How Much Is Car Insurance in Ontario After a DUI?

March 19, 2024 Youngs Insurance Brokers BurlingtonLeave a comment

Navigating the intricacies of car insurance is complex enough. However, for drivers in Ontario facing the aftermath of a DUI, the landscape becomes even more challenging.

If you’ve recently been convicted, you’re likely grappling with multiple issues.Ontario’s strict driving laws warrant a granular understanding of how a DUI impacts your car insurance rates and what options exist to get back on the road legally and responsibly.

In this comprehensive guide, we dissect the post-DUI car insurance scene in Ontario. We’ll equip you with the knowledge to make informed decisions and the motivation to steer clear of future incidents, both on and off the road.

Impact of a DUI on Car Insurance Rates

Factors Influencing Premium Increases Post-DUI

Severity of the DUI Offense: Insurance companies assess the gravity of the DUI charge and its circumstances. A major offense can lead to significantly higher premiums.
Driver’s History: A clean driving record prior to the DUI could mitigate the rate increase to some extent, whereas multiple offenses can compound the impact.
Insurance Provider Policies: Each provider has its own set of rules and tolerance levels for high-risk drivers, affecting how much your rates will increase.
Time Since the DUI Conviction: The more time that has passed since the DUI, the lower the perceived risk to the insurer, potentially leading to gradual decreases in premiums over time.

Comparison of Rates Before and After a DUI Incident

To illustrate the stark difference, consider a hypothetical driver in Ontario with a clean driving record. Before the DUI, this individual might pay an average of $1500 annually for car insurance.

Following the incident, the same driver could see their premiums jump to $5000 or more. This increase could persist for several years, the exact duration depending on the details of your policy and the insurer.

The financial impact is staggering, often totaling in the thousands over the newly extended higher cost period. It’s an expense that serves as a potent reminder of the gravity of impaired driving.

Navigating High-Risk Auto Insurance in Ontario

Options Available for Obtaining Coverage After a DUI

Seek Out Specialized Insurers: Look for insurance companies that specialize in high-risk drivers. These providers are more likely to offer coverage and might provide more reasonable rates than standard insurers.
Consider Usage-Based Insurance (UBI): UBI policies use telematics to monitor driving behavior directly, potentially reducing rates if you demonstrate safe driving habits.
Comparison Shopping: Don’t settle for the first quote you receive. Compare rates from multiple insurers to find the most competitive premium for high-risk drivers.
Driving Courses: Completing a recognized driving course can not only improve your driving skills but also demonstrate to insurers your commitment to safer driving, which may help reduce your premiums.
Higher Deductibles: Opting for a higher deductible can lower your premium. However, this means you’ll pay more out of pocket in the event of a claim.
Review and Adjust Coverage: Carefully evaluate your current coverage. You might find areas where you can adjust or reduce coverage to lower your overall costs without compromising your needs.
Timely Payments: Ensure that you make all insurance payments on time. Late payments can negatively affect your insurance score, leading to higher rates.

Strategies to Mitigate Insurance Costs Post-Offense

Maintain a Clean Driving Record: Focus on being a responsible driver in the aftermath of a DUI. Keeping your driving record clean moving forward can significantly help in reducing your insurance rates over time.
Explore Discount Opportunities: Many insurance companies offer discounts for various reasons, such as having multiple policies with them (e.g., auto and home insurance) or installing safety devices in your vehicle. Always ask your insurer about possible discounts.
Regularly Review Your Policy: It’s wise to review your insurance policy annually to ensure it still meets your needs and to check if you qualify for lower rates as time passes post-DUI.
Stay Informed about Changes in Legislation: Insurance laws and policies can change, potentially affecting your rates and options. Staying informed can help you take advantage of beneficial changes.
Consider Legal Consultation for DUI Expungement: In some cases, it might be possible to have a DUI offense expunged from your record, which could positively impact your insurance rates. Consult with a legal professional to explore this option.
Support Groups and Education: Engaging with support groups or enrolling in educational programs about safe driving and the impact of DUI can demonstrate to insurers your commitment to change, potentially influencing your rates positively.

Legal Implications and Requirements

Regulations Specific to Ontario for Drivers with a DUI

Ontario’s legal framework for DUI offenders is stringent. Your driver’s license will likely be suspended, and you may require an ignition interlock device to reinstate it. This device, which tests for alcohol on your breath before allowing the vehicle to start, is mandatory for many convicted of impaired driving.

In addition, Ontario enforces Administrative Monetary Penalties (AMPs), which are financial penalties for certain driving offenses. Impaired driving carries the possibility of hefty AMPs, which are separate from and in addition to any fines or penalties imposed by the court.

Consequences of Driving Without Proper Insurance

One of the starkest consequences of a DUI in Ontario is the difficulty of obtaining insurance. Driving uninsured or with a suspended license not only augments your legal woes but also places you and other drivers at risk.

If you’re caught, consequences range from impounded vehicles to significantly heavier fines. Furthermore, driving uninsured or with a suspended license is recorded on your driving record, compounding the challenge of obtaining insurance down the line.

Conclusion

Post-DUI, the road to recovery is a long and challenging one, especially when it comes to car insurance. Understanding the specific penalties and processes in Ontario is crucial for making sound decisions that’ll affect your financial security and driving future.

While the prospect of high insurance rates might be disheartening, viewing your premium as a reflection of your driving history and making the necessary changes can serve as a powerful motivator to stay on the right track.

Ultimately, responsible driving is not just about avoiding monetary penalties; it’s about ensuring the safety of yourself and others on the road. By adhering to strict safety measures and adopting a cautious approach to driving, you not only improve your insurance eligibility but also contribute to a safer driving environment for everyone in Ontario.

About Youngs Insurance Brokers Burlington

At Youngs Insurance Brokers Burlington, we understand that navigating the world of high-risk auto insurance can be overwhelming. Our team of experienced insurance professionals is dedicated to helping you find affordable options and providing personalized advice every step of the way. Contact us today to learn more about our services and how we can help you get back on track as a responsible driver in Ontario.

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Who Do Auto Insurance Companies See as the Highest Risk?

