Ready to take your wife and children for a ride in your newly bought dream car? Wait! You haven’t got your auto insurance yet…
Drive without the auto insurance (car insurance)
You may wonder: can I not drive without the auto insurance (car insurance)? You are right. Ontario law says you couldn’t drive without auto insurance (car insurance). Even though you regard yourself as an expert driver, you still need auto insurance (car insurance) before you drive. Or else, a fine of between 5,000 and 10,000 will apply. Your car may be detained, and your hard-earned drivers license may be suspended. If you go to purchase the car insurance after an accident occurs, the premium of the following five years will soar. So, it is important to purchase insurance before you drive.
what kind of insurance to purchase
The question comes next: what kind of auto insurance(car insurance) to purchase? Generally speaking, the minimum requirement for driving legally is to obtain third-party responsibility insurance with an insured amount of 200,000 dollars. To define here, you are the first party, your vehicle is the second party, and the third party refers to anybody and anything other than you and your vehicle. In case of an accident, any harm to the other person(s) and/or any loss to their possessions incurred will be compensated within the amount of the third-party responsibility insurance. This insurance also includes some legally defined benefits after the accidents, such as paying for medical and recovery, and covering the wage losses due to the injury-regardless who is liable for the accident. The benefit is essential in a sense that it will guarantee some income in case you cannot work after an accident. However, you need to make clear how much will be the compensation, because the amounts vary according to different kinds of benefits.
200,000 dollars may seem to be a large sum, well, actually many people choose to purchase insurance with insured amount up to one million dollars. The main reason is that, in many cases, the alleged damage is well exceeding a million dollars. Another reason has something to do with exchange rate. If the accident occurs in the US, the exchange rate will lower the insured value by 30% or more. That is to say, the 200,000 exchanges into 140,000. In this scenario, despite the exchange rate problem, a million dollar insurance will still offer driver a good protection. That’s why our insurance broker will normally recommend you some million-dollar insurance.
There are numerous kinds of auto insurances available on market. Besides the obligatory ones, the purchase should be tailored to fit your personal needs. No matter what, you want to make sure that you include some above-mentioned benefits to reduce the cost of medical care and property loss in case of an accident. However, if you have some major diseases or other medical insurance, the insurance company will take these into account before applying the insured benefits.
You are most welcome to contact CIS Insurance Brokers LTD. Their professional insurance brokers are ready to serve you in Mandarin, Cantonese and English, and to help personalize your ideal auto insurance.
Voila, now you have the insurance to rely on, and you are all ready to go!
CIS Insurance Brokers
505 Hwy 7, Suite 328
Thornhill, ON L3T 7T1
call 647-424-1558 for best quote & solution