also need a driver’s licence to register your vehicle with the Ontario Ministry of Transportation, which is also required before getting behind the wheel.
If I let someone borrow my car, does my insurance follow them?
Yes. Car insurance follows the car, not the driver. Thus, if you let someone borrow your car and they get into an accident, your insurance coverage will also cover them. The only exceptions to this are if the person you let borrow your car is an excluded person on your policy or if they were committing an illegal act at the time of the accident, such as drinking and driving.
Can I drive my car outside Ontario with Ajax auto insurance?
Yes, your car insurance will continue to protect you, even if you leave the province of Ontario, so long as you are only driving outside the province temporarily. If you are planning a permanent move, you will need to notify your insurance company. Depending on its services and the areas they operate in, you may have to find a new policy or at the very least, update your coverage to reflect the coverage requirement in the new province you are moving to.
What are the consequences of uninsured driving in Ajax?
The consequences of uninsured driving in Ajax are severe, which is why it is always recommended that you purchase car insurance. Car insurance is designed to protect you, your vehicle, and other drivers on the road. Failure to purchase a policy that complies with Ontario’s minimum coverage requirements could result in a maximum fine of between $25,000 and $50,000, the suspension of your driver’s licence for up to a year, and your vehicle being impounded.
Who do I contact for a free Ajax car insurance quote?
You can contact an insurance company or insurance broker to obtain a free car insurance quote in Ajax. anytime you request a free auto insurance quote, be prepared to answer some questions about your insurance needs, insurance history, the type of car you drive, and more. Nowadays, insurance quotes can be obtained over the phone, online via an insurance company’s website, or in person.
What are the minimum liability coverage requirements for car insurance in Ajax?
Ajax drivers are required to have no less than $200,000 in third party liability insurance. This type of coverage offers financial protection against property damage and bodily injury if you get into an accident that you cause. Failure to carry a minimum of $200,000 in liability insurance could lead to a fine of up to $25,000 for a first offence or $50,000 for a second offence.
Does credit score impact Ajax car insurance premiums?
Your credit score could have an impact on your Ajax car insurance premium, though it depends on the insurance company. Some insurance companies will look at your credit score, among other factors, when setting your premium, while others will not. The reason an insurer might assess your credit score is to gain a better understanding of your financial responsibility. Typically, the higher your credit score is, the cheaper your rates will be. Keep in mind that even if your insurance company takes into account your credit score, this is just one factor of many that they will consider. Other factors that play a major role in determining auto insurance premiums in Ajax include age, location, annual mileage, the type of car you drive, and more.
If you have any questions, contact one of our local branches.
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