February 26, 2024 Youngs Insurance Brokers BurlingtonLeave a comment

Every time you step into your car, you’re facing risks that range from a fender bender to a serious accident. For auto insurance companies, it’s all about managing and, when possible, predicting these risks. But who are they really looking out for?

Knowing the factors that can bump you into the high-risk category might also help you make decisions that not only keep you safer on the road but possibly also lower your auto insurance premiums in the long run.

In this extensive exploration, we’ll peel back the layers of what makes a high-risk profile in the eyes of auto insurers and investigate strategies to drive these risks down.

The Anatomy of High-Risk Profiles

Risk, in the context of auto insurance, is not about whether you have an accident or not but about the likelihood and cost of an incident. Auto insurance companies use complex algorithms to calculate risk. These algorithms are heavily influenced by certain key factors.

Age: Young Drivers and the Risk of Inexperience

Insurance companies have long maintained that inexperience behind the wheel is a significant risk factor. Statistics show that young, novice drivers are involved in more accidents than any other age group. The reason is often simply lack of experience and sometimes a tendency to overestimate their driving skills.

Driving Record: A History of Risk

Your driving history is perhaps the most indicative factor of the risk you present on the road. Those with a history of accidents, traffic violations, or DUIs are seen as significantly higher risks than those with clean records. Each infraction adds a layer of risk in the eyes of insurers.

The Vehicle: Horsepower and History

The type of vehicle you drive also influences your risk quotient. Sports cars and other high-performance vehicles, for example, are typically more expensive to insure because they are involved in more accidents and are also more costly to repair.

Location: Urban vs Rural

Where you live can be a major risk factor. Urban areas tend to have more traffic and a higher incidence of theft and accidents, therefore being associated with higher premiums. Rural areas, although not exempt from accidents, typically have less traffic and experience fewer incidents.

Strategies to Mitigate Risk

The good news is that being labeled as high-risk by your insurance provider doesn’t have to be a life sentence. There are several strategies and tools that can help lower your risk and, as a result, lower your premiums.

Defensive Driving: Lowering Risk, Boosting Skills

Taking a defensive driving course can not only brush up on your driving skills but also serve as a tangible sign to your insurer that you’re taking your driving seriously. Many insurance companies offer discounts for completing these courses.

Telematics: The Power of Data

Telematics devices, which monitor driving behavior, have emerged as a game-changer in the industry. By tracking metrics like smooth acceleration and braking, time of day driving, and overall mileage, safe drivers can be rewarded with lower premiums.

Insurance Bundling: A Holistic Approach to Risk Reduction

Bundling your auto insurance policy with other types of insurance, such as homeowners or renters insurance, can often lead to a discount. It’s a win-win for both you and the insurer, as it encourages customer loyalty and the comprehensive coverage further reduces risk exposure.

The Impact on Premiums: What Being High-Risk Means for Your Wallet

The reality of being categorized as high-risk is that it directly impacts what you pay every month for auto insurance. Premiums can be substantially higher, sometimes even double or more, compared to someone with a spotless record. However, understanding these impacts can also help you make informed decisions.

The Fine Print: Surcharge vs. Cancellation

Some insurers may apply a surcharge to your policy if you’re involved in an at-fault accident or commit multiple traffic violations. This means your premium will increase by a certain percentage. However, in some severe cases, you could face the risk of policy cancellation, which can make finding affordable insurance incredibly difficult.

Shop Around: Not All High-Risk Pools Are Equal

If you find yourself in the high-risk category, don’t lose hope. Not all insurance companies handle risk factors the same way, so shop around. There are high-risk insurance companies specifically tailored to customers in these categories, and while they may charge more, the coverage can still vary.

Low-Risk Profiles: A Balancing Act

On the flip side of the risk spectrum are low-risk profiles. These individuals typically enjoy lower premiums and might even benefit from a ‘no-claims bonus’ which sees their premium decrease for every claim-free year. Examining the characteristics of low-risk profiles can provide valuable insight into the behaviors and attributes that insurers find desirable and safer on the road.

The Advantage of Experience: 30-Plus Drivers

After the high-risk early years, drivers in their 30s and beyond often see a significant decrease in premiums. Experience, statistically speaking, results in safer driving practices and fewer accidents.

The Safety of Sedans: Practical Over Flashy

While your heart may long for a sleek sports car, a sensible sedan is the preference of insurance companies when it comes to lower insurance costs. These vehicles are associated with less risk and are often cheaper to insure and maintain.

Clean Records and Calculated Risks

Low-risk individuals typically have pristine driving records. They drive defensively, maintain safe speeds, and generally respect the rules of the road. Their cars are also secure, not just with comprehensive coverage but also with anti-theft systems.

Understanding and Navigating the World of Auto Insurance

Auto insurance can seem like a daunting and complex area to understand. However, by educating yourself on what factors place you in the high-risk category, you can proactively manage your risk and potentially reduce your premiums.

By committing to safer driving practices and taking advantage of available resources such as defensive driving courses and telematics devices, you can demonstrate to insurance companies that you are invested in reducing your risk. Remember, the key to navigating auto insurance is understanding that risk is not fixed, and your actions can influence both your safety on the road and the cost of your premiums.

In conclusion, knowing what factors contribute to a high-risk profile, how to mitigate those risks, and the impact on your premiums is the first step towards informed decision-making. Make it a priority to understand your insurance policy and how these elements interact, and you’ll be better equipped to handle the myriad of situations that driving can throw your way.

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Why Is High-Risk Auto Insurance So Expensive?

January 22, 2024 Youngs Insurance Brokers BurlingtonLeave a comment

High-risk auto insurance, a term that strikes fear in the hearts of many drivers, is well-known for its hefty price tag. But why are these rates so steep? Is it a mere money-making scheme by insurance companies, or is there more to the story? In this blog post, we will delve into the factors that make high-risk auto insurance so expensive. By understanding these complexities, you will be better equipped to navigate the often turbulent waters of auto insurance, potentially saving money and stress in the process.

What Factors Contribute To Being Considered a High-Risk Driver?

