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Car insurance is a notoriously expensive part of keeping your vehicle on the road. However, in most countries, it is now a legal requirement.

In addition, finding you have to go out of pocket for repairs because your insurance provides insufficient coverage can be a bitter pill to swallow. At the same time, there is no reason to pay extra for coverage you do not need. Choosing the right insurance provider can therefore save you a lot of money in the long term.

Here are 4 factors to consider when choosing.

The Types of Coverage

Naturally, one of the first things you should decide on when choosing your car insurance coverage is what type of insurance you want. Most states have a base requirement of liability coverage to legally drive your car on the road. However, this only covers you if you are at fault in an accident involving someone else’s car or property.

To protect against damage to your car or even yourself, you will need so-called fully comprehensive cover. This term can be misleading, though, as additional coverage, such as courtesy car or breakdown cover can also be purchased on top of your normal insurance. Speaking with car insurance specialists can give you a better idea of what type of cover you need.

How You Use Your Car

The amount you use your car should also factor into your decision-making when choosing insurance. There are a few reasons for this. First, using your car a lot necessarily increases the chances it will get damaged. In this case, you may therefore seek more comprehensive coverage options to ensure you do not have to go out of pocket.

In addition, if you absolutely need to use a car every day, purchasing additional courtesy car coverage can be a great way to give you some peace of mind if your own vehicle is ever out of commission. Elsewhere, if you regularly make long journeys in your car, you may consider purchasing emergency breakdown cover, in case you get stranded in a remote location.

The Limits and Excesses

The limits and excesses of your insurance coverage will also affect the premiums you pay. While the limit refers to the maximum payout your insurance affords you, the excess or deductible refers to the amount of money you must pay yourself before your insurance kicks in.

Naturally, higher excesses and lower limits will reduce the cost of your premiums but will increase your level of risk.


While it first may seem simple to compare the costs of insurance cover, discounts, and particularly, no claims bonuses, have a huge effect on what you pay overall. In fact, over several years, no claims bonuses can max out at up to 80%.

If you very rarely need to claim on your insurance, it may therefore better value for you to choose cover that is initially more expensive but has a higher no claims bonus limit. Similarly, depending on your situation, you may want to request Ontario car insurance quotes or consider specific cover that offers discounts for multiple drivers or students, for example.