Although a recent study concluded that Ontario drivers overpaid about $3 billion on their auto insurance, motorists in Alberta also remain fiscally strained: the average 35 year-old man in Edmonton, for example, will pay $1,237 per year for coverage, according to Kanetix.ca.
“Edmonton itself, historically, has likely had a higher incidence of claims. And therefore, when predicting the future, they say we need the premium to cover off the cost of those future claims as well," Kanetix.ca vice-president Janine White told
The Edmonton Sun.
By contrast, the same Canadian man would pay only $1,117 in Calgary, which is the 6
th most expensive city in Alberta. He’d make out even better in Montreal at $714 per year– the most expensive in Quebec, and still lower than the cheapest insurance in Alberta, Lacombe at $753 annually.
Part of the discrepancy could be Alberta’s higher incidences of car thefts.
The Edmonton Sun reports that the city saw a 40% increase in stolen automobiles in the past year, although experts point out that an individual’s premium is primarily based on personal driving history.
Still, almost every city in Alberta fares better than Ontario.
The 35 year-old responsible male who enjoyed paying $1,237 per year in Edmonton would need to pay nearly double that, $2,393, for an auto policy in Brampton. In the Toronto metro area, he’d pay $2,017.
Agents who would like to help clients save money can recommend the following Kanetix-provided tips to consumers:
- Maintain an impeccable driving record
- Combine auto and home insurance to unleash greater discounts
- If discretionary income isn’t a concern, increase deductible to reduce rates
- Consider a usage-based premium
In addition, since commuting time factors heavily into auto insurance risk assessment, Kanetix also suggests that Canadians “…stop driving to work every day either by carpooling, taking public transit, cycling or walking.”