Driving Record: A history of traffic violations, at-fault accidents, or DUI convictions significantly increases a driver’s risk profile.
Age and Experience: Young and inexperienced drivers, typically under the age of 25, are more likely to be involved in accidents and are therefore considered high risk.
Credit Score: A low credit score can indicate a higher risk to insurance companies as it may signify a lack of financial responsibility.
Vehicle Type: High-performance or luxury vehicles are more expensive to repair or replace, making their owners high-risk clients.
Location: Living in high-traffic urban areas or regions with high crime rates can also increase a driver’s risk level.

The Financial Consequences of Being Labeled as High-Risk

Being labeled as a high-risk driver comes with significant financial implications, making auto insurance a substantial expenditure. Here are a few key consequences:

Increased Premiums: High-risk drivers usually face higher insurance premiums as insurers consider them more likely to file claims.
Limited Options: Many insurance companies refuse to insure high-risk drivers, leading to a limited choice of providers.
Additional Fees: There may be additional fees associated for high-risk drivers, such as a higher deductible or charges for accidents or violations.
Difficulty in Getting Coverage: High risk drivers may encounter challenges in securing adequate coverage due to their perceived riskiness.
Potential for Non-Renewal or Cancellation: If a high-risk driver continues to engage in risky behavior, the insurance provider may opt not to renew the policy or even cancel it.

How To Lower Your Risk and Potentially Decrease Your Premiums

While being labeled a high-risk driver can lead to increased costs and limitations, there are several steps you can take to lower your risk profile and potentially decrease your insurance premiums:

Improve Your Driving Record: Avoid speeding, follow traffic rules, and drive responsibly to reduce the chance of accidents and violations.
Enroll in a Defensive Driving Course: Many insurance companies offer discounts to drivers who complete approved defensive driving courses.
Maintain a Good Credit Score: Regularly check your credit report, pay your bills on time, and manage your credit smartly to maintain a good credit score.
Choose a Safer Vehicle: Opt for a vehicle that is less expensive to repair and is not a high theft target.
Limit Your Mileage: If possible, reduce your daily commute or consider carpooling to reduce the risk of accidents and decrease your premiums.
Shop Around: Regularly review your insurance policy and compare it with offerings from other insurance providers to ensure you’re receiving the best rate possible.
Improve Your Lifestyle: Quitting habits like smoking or excessive drinking can also positively influence your risk profile.

Remember, change takes time. By taking these steps, you are not only improving your driving habits but also setting yourself on a path to lower insurance rates.

The Importance of Shopping Around for the Best Rates

Compare Multiple Providers: Different insurance companies may evaluate risk factors differently, so it’s beneficial to get quotes from a variety of providers.
Ask for Discounts: Don’t hesitate to ask about discounts that may be available. For example, some insurers might offer savings for no claims, having multiple policies, or for installing safety features in your vehicle.
Use Comparison Websites: These websites can simplify the process of comparing rates from different providers. Ensure that you’re comparing similar coverage levels to get accurate comparisons.
Consider Insurance Costs When Buying a Vehicle: Keep in mind that some cars are more expensive to insure. Before purchasing a new vehicle, research its average insurance costs.
Work with an Independent Agent: Independent insurance agents can help you navigate the insurance landscape, offering advice and helping you to find the best deal.
Periodically Review Your Policy: As your life changes, so do your insurance needs. Regularly revisiting your policy can ensure it still provides the coverage you need at a price that’s fair.

Tips for Managing the Cost of High-Risk Auto Insurance

Dealing with high-risk auto insurance can be a daunting task, but there are several strategies that can help manage the cost:

Increase Your Deductible: While this means you’ll pay more out of pocket if you have an accident, it can substantially lower your premium.
Maintain Continuous Coverage: Avoid gaps in your insurance coverage. Companies often charge more if you’ve had periods without insurance.
Monitor Your Credit Score: Insurers often use credit information when pricing policies. Regularly monitoring and improving your credit score can potentially reduce your premium.
Bundle Your Policies: If you have multiple types of insurance (like home, auto, and life), consider bundling them with the same provider to get a discount.
Look for High-Risk Specialized Insurers: Some insurance companies specialize in high-risk insurance and may offer competitive rates.

Remember, being labelled as a high-risk driver is not a permanent status. By focusing on safe driving and maintaining a clean record, you can eventually move into a lower-risk category, which will significantly reduce your insurance costs.

The Impact of Credit Score on Insurance Rates and How To Improve It

Your credit score plays a crucial role in determining your auto insurance premiums. Insurance companies use credit-based insurance scores, which consider your credit history, to predict your likelihood of filing a claim. A higher credit score often correlates with lower risk, leading to lower insurance premiums. On the other hand, a lower credit score suggests higher risk, resulting in higher insurance premiums.

If you have a low credit score, improving it can lead to substantial savings in your auto insurance. Here are some strategies to improve your credit score:

Pay Your Bills on Time: Late or missed payments can significantly harm your credit score. Strive to pay all your bills in full and on time.
Reduce Your Debt: High levels of debt can negatively affect your credit score. Aim to pay down your debt as much as possible.
Limit New Credit Requests: Each time you apply for new credit, an inquiry is made on your credit report which can lower your score. Limit your new credit requests and only apply for credit when necessary.
Check Your Credit Report Regularly: Regularly review your credit report to identify any errors that could be negatively impacting your score. If you find any inaccuracies, dispute them with the credit reporting agency.

Remember, improving your credit score takes time and consistency. By adopting these strategies, you can gradually improve your credit score and potentially lower your high-risk auto insurance premiums.

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How Can I Lower My High Risk Insurance?

January 1, 2024 Youngs Insurance Brokers BurlingtonLeave a comment

Navigating the road of car insurance can feel just as harrowing as a bumper-to-bumper commute. This is especially true if you are labeled a “high-risk” driver, sending your insurance premiums rocketing skyward. But don’t despair, being tagged high-risk isn’t the end of the road. There are steps you can take to lower your premiums and move towards a brighter insurance future. Buckle up as we explore practical strategies to help you lower your high-risk car insurance.

