8 Factors That Impact Your North Bay Car Insurance

8 Factors That Impact Your North Bay Car Insurance

As a driver, you know that it’s the law in Ontario to carry insurance to drive and protect yourself and others on the road. But having insurance alone is not enough—you need to carry the appropriate amount that can adequately cover any damages and losses. This means paying a certain amount of insurance premiums to your car insurance provider in North Bay.

So, how much do you pay for car insurance? While your insurance provider may have presented you with base rates along with additional coverage options for your protection. And while you may think that a friend or neighbour in North Bay with a similar car, years behind the wheel, and mileage, pays as much for car insurance as you do, you’ll be surprised to find out the opposite. This has likely gotten you thinking about how car insurance rates are calculated.

There are a few factors that car insurance providers take into account when determining your premiums. It’s time you found out why your car insurance costs the amount it does. Let’s go over these crucial factors that impact car insurance rates in North Bay.

What Affects Your Car Insurance Rates in North Bay

Think you’re paying too much—or not enough to cover potential damage—for car insurance in North Bay? Find out how 

1. Your driving experience

How many years have you sat behind the wheel? Do you know your way around North Bay? Most insurance providers place a premium on experienced drivers. This means that the longer you have been driving and the more experience you have navigating city and country roads, the more likely you are assigned lower car insurance rates. 

Car insurance providers believe that experienced drivers pose lower risk because they know how to get around safely, as opposed to newly licensed drivers just starting to become comfortable on the road.

2. Your age

Car insurance providers tend to correlate age with driving experience. Older drivers are typically presumed to have more experience with being behind the wheel, so their car insurance rates tend to be lower. Meanwhile, since drivers aged 18-25 tend to have fewer years on the road, car insurance tends to cost more.

3. Your location

Where do you drive in North Bay and surrounding areas, and how far do you travel on a regular basis? Car insurance rates are also influenced by your location and the general driving conditions in the area to determine the level of risk.

Car insurance providers will look at your neighbourhood in North Bay, the roads you drive on, traffic patterns and mileage, crime rates in the area, and other location-based factors. Generally, you can expect to pay higher car insurance rates the busier your location, in contrast to a quiet area.

4. The age of your vehicle

What’s your car’s make and model, and how old is it? Your car’s age and overall condition are crucial to your safety. Older vehicles tend to not have many of the new, advanced safety features that come with newer cars. This means that if your vehicle is older, you can expect to pay higher car insurance premiums to ensure that you’re adequately protected from increased risks. However—and on the contrary—it is also possible that an older car costs less to insure compared to a newer one with more expensive parts.

5. Driving activity

A standard car insurance coverage is designed to protect you on the road as you drive to work or run errands around North Bay. But with the growth of ride-sharing and delivery apps and the attractiveness (or necessity) of a side hustle, more and more drivers are now using their cars for Uber or food deliveries. 

If you do, make sure you carry more than your basic car insurance coverage. As well, keep in mind that in addition to necessary coverage for any type of business activity, you’ll also likely pay more for car insurance due to the increased wear and tear.

6. Winter tires

Don’t drive out in the snow and freezing temperatures without winter tires on. They are a basic safety feature for every car in North Bay. And since winter tires make driving safer in the cold, car insurance providers are incentivized to offer discounts on your premiums. Insurance providers do this to encourage consistently good driving and car maintenance habits.

7. Driving school

How did you learn to drive? While it’s common for lots of drivers to get their first lesson or two from family and friends, going to driving school pays off in both increased road safety and car insurance rates. Going to a recognized school and earning a certificate can help you qualify for lower car insurance premiums. Similarly, if you’ve been driving for less than three years, you may also still qualify for potential discounts.

8. Insurance bundles and loyalty discounts

The most reputable and reliable car insurance providers in North Bay also offer a wide range of insurance solutions. Aside from your car, you can also get home and other insurance products from the same provider, turning these into one insurance bundle. Plus, the longer you stay insured by an insurance provider, the more loyalty rewards you’ll likely qualify for. These discounts are sure to lower your car insurance premiums and reward you with more savings.

Get Your Car Insurance in North Bay

Want to know how your car insurance rates are calculated? With PAIB Insurance, it’s a transparent process that provides you with comprehensive and affordable coverage. Get car insurance that’s expertly recommended by our licensed insurance brokers, tailored to your driving experience, car, mileage, coverage needs, and lifestyle. Drive safely in North Bay and across Ontario with comprehensive car insurance coverage options and the ultimate savings.

Drive safely in North Bay with car insurance that you can trust. Find out how much the most comprehensive coverage costs, at the best value for your budget. Talk to a PAIB Insurance broker about your car insurance rates.