Although an important investment, few Canadians read their insurance policy's fine print
TORONTO, Aug. 30 /CNW/ - Car insurance is key to protecting one of your most valuable assets and helps get your life back to normal in the event of a collision, yet despite its importance, many Canadians admit they don't understand their insurance policy, with only 15 per cent reporting that they are very familiar with what is covered in their policy.
This statistic is revealed in a recent Leger Marketing survey commissioned by leading home, car and business insurer, RSA Canada which showed surprising purchasing habits and general knowledge of auto insurance among Canadians.
"Although all drivers are required to have car insurance, one size doesn't necessarily fit all. It's important that drivers understand what they are insured for so they can ensure they have the coverage that's right for them," said Irene Bianchi, Vice President Claims & Corporate Services at RSA. "Your insurance broker can help you determine how much and what kind of coverage you need."
Bianchi encourages Canadians to call their broker or visit the RSA website at www.rsagroup.ca for more information about the different types of auto insurance available and to answer common questions such as "is my car covered if someone else is driving it and are the contents of my car covered?"
"The most important thing about auto insurance is making sure you are properly covered. That said, your broker can advise you on steps you can take to reduce the cost of insurance," said Bianchi. "Some provinces, such as Ontario, have recently legislated changes to auto insurance to give the customer more choice, and in some cases, reduce the overall cost."
For Canadians who are not familiar with their auto insurance policies but want to ensure they have one that best suits their needs, RSA recommends speaking to your broker and keep the following tips in mind to maximize your policy:
- Increase your deductibles - By increasing your deductible you are
assuming a larger portion of your losses and lowering your insurance
premiums. The deductible is the amount you pay for a covered loss
before the insurance company starts paying.
- Use the same insurance company for all vehicles - RSA offers a
discount to drivers who insure more than one personal use automobile.
You may also qualify for a lower rate if your property is insured
- Low Mileage Premiums If your annual mileage is low, tell your broker
and you could qualify for special premiums.
About the Survey
The RSA Canada Automobile Insurance survey was conducted between June 21 and June 24, 2010 using Leger Marketing's web panel. It was completed with 1,524 Canadian adults ages 18 and over.
RSA Canada includes Roins Financial Services Limited, Royal & Sun Alliance Insurance Company of Canada, Quebec Assurance Company, Johnson Inc., Western Assurance Company, Ascentus Insurance Ltd., Canadian Northern Shield Insurance Company and is part of RSA Insurance Group plc. RSA Canada employs approximately 3,200 people and is represented by a large network of brokers across the country. In 2009, the Canadian Group wrote $1.9bn in direct premiums with assets exceeding $5.5 billion. Internationally, RSA Insurance Group plc employs about 21,000 people and has the capability to write business in 130 countries and in 2009 its net written premiums were (pnds stlg)6.7bn. RSA is a trade name of Royal & Sun Alliance Insurance Company of Canada.
For further information: For further information: Samantha Kemp-Jackson, Cathy Mitchell, APEX Public Relations, (416) 924-4442 ext. 248, 236, firstname.lastname@example.org, email@example.com