Review Your Driving Record

One important step to lowering your high-risk insurance is reviewing your driving record. Make it a habit to request a copy of your driving record from your local Department of Motor Vehicles. This record shows your driving history, including any tickets, violations, accidents, and points.

It is the mirror through which insurance companies see your driving habits. Understanding what’s on your record can help you identify areas for improvement and take active steps to become a safer driver. Remember, the fewer the infractions on your record, the better your insurance rate.

Steps to Take To Improve Your Driving Record

1. Enroll in a Defensive Driving Course: Many insurance companies offer discounts to drivers who have completed an approved defensive driving course. Not only can this lower your insurance premiums, but the course can also teach you valuable skills to avoid accidents and violations in the future.

2. Practice Safe Driving: The simplest way to improve your driving record is by practicing safe driving. Follow all traffic laws, avoid speeding, and always drive sober. Consistent safe driving will gradually clear infractions from your record, reducing your premiums.

3. Consider a Car with Safety Features: Safe, modern cars equipped with features such as anti-lock brakes, rear-view cameras, or advanced airbag systems may qualify for insurance discounts.

4. Limit Your Mileage: The less you drive, the less likely you are to have an accident. If possible, reduce your driving or consider carpooling, using public transit, or even biking to work. Insurance companies often offer low-mileage discounts to drivers who don’t spend much time on the road.

5. Improve Your Credit Score: Many insurance companies use your credit score as an indicator of risk. By paying your bills on time and reducing your debt, you can improve your credit score and, in turn, lower your insurance premiums.

Improve Your Credit Score

Improving your credit score is a proactive way to lower your insurance premium. The first step is understanding your credit report, which can be obtained for free from major credit bureaus. Analyze your credit report carefully for any errors or discrepancies and report them immediately.

Next, focus on minimizing your debt by paying off outstanding balances and avoiding unnecessary credit or loan applications. Make it a habit to pay bills on time and, if possible, pay more than the minimum amount due. Establishing a healthy credit history not only makes you more appealing to lenders but also makes you less of a risk in the eyes of insurance companies.

Maintaining a good credit score may require discipline and time, but the benefits extend beyond insurance premiums to every aspect of your financial life.

Tips for Improving Credit Score

1. Pay Bills on Time:

One of the most effective ways to improve your credit score is to consistently pay your bills on time. Late or missed payments can significantly damage your credit score. Setting up automatic payments can ensure you never miss a due date.

2. Keep Credit Card Balances Low:

Credit utilization, or the percentage of available credit you’re using, is a major component of your credit score. Keeping your credit card balances low can reduce your credit utilization and improve your credit score.

3. Don’t Close Old Credit Cards:

The length of your credit history can impact your credit score. Even if you don’t use a credit card often, keeping it open can extend your credit history and potentially improve your credit score.

4. Limit New Credit Applications:

Every time you apply for credit, a hard inquiry is made on your credit report, which can lower your score. Limiting new credit applications can help maintain your score.

5. Regularly Monitor Your Credit Report:

Regularly monitoring your credit report can help you identify errors or signs of fraud that could hurt your score. If you spot any inaccuracies, report them to the credit bureau immediately.

Bundle Your Insurance Policies

Another effective strategy for lowering your high-risk insurance premium is to bundle your insurance policies. Many insurance companies offer multi-policy discounts to customers who purchase more than one type of insurance policy from them. This could include combining your auto insurance with homeowners, renters, or life insurance.

Bundling policies not only simplifies the management of your insurance, but it can also result in substantial savings. However, it’s crucial to compare the cost and coverage of bundled insurance with individual policies from other providers to ensure you’re truly getting the best deal. And remember, every insurance company is different, so what works for one may not work for another. Take the time to shop around and find the right fit for your needs.

Look For Discounts

Insurance companies often provide various discounts that can significantly reduce your premium. While some discounts are automatically applied based on your profile, others need to be requested. Here are some common types of discounts to look for:

1. Good Driver Discount:

If you have a clean driving record, meaning no accidents or traffic violations, you might qualify for a good driver discount. Typically, you’ll need to maintain a clean record for a certain period, usually three to five years.

2. Multi-Vehicle Discount:

If you insure more than one vehicle with the same company, you could qualify for a multi-vehicle discount.

3. Student Discount:

Full-time students with good grades may qualify for a student discount. The specifics vary by company, but typically, a “B” average or better is required.

4. Military or Affiliation Discounts:

Some companies offer discounts to active duty military, veterans, and members of specific professional organizations or affiliations.

5. Paperless Billing and Automatic Payments:

Switching to paperless billing and setting up automatic payments can also fetch you discounts with some insurers.

Remember, not all insurance companies offer the same discounts, and eligibility rules can vary. It’s important to ask your insurance provider about any potential discounts you may qualify for. Better yet, shop around with multiple insurers to find the most comprehensive coverage at the lowest price.

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How Long Are You a High Risk Driver in Ontario?

December 4, 2023 Youngs Insurance Brokers BurlingtonLeave a comment

Navigating the complex landscape of automobile insurance in Ontario can be a daunting task, particularly if you’ve been labelled a ‘high-risk’ driver. This status can significantly impact your insurance premiums and the availability of coverage options. But how long does this ‘high-risk’ label stick with you, and more importantly, what can you do about it?

This blog post aims to demystify these questions and provide pragmatic advice for ‘high-risk’ drivers in Ontario. Buckle up as we delve into the intricacies of high-risk auto insurance and help you navigate the road ahead.

Understanding High Risk Status in Ontario

In Ontario, a driver can be labelled as ‘high-risk’ due to several reasons, each carrying its own weight in determining the length of time you retain this status. Here’s a quick rundown:

Traffic Violations: Serious or repeated traffic offences can place you in the ‘high-risk’ category. This can include speeding, reckless driving, or driving under the influence. The severity and frequency of these violations play a significant role in determining the duration of your high-risk status.
At-Fault Accidents: Being at fault in multiple accidents in a short period also tags you as a ‘high-risk’ driver. The more at-fault accidents you’re involved in, the longer you may remain in this category.
Insurance Lapses: A history of insurance policy cancellations or lapses is another contributing factor. Insurers view consistent coverage as a sign of a responsible driver, so any gap in your insurance history could raise red flags.

