A look at car insurance rates in Ontario, Quebec and Alberta.
TORONTO, July 7 /CNW/ - Today, Kanetix(R) (www.kanetix.ca
<http://www.kanetix.ca>), Canada's online marketplace for insurance
quotes and mortgage rates, released the results of its quarterly review
of auto insurance rates in Ontario, Quebec and Alberta.
The results varied considerably between provinces when comparing year
over year quoted rates in the second quarter of 2010; rates increased by
15.2 per cent in Ontario, fell 8.2 per cent in Quebec and dropped
slightly in Alberta.
Ontario
In Ontario, auto insurance rates increased 15.2 per cent in Q2 2010
compared to Q2 2009, suggesting that Ontario drivers are continuing to
feel the effects of last year's and this year's approved increases.
Effective September 1, 2010 reforms are being implemented that are
expected to provide some pricing stability. Even though drivers have
seen their rates increase, the amount varies significantly by insurance
provider. In times of rapid rate increases, it's important for drivers
to comparison shop their auto insurance to ensure they are receiving
that best value for their insurance dollar.
Quebec
Quebec drivers obtained quotes that were 8.2 per cent lower in Q2 2010
compared to last year. Rates fluctuate across providers and Quebec
drivers are using Kanetix to explore money-saving options. Along with
comparison shopping, Quebec drivers are increasingly taking advantage of
discounts. In particular, over 8 per cent more drivers opted to see how
much could be saved with a two-year policy commitment, and almost 5 per
cent more were willing to bundle their home and auto insurance with the
same insurer to save money.
Alberta
Alberta auto insurance was relatively stable with a decrease of 0.2 per
cent in rates quoted. This is the fourth consecutive quarter where
Alberta car insurance decreased. Decreasing rates benefit drivers,
especially when a person comparison shops and finds a provider with even
lower rates. Often shoppers discover the provider that offered the best
rate last year may no longer offer the lowest rate this year.
Shop around
"Every year, on renewal, drivers should comparison shop their insurance
rates," suggests George Small, Co-founder of Kanetix Ltd. "Only by
comparison shopping can drivers discover opportunities to lower how much
they pay for auto insurance."
How much a driver is able to save by comparison shopping can be
significant. For example, Ontario shoppers were recently asked how much
they were saving after getting quotes through Kanetix. Over 40 per cent
of those asked said they saved money and their average savings was $500.
About the quarterly review
Intended as a tool to spot and highlight the pricing trends of car
insurance, the Kanetix review is released quarterly. Kanetix believes
this to be an accurate reflection of what consumers are seeing when they
get their renewal notice, and what they see when they shop around. The
study includes all drivers, regardless of their driving or insurance
history, and is based on the lowest rate quoted, no matter which company
provided it (e.g. direct writing companies or broker-based insurers).
The results are determined by comparing the average lowest auto
insurance premium quoted online in each province through Kanetix in Q2
2010 with the average from the same period in 2009. The results, and
interpretations, are based on the information as entered by the shopper
and may not represent their accurate driving profile or vehicle data. As
such, Kanetix can make no representation or warranty, either expressed
or implied, as to the accuracy of this information.
About Kanetix
Launched in October 1999, Kanetix is Canada's leading national, online
insurance and mortgage marketplace. The Kanetix insurance and mortgage
shopping service brings together insurance companies and mortgage
suppliers in a one-stop shopping environment for consumers looking to
save money. Each day, thousands of consumers visit the Kanetix website
at www.kanetix.ca <http://www.kanetix.ca> to compare insurance and
mortgage quotes from a variety of Canadian insurance and mortgage
suppliers. Users select the product of their choice, obtain a quotation
and complete an online application or, with the help of Kanetix, connect
with the insurance or mortgage supplier and purchase the product over
the phone.