Though car insurance is something that every Albertan who owns a vehicle needs to have, there are some aspects of car insurance which aren't that well understood. At Klondike Insurance Agencies Ltd., our Edmonton auto insurance brokers want to make sure that you have all of the tools and information to get the best car insurance for your needs, at the best price. Here are the answers to some of the most frequently asked questions about car insurance in Edmonton.
Q: What type of coverage do I need?
A: In Alberta, all drivers must have coverage for accident benefits and third party liability. Accident benefits cover any lost income or medical treatments if you have been in a car accident, and third party liability covers any damages to other drivers in an accident where you are at fault. You can also choose to add comprehensive coverage, collision coverage, and all perils coverage to your Edmonton car insurance policy.
Q: How does a deductible work?
A: A deductible is the amount you have to pay out-of-pocket before your Edmonton auto insurance coverage kicks in if you are found to be at-fault in a car accident. For example, if you have a deductible of $500 and repairs cost $900, then you will have to pay the $500 before your insurance pays the remaining $400.
Q: Does the type of car I drive affect my premium?
A: Yes, the type of car you drive can affect your Edmonton auto insurance premium. For example, vehicles that would be more costly to repair because they are newer or more expensive will be more costly to insure, as will vehicles which are heavier and more powerful and therefore likely to cause more damage in the event of an accident.
Q: What is accident forgiveness?
A: Accident forgiveness is an extra feature offered on many Edmonton car insurance plans which essentially keeps your premiums from rising after your first at-fault accident. While your premiums may be slightly higher on the outset and while some exclusions do apply, it may be worth talking to your broker about whether this popular feature may be a good option for you.
Q: Should I always contact insurance in the event of an accident?
A: In Alberta, any car accidents involving over $2,000 in damages must be reported to police and to insurance. It is highly recommended that you contact your insurance even if the damages are less than $2,000 and you plan to settle with a third party out-of-pocket. Reporting the accident doesn't mean that you have to start a claim, but it will protect you if the third party decides to make a claim at a later date, which they have up to two years to do.
Have Some More Questions About Car Insurance in Edmonton?
You never know when a car accident might happen, and it's best to be prepared by understanding how your Edmonton car insurance works ahead of time. Klondike Insurance Agencies Ltd. not only provides flexible and reliable auto insurance in Edmonton that you can trust, but we'll be more than happy to answer any questions about your coverage.
To find out more about auto insurance in Edmonton or to request a free quote, just contact Klondike Insurance Agencies Ltd. today.