Remember, the duration of the ‘high-risk’ status depends heavily on your subsequent behavior on the road and adherence to traffic laws. Demonstrating a consistent pattern of safe driving can help you move out of this category and back into standard coverage.

Reasons for Becoming a High Risk Driver in Ontario

Young or New Drivers: Inexperience on the road can also factor into a high-risk designation. Young or new drivers are statistically more likely to be involved in accidents due to their lack of experience. Insurance companies often classify these drivers as high-risk, especially if they have other violations or at-fault accidents on their record.
Poor Credit History: In some cases, your financial behaviour can influence your risk status. Insurance companies may consider drivers with poor credit history as high-risk due to a perceived lack of responsibility.
High Performance Vehicles: Owning and driving a high-performance or luxury vehicle could potentially place you in the high-risk category. These cars are more likely to be involved in speed-related accidents and are also more expensive to repair or replace, making insurance companies wary.
Living in High Crime Areas: Your residential location can also impact your risk status. If you live in an area where car theft or vandalism is common, insurance companies may consider you a high-risk driver.

The Time Frame for Being Classified as a High Risk Driver

The time frame for being classified as a high-risk driver in Ontario largely depends on the reason you’ve been assigned this status. For instance, convictions for severe traffic violations like impaired driving can keep you in the high-risk category for up to six years. For less severe convictions like speeding or other moving violations, the duration may range from two to three years.

If you’re deemed high-risk due to at-fault accidents, this status typically lasts for six years. Young or new drivers are usually considered high-risk until they have accumulated enough experience, often a period of about six to ten years with a clean driving record.

Lastly, a poor credit history or living in a high crime area can affect your risk status until the underlying issue is resolved. Always remember, the duration is not set in stone and varies depending on your actions and improvement over time.

Steps To Take to Reduce Your Insurance Premiums When You Are High Risk

While being labeled as a ‘high-risk’ driver can be disheartening, there are several proactive steps you can take to reduce your insurance premiums:

Improve Your Driving Record: The most effective way to lower your risk status and, subsequently, your insurance premium is by driving safely. Avoid speeding, reckless driving, and other traffic violations. The cleaner your record, the more likely you are to shed the ‘high-risk’ tag.
Attend a Driver’s Training Course: Completing a recognized driver’s training course can demonstrate your commitment to safe driving. Insurance providers often consider this when determining your risk status and premium.
Maintain Continuous Insurance Coverage: Avoid lapses in your insurance coverage. Consistent coverage can be seen as a sign of responsibility, which can influence your risk status and premium cost.
Pay Your Bills On Time: Having a good credit history can also help. By paying your bills on time, insurance companies may deem you as being responsible, which can positively impact your risk status.
Change Your Vehicle: If you own a high-performance or luxury vehicle, consider switching to a more modest, safer one. This can significantly reduce your risk status and hence, your insurance premium.
Install Safety Devices: Installing safety devices such as anti-theft alarms or dash cams in your car can help reduce your premium as it lessens the risk to the insurance provider.

Remember, the key is to demonstrate responsible and safe behavior consistently. Over time, this can lead to a reduction in your ‘high-risk’ status and subsequently, lower your insurance premiums.

Finding Affordable Car Insurance When You Are High Risk in Ontario

Shop Around: Different insurance companies may have different criteria for what constitutes a ‘high-risk’ driver. It’s worth taking the time to compare quotes from various providers to find the most affordable option.
Consider High-Risk Insurance Companies: Some insurance companies specialize in providing coverage to high-risk drivers. These providers might offer more competitive rates than standard insurance companies.
Opt for Higher Deductibles: Choosing a higher deductible could result in lower premium costs. However, this means you’ll have to pay more out-of-pocket if you’re involved in an accident, so it’s essential to strike a balance that fits your budget.
Take Advantage of Discounts: Many insurance companies offer discounts for various reasons, such as completing a driving course, installing safety devices in your vehicle, or bundling your auto insurance with other types of insurance from the same provider.
Maintain a Clean Driving Record: Ultimately, the best way to secure affordable insurance as a high-risk driver is to improve your driving habits. A clean driving record can significantly reduce your premiums over time.

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Everything You Need to Know About Traffic Convictions in Ontario

October 13, 2023 Youngs Insurance Brokers BurlingtonLeave a comment

Traffic convictions have a significant impact on your car insurance rates, based on the severity of the conviction. There are three main tiers of traffic convictions: minor, major, and severe (criminal). Understandably, many drivers will get one or two minor convictions here and there. However, the major and severe convictions are the ones to avoid, as they can take a toll on your insurance rates.

The following are some of the notable factors to keep in mind:

Whats the Difference Between a Ticket and a Conviction in Ontario

There’s a difference between getting a ticket and a conviction. A ticket is what you get when you’re pulled over by law enforcement for violating a traffic rule. A conviction, on the other hand, is when you’re found guilty of this violation.

A traffic violation typically remains on your driver’s record for 3 years from the date you got the conviction, not the date you were given the ticket. The date you’re officially convicted can be the day you paid your ticket, the day you were found guilty in court in case you choose to dispute the ticket, or the day you plead guilty to the violation without disputing the ticket.

Most insurance companies tend to focus on the conviction dates when deciding whether or not to insure you and your vehicle. They will always assess the risk factors. As such, the more convictions you have, the higher the risk you bring, and the more you will likely pay to insure your car. The same applies to the severity of your conviction.

For instance, if you were caught using your mobile phone while driving, which is generally considered a major infraction by most insurance companies. Consequently, a conviction will affect you just as much as having multiple minor convictions.

Insurance Companies Only See Your Convictions in Ontario

Insurance companies will only see your convictions if you tell them, or if they pull a copy of your driver’s abstract and your infractions are listed there. Nonetheless, it’s recommended that you disclose all your convictions to the insurance company because if you fail to do so, and they end up being discovered, your policy might get canceled.

