Which 5 Factors Are Increasing Your Auto Insurance Premiums?

Despite promises from the Ontario Government to lower your insurance premiums by 15 percent, you may have noticed that your premiums have either remained stagnant or gone up.Rather than relying on Queen’s Park to get the job done, you may need to take action yourself.

Before you initiate a game plan to reduce your auto insurance rates, you must first determine what exactly is causing your premiums to continually increase. Well, it won’t really be one particular element but a wide array of aspects that are contributing to higher rates.Once you find out what is eating away at your pocketbook then you can react the right way.

Here are five things that are increasing your auto insurance premiums:

1. You Have a Mediocre or Poor Driving Record

Endless parking and speeding tickets. A few car accidents to your credit. A driving conviction.

When you have a poor-to-mediocre driving record then you will be unable to take advantage of lower auto insurance premiums. In fact, since you are a higher risk motorist, it is inevitable that your premiums will skyrocket – don’t park where you’re not supposed to!

2. The Vehicle Should be in “The Fast & The Furious”

Sure, you may love your hot rods, sports cars and luxurious vehicles, but that doesn’t mean you won’t face the consequences of your exquisite tastes. Get ready for higher rates.

Simply put: the more expensive your car is the higher the insurance premiums will be.

Let’s be honest: a Toyota Camry is cheaper to insure than a 1967 Mustang Shelby GT 500.

Do you have to be so exotic in your choice of automobile?

3. Horrible Household Members are Listed

Whether you have a novice teenage driver in your household or a spouse who can’t seem to avoid getting into fender benders, you will more than likely get slapped with higher rates.

Because young drivers are riskier than more seasoned drivers, your insurance company will reward your confidence in your son and/or daughter with an increase of a few percentage points.

4. You’re Driving Way Too Much

We understand that you love your car. It’s your most prized possession in the entire world. But do you really need to drive it as much as you currently do? Most likely not.

Insurance companies aren’t pleased when they see that you’re driving your car just a couple of blocks to the coffee shop every night or going on several winter weekend road trips. The reason for this is because you are more likely to get into a car accident then.

The less you drive the less of a chance you’ll crash the vehicle.

5. Why Aren’t You Combining Insurance Plans?

You have home insurance with one provider, auto insurance with another company and life insurance with your bank. That’s a lot of insurance so the key inquiry is: why aren’t you combining all of your insurance plans? That’s why you’re not saving anything.

Indeed, a common reason for why you’re not seeing any savings on your auto insurance is because you’re not merging your insurance plans with one company. When you do, you get to experience the savings and have more in your wallet at the end of the month or year.

Ontario is currently one of the top jurisdictions for rising auto insurance premiums. Although the government vowed to tackle this issue, the province seems to be stuck in park on the matter.As previously mentioned, rather than waiting for the Ontario Legislature to move on the matter, it is up to you to adopt the appropriate measures to save some loonies and toonies on your auto insurance. Of course, before you do, you need to first deduce why your premiums are jumping.Everything from poor driving to driving too much, there are multiple factors to address now.