Mandatory car insurance in Cornwall, Ontario
Car insurance is compulsory not only in Cornwall but throughout all of Ontario. For this reason, all licenced Cornwall drivers are required to have a valid car insurance policy if they wish to operate their car. In Ontario, a valid car insurance policy is one that abides by the province’s minimum coverage needs for auto insurance. These requirements include a minimum of $200,000 in:
- Third-party liability coverage
- Uninsured automobile coverage
- Direct compensation - property damage coverage
- Accident benefits coverage
Cornwall drivers must have a valid driver’s license in order to purchase car insurance. Motorists will also need to provide their insurance company with a record of their driving history and inform them of anyone else who may be driving their vehicles regularly, such as a spouse or adult child.
Uninsured driver in Cornwall
As you are now aware, car insurance is mandatory in Ontario. Therefore, driving a vehicle without car insurance is illegal. If a Cornwall motorist is pulled over and does not have insurance, they could:
- Be fined between $5,000 and $25,000 for a first offence
- Be fined between $10,000 and $50,000 for a second offence
- Lose their licence for a minimum of 30 days to up to one year (suspension)
- Have their vehicle impounded for up to three months
Plus the Provincial Offense Act will require them to pay an extra 25% surcharge on top of their fine.
Are you in need of car insurance? Contact BrokerLink and we can help you find a policy with the right coverage.
Basic auto insurance coverage in Cornwall, Ontario
All licenced Cornwall drivers must have, at a bare minimum, a car insurance policy that meets the requirements set by the Ontario provincial government. The four types of mandated coverages that make up a basic auto insurance policy include third-party liability coverage, accident benefits coverage, direct compensation - property damage coverage, and uninsured automobile coverage. Keep reading to learn more about each type of coverage and what kind of protection they offer:
Third-party liability coverage
Liability coverage provides protection if you get into an accident that injures another person or results in property damage to another person’s property. Under this portion of your policy, you can receive compensation to pay for medical expenses associated with bodily injuries or repairs of a damaged car, as well as any legal fees or court fees up to the coverage limit. Cornwall drivers are required to purchase auto insurance policies with no less than $200,000 in liability coverage.
Direct compensation - property damage coverage
Direct compensation - property damage coverage protects an insured car and its contents from the costs of property damage. This type of coverage only applies if the policyholder is not at fault for the accident that caused the damage. This type of coverage gets its name from the fact that the insurer typically provides direct payment for the damage caused (such as to repair or replace a vehicle). To receive compensation under the direct compensation portion of your policy in Ontario, the incident must meet the following criteria: it happened in Ontario, it involved multiple cars, and it involved at least one car that participates in the province’s car insurance program.
Uninsured automobile coverage
Uninsured automobile coverage protects you and any passengers in your vehicle if you get into an accident with an at-fault driver who is uninsured or underinsured. This type of coverage also protects in the event of a hit-and-run. Uninsured automobile coverage covers medical expenses relating to injuries, car repairs due to damage, lost wages, and more.
Accident benefits coverage
If you, a passenger or a pedestrian, require medical attention following a collision, accident benefits coverage comes in handy. Protection is offered regardless of which party was at fault for the collision and can help cover loss of income and medical expenses, such as prescription medications, physical therapy, rehabilitation, and more.
Optional car insurance in Cornwall
Drivers in Cornwall, Ontario, can also add-on other types of coverage to their policies in addition to their basic auto insurance policy. While not mandatory, these extra coverages can offer more protection and peace of mind. Some of the more popular optional coverages available in Cornwall are as follows:
If you get into an accident with another car or object on the road, no matter which driver is at fault for the accident, collision coverage can help cover the costs. Under the collision coverage portion of your policy, your insurance company can help pay for property damage that resulted from the collision, such as a damaged vehicle.
For added peace of mind, Cornwall drivers may choose to include comprehensive coverage in their auto insurance policies. While standard auto insurance coverage in Ontario provides some protection against accidents, it does not protect drivers from many other circumstances on the road. For example, if your car is stolen, basic car insurance won’t help. But if you purchase this coverage, you can be protected against everything from theft and vandalism to water damage, fire, and more. This means that if your car was stolen, your insurance company would help cover the costs of replacing it, rather than having to pay for a new one entirely out-of-pocket.
Accident forgiveness coverage
One final type of optional coverage popular among Cornwall drivers is accident forgiveness. Accident forgiveness is additional coverage that can be added to your 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 varies by province.