Most insurance companies usually wait until the next time they have to renew your policy to pull your report or add a conviction. So, you won’t see a midterm increase in your premiums. But if you accrue too many convictions within a policy term, it may cause the company to refuse to renew your policy, meaning they won’t offer to continue covering you and your vehicle for another term.

Some of the most common convictions that we come across on drivers’ abstracts are speeding (49 km/h or less above the posted speed limit), failure to carry your insurance card, failure to obey a traffic sign, failure to wear a seatbelt, etc. All these are considered minor convictions.

Examples of major convictions include speeding (driving 50 km/h above the speed limit), using a handheld device while driving, and failure to stop for an emergency vehicle or school bus. A few criminal convictions that can be found on a driver’s report include driving with a suspended license, driving under the influence of drugs or alcohol, and driving without insurance.

Keep in mind that if you have no convictions on your record, you may be entitled to a discount on your car insurance. While the addition of one minor ticket to your driving record might not lead to a significant change, you could see a slight increase in your premiums since you’ll have lost your conviction-free discount.

Some insurers offer conviction protection coverage. Just as with accident forgiveness, this coverage lets you, for one time only, get a ticket without affecting your premium whatsoever. But when you use this coverage, it will be removed from your policy. Unfortunately, not all companies offer this, so be sure to ask your broker or agent for more information.

Convictions and tickets are often associated with gaining demerit points. Note that demerit points usually don’t affect your insurance, but they will affect your license status. Consider checking up our province’s website to learn more about the ins and outs of this.

Convictions are preventable. But if you end up getting one, don’t forget that it won’t stick around forever. Plus, if you do get a ticket, consider contacting your insurance agent or broker to discuss. We can provide you with detailed information about how the conviction will affect you. We can double-check with the insurance companies, while most other third parties cannot. We are always more than happy to help. Feel free to get in touch if you have any questions.

Reach out to us at 1(905) 335-6925 for a free estimate.

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How High Risk Car Insurance Works in Ontario

September 8, 2023 Youngs Insurance Brokers BurlingtonLeave a comment

How High Risk Car Insurance Works in Ontario

Insurance providers tend to charge higher premiums for high risk drivers as they anticipate filing more claims than average. You can avoid becoming high-risk by staying out of trouble while driving and keeping your rates as low as possible.

Standard auto insurers usually allow one at-fault accident before considering you high risk, however multiple traffic tickets or gaps in coverage could push you into that category.

What Is a High-Risk Car?

Auto insurance companies use risk analysis to determine the cost of providing car coverage. Drivers involved in at-fault accidents, DUI/DWI convictions or with past lapses in coverage could be considered high-risk and may pay more for auto coverage than drivers with spotless records.

On average, one at-fault accident will increase your car insurance rates by 50%; depending on its type and if there was bodily injury involved, premiums could go even higher. Receiving multiple speeding tickets may also raise premiums as each violation adds points towards becoming a high-risk driver and raising car insurance rates accordingly.

If you’re charged with a major traffic violation such as DUI or hit-and-run, such as these will appear on your driving record for several years.

Geico stands out as an insurer that consistently offers low rates to high-risk drivers with an at-fault accident, DUI charge or history of car insurance lapses. Other insurers such as The General, State Farm and Good2Go offer affordable policies as well. Some agents or brokers also provide nonstandard car policies which might provide more suitable solutions.

How Do You Identify a Risk Driver?

Insurance costs more for high-risk drivers because they are more likely to file claims. Exact rates will depend on your state and insurer; typically 10%-50% more than what a lower risk customer would pay.

An array of factors can determine whether or not you’re considered a high-risk driver, including age, multiple traffic violations or at-fault accidents and having low credit. Furthermore, newly licensed drivers or those without car insurance for extended periods could also be considered high risk drivers.

Your insurance rates can be significantly decreased and avoid being classified as high-risk drivers by taking steps such as improving your credit score and shopping around for cheaper rates. Furthermore, taking defensive driving courses or maintaining a clean record throughout your policy term may also help.

Geico and State Farm may offer high-risk policies; otherwise, nonstandard providers or residual market plans might provide better options. While these may be costly, these plans often offer tailored coverage according to your individual needs with provisions like step-down provisions that reduce liability coverage amounts in case another driver uses your car.

What Makes You a High Risk Car Driver in Ontario?

Being labeled as a high risk driver can have devastating repercussions for your car insurance. Being classed as such could mean higher premiums or even denial to renew. Although each insurance provider uses different criteria when classifying high risk drivers, there are certain common traits which could put you into this category.

Driving Record: Traffic tickets, at-fault accidents and other incidents on your record can impact car insurance rates significantly; more incidents equal higher risk.

Age: Young drivers, particularly those just getting their license, can often be considered high-risk drivers due to a lack of driving experience and the higher likelihood they face of making errors behind the wheel that could cause collisions.

Vehicle Types: Your type of car can also have an effect on your insurance rates, with luxury or modified performance vehicles likely costing more to insure than others.

Other factors that could land you in the high-risk category include criminal speeding, road rage and hit-and-runs. It is possible to move out of this category by adopting safer driving habits and maintaining a clean driving record; however, this process takes time. If traditional auto insurance cannot provide enough coverage for you, facility insurance may provide some financial relief; facility insurers pool funds together in an insurance pool exclusively designed to meet those with no access to traditional policies.

How Can I Reduce My High-Risk Insurance?

Car insurance is a necessity for most drivers, but finding affordable coverage can be more challenging if your driving history includes violations and accidents. Drivers needing high-risk auto insurance are usually required to sign up with assigned risk plans offered through their state Department of Insurance; this type of policy pools together other overly-risky drivers into an insurance pool to share premium costs among participants. Although assigned risk plans tend to cost more than standard auto policies, there may still be ways you can save money on premium costs.

Car insurers use multiple factors to evaluate how risky you are, including age, driving record, credit score and zip code – even your car’s safety ratings and theft protection features can have an effect. While you cannot control age or your tickets/accident history directly, there are things you can do to reduce premium costs:

Start by gathering quotes from multiple providers offering high-risk auto insurance. Compare rates for similar coverage levels so that you have an idea of what each provider can provide you. Also consider increasing your comprehensive or collision deductible in order to lower premiums – though be wary as this could increase out-of-pocket expenses should a claim occur.

