There are several tasks that seem very adult and far away until they suddenly land on your to-do list. As a grown-up, there are bills to pay, appliances to repair and then (that old favourite) car insurance.
For a lot of young Canadians, car insurance is one of those things that’s figured out on the fly. You need insurance to use your car, so you get the insurance that lets you do that — seems reasonable.
The trouble with this approach is that you could be missing out on deals and features that suit your budget and situation so much better.
In the search to learn exactly how large this knowledge gap around car insurance might be, Narcity Canada shared a poll with readers. The responses showed one thing — a whole bunch of you are confused about car insurance.
To help set the record straight, Narcity Canada talked to Chris Grysczyk, an insurance expert with belairdirect, to get the lowdown on how it all really works.
For over 65 years, belairdirect has been helping Canadians find the right insurance for their needs. With straightforward options, a user-friendly app and competitive prices, belairdirect is a legit modern way to get your insurance sorted out — no guesswork required.
But enough stalling, to the results!
Do you know what the term "Accident Forgiveness" means when it comes to car insurance?
When asked, 61% of Narcity Canada readers (721 votes) said they don’t know what "Accident Forgiveness" means in terms of car insurance.
Accident Forgiveness is an option offered by insurers like belairdirect to help protect safe drivers from their rates going up as a result of an at-fault accident.
The scope varies depending on which province you live in. Drivers in Ontario and Alberta can be protected for their first at-fault accident, while those in Quebec can benefit from Accident Forgiveness for their first two at-fault accidents.
According to Grysczyk, one of the best ways to keep your insurance rate low is to: "Drive safely and maintain a clean driving record." But accidents happen, and when they do, Accident Forgiveness helps you keep your safe driving record protected.
It's times like these that your car insurance really shines. With belairdirect, for example, you can start a claim in under 30 minutes via their app. Simply upload the photos and details of the accident and then easily track your claim’s progress.
You also have the choice to opt in to automerit, belairdirect’s real-time driving habit tracker. If you enable automerit, your actual driving behaviour is used to offer a fair and competitive price on your car insurance. This means that the safer you drive, the more you can save.
How about what it means to have "full protection?"
When asked if they knew what "full protection" was when it comes to car insurance, Narcity Canada readers responded with a resounding: "sort of?"
There were 629 votes (57%) in the "yes" camp, while 469 people (43%) said "no."
This one is pretty easy to clarify. When you purchase car insurance, you can choose between a range of coverage options, each offering different protection — which essentially means the insurance company will foot the bill, according to your policy conditions.
According to Grysczyk: "When it comes to home and auto insurance, the basic policy components will often be similar from one company to the other. It’s the amount of coverage and the included features and benefits that you really need to pay attention to."
Every province in Canada requires drivers to have mandatory insurance that covers the damage or injury you cause to another person if you end up in an accident.
On top of that, you can add protection to your policy with optional extras, like coverage for vandalism or theft. You have the highest level of protection if you have a policy with the most coverage possible.
If you get full protection insurance with belairdirect, for example, you can get optional perks like roadside assistance, rental cars, coverage for dings or scrapes and Accident Forgiveness.
Do you know what kind of insurance coverage you have?
Are you ready for this surprising number? Only 59% (625) of Narcity Canada readers said they know what car insurance coverage they have. Seriously.
If you’re among the 41% (438) of readers who don’t know what sort of insurance they’re driving with, you should probably figure it out sooner rather than later. Having a suitable level of insurance is super important.
"When looking at buying insurance, it’s important to carefully look at what you are insuring and be realistic about what is being insured," Grysczyk told Narcity.
"When buying car insurance, for example, people will sometimes put collision and comprehensive coverage on an old car. These customers really should ask themselves if it is worth having these coverages on a car that is barely worth more than the coverage deductible."
Whichever way you go, chatting to a professional is a helpful way to figure out the right type of insurance for you. And, if you go with belairdirect, you get the benefit of competitive rates and a slick app with access to claims and policy documents 24/7.
Be honest, does the whole "insurance" thing feel a little confusing?
Above all else, Narcity Canada readers are confused by car insurance. When asked, 79% of people said "yes" (882 votes), compared to just 21% who went for "no" (240 votes).
No doubt, insurance is one of the more confusing parts of being an adult human, but it’s also not that hard to figure out. Plus, there are insurers who are working hard to make it easier than ever.
One thing that sets belairdirect apart is their app that lets you make changes to your policy, get roadside assistance and pull up your digital proof of insurance whenever you need it.
The belairdirect app can even share weather updates, driving insights or if there are any manufacturer recalls you need to know about.
If you’re like the Narcity Canada readers who answered the poll, chances are you’re feeling a little lost when it comes to car insurance too.
Whether you know what your insurance situation is or you’re ticking this adult task off your list for the first time, you can check out belairdirect to see how simple — and affordable — car insurance can actually be.
To find out more about insuring your car with belairdirect, visit their website or follow them on Facebook, Instagram, Twitter and YouTube.
This content is for general informational purposes only and does not constitute financial, investment, legal, tax or accounting advice.
This article's cover image was used for illustrative purposes only.