How insurance companies calculate car insurance rates in Cornwall, Ontario
Ontario insurance companies consider a number of factors when calculating car insurance premiums. Insurers take into account all kinds of details, like age, marital status, vehicle use and more. Cornwall drivers may find it useful to learn which factors matter most so they can better understand their premium. Key factors that impact how much your insurance in Cornwall is are as follows:
- Where you live (and work - if you drive to work)
- Make and model of vehicle
- Past claims
- Annual mileage
- Driving experience
- Driving record
- Prior insurance coverage
- Your deductible
- Local laws
- How you use your vehicle
- Marital status
How you can save money on Cornwall car insurance
At BrokerLink, we believe car insurance should be as affordable as possible. With the help of our knowledgeable insurance brokers, you will be saving money in no time. By knowing the ins and outs of the auto insurance market, BrokerLink insurance advisors shop around and compare several insurance quotes to get you the best insurance rates. Check out our top tips for saving money on Cornwall car insurance below:
Increase your policy deductible
First, consider raising your policy deductible. Having a higher deductible will typically lower your premium. Therefore, it is a quick and easy way to save you some money, as most insurance policies have a deductible and it is up to you to decide what yours will be. Common deductible amounts include $250, $500, $1,000 and $2,000.
While increasing it will likely lower your insurance rate, please only consider doing so if you can afford it. Reach out to BrokerLink to find out more about how increasing your deductible can impact your rates.
Pay annually instead of monthly
Next, consider paying for your policy annually. Most insurance companies have the option of paying in one annual installment or twelve monthly installments. We know it can be tempting to make smaller payments monthly to get it out of the way, but we strongly recommend you pay annually instead. Some insurers charge administrative fees for each payment. Thus, by only paying once, you end up saving money by only paying for one administrative fee.
Bundle multiple insurance policies together
Here's why you may want to bundle your insurance policies together. Insurance companies often reward policyholders with discounts when they hold multiple policies with one company. So if you are looking to purchase home insurance, business insurance, cottage insurance or more, try bundling them together with an insurance company that sells many types of insurance. Or, if you have multiple cars insured at different companies, look into moving them to one company, like BrokerLink, to take advantage of a multi-car discount. You could save up to 15% on each policy.
Buy a hybrid or electric vehicle
Owning an electric vehicle (EV) or a hybrid can save you money while helping the planet. Many insurance providers across Ontario offer discounts to hybrid or EV owners to help incentive more drivers to go green. Owning an EV not only saves you money on gas but also up to 10% on your insurance.
Install winter tires on your vehicle
Let's talk about the importance of putting winter tires on your vehicle. Did you know you could be eligible for an insurance discount of up to 5% just by installing snow tires? While not mandatory in Ontario, insurance companies acknowledge that winter tires have superior capabilities to all-season tires. Snow tires have better traction in snowy and icy conditions, and they brake more successfully on slippery roads, meaning fewer collisions. To learn more about a winter tire insurance discount, speak to one of our insurance brokers today.
Enrol in driving school
Lastly, our tip is specifically for young drivers. Consider enrolling in a recognized Ontario driving school. You'll find several approved driving schools in Cornwall that can teach the rules of the road and defensive driving fundamentals. Insurance companies acknowledge that young drivers who graduate from driving school are generally skilled and safe drivers who know the rules of the road and are more likely to obey them. Therefore, new Cornwall drivers who graduate from an approved driving school in Ontario may be eligible for a discount.
Tips for young drivers in Cornwall, Ontario
It can quickly become overwhelming when you are first learning how to drive. As a young driver in Cornwall, Ontario, it’s essential to learn the rules of the road early on to help you become a safe and responsible driver. Here are a few tips to keep in mind the next time you get behind the wheel:
- Slow down - the more cautiously you drive, the less likely you are to get into a collision.
- Leave ample space - two car lengths of space between you and the vehicle in front of you on a regular road and four car lengths on a highway.
- Minimize distractions - put your phone away and avoid playing with the radio.
- Never drive impaired - never drink alcohol, smoke marijuana or take drugs, including over-the-counter medications or illegal substances, before driving.
Compare car insurance quotes with Cornwall insurance brokers
Did you know that insurance brokers can help you save both time and money? Enlisting help from reputable insurance brokerages like BrokerLink makes insurance shopping hassle-free because they do all of the work for you. BrokerLink insurance brokers will compare quotes on your behalf to find you great coverage at the lowest possible rate.
Read on to learn the top three reasons why you should partner with a registered insurance broker in Cornwall today:
Brokers operate independently of insurance companies
The top reason is that insurance brokers operate independently of insurance companies. This means that BrokerLink can make our customers our number one priority. Our dedicated insurance brokers take the time to understand your lifestyle and budget in order to offer an insurance policy that reflects just that.
Brokers take care of everything
Another reason to work with a Cornwall insurance broker is that they take care of all the nitty gritty details for you. Dedicated brokers like those at BrokerLink will contact insurance companies, obtain quotes, compare coverages, and even unlock discounts, all without you having to lift a finger.
Brokers are insurance experts
Since 1991, the BrokerLink team has been dedicated to finding insurance policies that meet the needs and budgets of our customers. We are experts in all things Cornwall insurance and can ensure you receive the most competitive rate on your policy.
If you have questions about Cornwall car insurance, get in touch with BrokerLink today.
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