Reach out to us at 1(905) 335-6925 for a free estimate.

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How to Get High Risk Auto Insurance in Ontario Canada

September 8, 2023 Youngs Insurance Brokers BurlingtonLeave a comment

How to Get High Risk Auto Insurance in Ontario

Finding affordable car insurance premiums when classified as a high risk driver can be challenging. But there are ways you can cut down costs – like using a high risk broker.

Work to improve your driving record to help move yourself back down into lower risk categories.

What Makes You a High Risk Driver?

Insurance companies classify drivers who pose high risks for any number of reasons. This could include accidents and multiple traffic violations on their record or simply due to being inexperienced drivers or being young drivers.

Driving convictions such as DUI or impaired driving are considered high-risk by most insurance providers. Even minor convictions such as distracted driving or speeding can put drivers into this risk category.

Assumptions that make someone a high risk driver include lying to your auto insurance provider or missing premium payments and thus having their policy cancelled. Furthermore, living in dangerous areas or owning expensive cars which are more prone to theft could put one in this position as well.

While finding affordable car insurance as a high-risk driver may seem challenging, it is possible to secure policies at competitive rates. Comparing policies and bundling discounts may help lower your rate; additionally there may be ways you can improve your driving record which could result in lower premiums in the future.

How Long Are You a High Risk Driver?

Many drivers fall into the high risk category for non-driving-related reasons, such as missing premium payments which lead to policy cancellation or providing false information on their car insurance application. When this occurs, these drivers are immediately placed into this high-risk group until their record has been cleared up.

Once a driver enters the high risk market, finding affordable car insurance in Ontario may become more challenging. There are ways to cut costs such as taking a defensive driving course and maintaining high credit scores; as well as knowing when tickets and accidents will fall off of their records. When shopping around for insurance rates it is essential that drivers know when tickets and accidents will drop off their record and how to shop around for better deals.

One effective strategy to help lower the cost of high risk car insurance is bundling your auto and home policies together, which could yield savings of up to 10%. Another method for saving money would be raising your deductible amount which reduces what you owe in case of an insurance claim.

How Long Does High Risk Insurance Last?

Auto insurance is a pool of money designed to pay out claims resulting from accidents. As more drivers pay out claims, their premiums increase proportionately.

Most individuals will only be considered high risk for a short while. If they can remain accident- and traffic violation-free for at least three to six years, their rates should go down accordingly.

If a driver’s risk profile exceeds that of most insurance providers, Facility Association provides coverage. They operate like a pool to ensure high-risk individuals receive coverage without incurring higher premiums from elsewhere.

When searching for high-risk car insurance, it’s essential to compare quotes from various providers in order to find the appropriate policy. Furthermore, consider looking at their reputation and scope of coverage, cost-saving measures like bundling policies together or usage based insurance (UBI), bundling options or cost savings as means for cost savings – with careful research and knowledge, Ontario residents can easily find affordable and reliable high risk auto coverage.

How Far Back Do Car Insurance Companies Look?

An auto insurance provider will conduct a driving record check during the application process, with your consent. They typically look back three years for accidents and moving violations.

Accidents or multiple violations on your record could qualify you as high-risk driver; however, this status isn’t permanent and if you improve your driving habits and clear up past violations you could qualify for regular auto insurance again.

In the meantime, high-risk coverage can keep you and other drivers safe on the road. When selecting an insurer it’s essential to do your research thoroughly in terms of its reputation, customer service quality and cost saving features – this way you will receive the best deal.

Defensive driving courses and bundling your auto and home policies together may help lower rates, while selecting full pay or higher deductible policies are also ways to save. At KBD Insurance Services Ltd in Canada we have over four decades of experience offering home, auto and business policies at reasonable rates for high risk drivers in Ontario.

How Does High-Risk Insurance Work?

High risk drivers can find themselves paying much higher car insurance premiums due to various circumstances. Common examples include being convicted of DUI or receiving multiple tickets; at-fault accidents may also increase premiums. Each situation varies; it all depends on how severe violations were and other contributing factors involved.

Drivers do have options available to them for lowering high-risk insurance premiums over time, however. They could attend a defensive driving course or improve their credit score to qualify for standard car insurance policies; additionally, trying to avoid accidents or traffic violations could lower premiums when it’s time to renew them.

Paying extra for car insurance might seem like an unfortunate expense, but having some coverage is better than none at all. Make sure to shop around and compare quotes from both standard and non-standard insurers so you get the best deal for your coverage.

Reach out to us at 1(905) 335-6925 for a free estimate.

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Does A Speed Camera Ticket Affect Car Insurance?

January 24, 2023 Youngs Insurance Brokers BurlingtonLeave a comment

If you’ve been caught speeding by a camera, you’re probably wondering if your car insurance rates will go up. The good news is that in most cases, a speed camera ticket won’t have an impact on your car insurance rates. However, there are some exceptions to this rule, so it’s important to check with your insurer to be sure. Read on to learn more about how speed camera tickets can affect your car insurance.

What Is a Speed Camera Ticket and How Much Does It Cost?

A speed camera ticket is a type of citation for violating the speed limit in a particular area and is usually issued by an enforcement officer, or sometimes automatically by certain cameras. Depending on where you are when you get caught speeding, the cost of a speed camera ticket can vary greatly.

Generally, price ranges from a low of $50 to upwards of $1000 depending on how fast you were going and how serious the violation was. Furthermore, points may be added to your traffic record which can result in additional monetary costs associated with insurance premiums.

How Does a Speeding Ticket Affect Your Car Insurance Rates?

Getting a speeding ticket can have many implications beyond the fine you may be required to pay. It can also cause your car insurance rates to increase significantly. In most cases, an infraction as small as five mph over the speed limit will have an effect on your car insurance premium. Insurance companies view these types of violations as high-risk behaviour, especially when considering whether or not to offer you coverage or renew an already existing policy.

