What are the mandatory coverages for minivans?
Each province across the country has its own set of laws that determine what the mandatory car insurance coverages are. In Ontario, there are four types of coverage that are required by law on an automobile policy. They are:
1. Third-Party Liability
This will protect you in the event that someone is injured or killed, or if there is any damage to their property, as a result of an accident that you caused. It will also cover you if you are sued because of damages you caused in the accident, and may pay for the costs of settling the claims.
2. Uninsured Automobile Coverage
Most drivers are responsible and get the right insurance before they hit the road. However, some people are not! This coverage protects you and your passengers if you are involved in an accident with a driver who does not have insurance, or does not have an adequate amount of coverage.
3. Statutory Accidents Benefits
This section of your policy is in place to protect you if you’re injured in a car accident, regardless of who is at fault. Some aspects that this policy could cover can include things like medical treatments, rehabilitation and income replacement benefits.
4. Direct Compensation / Property Damage
If you are involved in an accident where someone else is at fault, this coverage will protect you. You may be covered for the damages to your vehicle and its contents, as well as for loss of use of the vehicle or its contents. Although the damage was caused by someone else, you will collect the compensation directly from your insurance provider.
What additional insurance coverage can I get for my minivan?
There are many additional coverages out there that are not required by law, but that can give you even more peace of mind and protection. Here are a few of the most common coverages that people opt to add into their car insurance policies.
- Collision: This coverage will protect you if your vehicle is damaged due to a hit and run accident. It will also pay for any damages to your vehicle if you are involved in an at-fault collision with another driver or an object.
- Comprehensive: A car crash isn’t the only risk you face when it comes to owning and operating a vehicle. This type of coverage protects you in the event of a fire, theft, vandalism and water damage.
- Accident Forgiveness: If you are involved in your first at-fault accident this coverage will maintain your good driving record for as long as you stay with the same company. Accident forgiveness ensures that your rates will not go up as a result of your first at-fault claim.
- Waiver of Depreciation: This type of coverage is one that you should definitely consider if you are buying a brand new car. With this coverage, you will be reimbursed for the total value of your vehicle without depreciation. In the event of a theft or a total loss claim, you will be reimbursed for the full value of the car when you drove it off the lot.
How much does insurance cost for a minivan?
Minivans actually tend to have lower insurance rates compared to other vehicles. This is due to the fact that minivans are seen as typically “low-risk” vehicles. Minivan owners tend to make less claims than people who own other types of cars. This is generally a result of a few things.
- Firstly, minivans are not typically in a lot of accidents, as the drivers of these types of cars tend to practice safer driving habits and are more cautious when on the road. This is generally due to children being in the car, or the age and experience of the driver behind the wheel.
- Secondly, vehicle theft and vandalism is uncommon with minivans, making the risk of a claim low.
- Thirdly, these types of vehicles have amazing safety ratings. A higher safety rating translates to lower premiums.
- Lastly, minivans are quite common and popular, and have very accessible parts, which makes their replacement cost very low. When a car part is easily accessible, it’s easier and less expensive to repair, making your vehicle lower risk.
Other than the factors mentioned above, there are a variety of other factors that contribute to the cost of insurance. These factors apply to all drivers and all vehicles, and are evaluated when determining your premium rate:
- Your age and gender: On average, women pay less for car insurance than men. Also, older customers also tend to pay less than younger ones. This is all based on statistics and data relating to car accidents.
- Frequency of Use: Your premium will be affected depending on how often you actually drive your car. For example, someone who drives to and from work every day will pay more than a driver who uses transit to commute and only drives on weekends.
- Your driving history: The number of years you’ve had your license, past speeding tickets and accidents will all be considered when determining your rate.
- The area that you live in: Whether you live in Barrie, Peterborough, Hamilton or downtown Toronto will be factored into the cost of your premium.
What are some extra ways I can save on my minivan’s insurance?
Taking advantage of discounts
There are so many discounts available for car insurance in Ontario, some of which you probably already know about, such as the winter tire discount, the multi-vehicle discount and the renewal discount. Be sure to ask your broker about these discounts! There might even be a few more you haven’t heard of.
Increasing your deductible
Insurance is in place in order to cover you for damages and repairs that you could not afford on your own. However, if you decide that you can afford a $1,000 repair job if need be, you can raise your deductible and in turn, lower your premium.
Installing an anti-theft device
Your vehicle will have a lower risk of being stolen if you have one of these devices, which will lower your premium. Even if your car already has an anti-theft device, installing an additional one can provide you with even more discounts. Some examples of these devices include engine immobilizers, car alarms and steering wheel locks.
Reducing your coverage
It’s simple: don’t pay for coverage you don’t need. For example, if you own a vehicle that is worth less than $2,000, you may not need collision or comprehensive damage coverages. This is because any claim you make would probably be less than the actual deductible itself. It’s a great idea to discuss this with a broker! Licensed insurance brokers can go over all your coverages and help you determine exactly what you need.
Looking to insure your family minivan?
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