Moreover, if there is a pattern of reckless driving, your premiums can be drastically increased or you may even be denied coverage entirely. When driving, it is important to be mindful of the law and abide by posted speed limits in order to minimize any potential increases in car insurance rates after receiving a speeding ticket.

Is There a Way to Avoid an Increase in Your Car Insurance Rates After Getting a Speeding Ticket?

Receiving a speeding ticket can be an expensive and damaging experience, with many drivers concerned that their car insurance rates could increase due to the citation. The good news is that there may be ways to avoid or at least limit the effects on your insurance premiums. Some insurance providers offer an “accident forgiveness” program, where they decide not to increase rates after a first offense.

Additionally, opting for defensive driver courses or traffic school courses often results in the dismissal of points against your license and no insurance rate hikes. Though these options won’t always guarantee a discount, it’s certainly worth considering as a way of avoiding from any drastic increases in your insurance costs down the line.

If You Have Already Gotten a Speeding Ticket, What Can You Do to Minimize the Impact on Your Car Insurance Rates?

If you’ve already received a speeding ticket, there are a few steps you can take to minimize the impact that it has on your car insurance rates. Increasing your deductible can help lower your premium – if you choose to increase it, make sure you have enough money set aside in case of an emergency. Being more aware of consequences and staying on top of any new developments in road safety is important because insurers will see that you are making an effort to become a safer driver.

You might also inquire with multiple providers and compare rates to get the best deal available; if they see that other companies offer better options, many insurers will be willing to match the rate or offer something close. Finally, taking a defensive driving course could help prove to your insurer that you take safe driving seriously and are invested in becoming a more responsible driver.

About Us

Speed camera tickets are costly, but the resulting hike in your car insurance rates doesn’t have to be. There are ways to avoid an increase, or at least minimize the impact, and we’ve outlined them for you here. If you have any questions or need help finding the best car insurance rate for your situation, don’t hesitate to reach out to us. We’re always happy to help. Youngs Insurance Brokers Burlington Inc. can be your one-stop destination!

We are a private insurance broker company that helps clients pick the most appropriate insurance policies for themselves. Our experienced insurance specialists will help you navigate through your insurance alternatives and make you understand your purview of coverage from all perspectives.

Reach out to us at 1(289) 768-6231 or tap here to seek a free estimate. Call for Automobile, Commercial, or Home & Property Insurance.

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How Long Are You Considered a High-Risk Driver in Ontario?

December 19, 2022 Youngs Insurance Brokers BurlingtonLeave a comment

If you’re a new driver in Ontario, you may wonder how long you’ll be considered a high-risk driver. This blog post will give you an overview of high-risk driving and how it’s determined in Ontario. Additionally, we’ll provide tips on keeping your insurance rates low after being classified as a high-risk driver. Read on to learn how long you can be considered a high-risk driver in Ontario and tips to reduce your insurance premiums!

1. Driving Record

In Ontario, the amount of time a driver is considered high risk depends on their driving record. Generally, drivers that have experienced increased collisions or driving violations are labeled as high-risk drivers for longer than others, while more experienced and safer drivers may have their high-risk status reduced sooner.

It’s important to understand the impact your driving record can have to avoid being categorized as high risk. Working to improve your driving will ensure that you remain off the list in the future as well.

2. Number of DUI Convictions

For those convicted of Driving-Under-the-Influence, their high-risk record can be active for as long as five years. It may seem like an incredibly long time to wait before being able to shake off the label of a “high-risk” driver. However, making this five-year commitment helps the authorities and insurance companies ensure that the roads are safer for everyone. By setting this requirement in place, those convicted must demonstrate through safe driving practices that they will not be a liability on the road.

Furthermore, it allows individuals to make the necessary changes – such as attending classes and taking defensive driving courses – to prove their understanding of the consequences of operating a vehicle while under the influence of drugs or alcohol.

It’s also worth noting that high-risk drivers are typically required to pay a higher premium on their auto insurance policy than standard drivers since they pose more of a risk to insurers.

3. Number of Auto Accidents

Being involved in multiple car accidents has serious repercussions on your driving record and can cause you to be labeled as ‘high risk’. High-risk drivers typically face an increase in auto insurance premiums as companies consider them a greater financial liability. By driving safely and responsibly, you can prevent any costly recurrences and save money on your insurance premium rate.

It is recommended that high-risk drivers receive defensive driving or advanced driving classes, or have periodic brushes with safety regulations, such as seat belt usage. Additionally, it is strongly advised that these drivers remain aware of their respective state laws when sharing the road with other vehicles.

What Happens If You are Labeled a High-Risk Driver?

Your insurance premiums are important to consider when owning a vehicle and planning your finances. Unfortunately, drivers deemed ‘high risk’ can sometimes witness a large increase in their insurance premiums.

If you find yourself in this situation, shopping around for the best rates is important. Researching insurance companies and different policies available can help you get the most bang for your buck when it comes to policies. In addition, ensuring you have all the necessary documentation is beneficial in keeping your premiums low.

How To Reduce Your Premiums If You’re a High-Risk Driver?

Insurance is often necessary to protect assets, but it can be expensive and even more so for those considered high-risk. Fortunately, there are smart ways you can use to reduce your insurance rates. Some tips include:

Prioritise short-term savings: You can do so by raising deductibles or decreasing your coverage.
Take defensive driving courses: Consider taking defensive driving courses or driving less frequently. This will help you avoid getting into road accidents and scuffles, keeping your record clean.
Look for bundled policies: Another way of reducing your premiums is to look for bundled policies. Some insurance providers can provide you with several policies as part of a single, unified package. These packages usually have lower premium rates than stand-alone policies.
Consider organisational discounts: You can also qualify for discounts by being a member of certain organisations. Research the available options and don’t hesitate to ask your insurance provider about special offers or discounts you may qualify for.

About us

Are you finding the world of high-risk driver insurance policies burdensome and looking for assistance from a professional in the Ontario region? Youngs Insurance Brokers Burlington Inc. can be your one-stop destination!

Reach out to us at 1(289) 768-6231 or tap here to seek a free estimate. Call for Automobile, Commercial, or Home & Property Insurance.

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