By Randy Misener What’s Up with Car Insurance Rates?


The car insurance industry is experiencing an upward trend in policy rates – at a national and global level. Seeing your insurance costs rise can be frustrating.  I’ve outlined some key factors impacting car insurance prices.

Obviously, your personal driving record and type of vehicle are going to be key factors in your car insurance rates. If you drive a newer vehicle the replacement costs will be higher if you have an accident, however, these vehicles also come with more safety features than older wheels. As for your driving record, there is no way around it – this will impact your insurance rates especially if you have experienced any of these: at-fault accidents, tickets & violations or a license suspension.

Unfortunately, there are several industry factors outside of your control and these are impacting car insurance rates, locally, nationally and globally. Together these combined factors are pushing car insurance rates up – evening if your driving record is unchanged.

  • Vehicle Repair Costs. Modern features that make new cars so convenient and safe, such as blind-spot monitoring and cruise control, cost more to repair. This impacts insurance rates.
  • Distracted Driving. Texting and using your phone while driving is illegal and causes accidents. Distracted driving is on the rise and very common now. These increase claim activity and insurance rates.
  • Car Insurance Fraud. This fraud is costing drivers billions annually. While your insurance company diligently investigates all instances of fraud and tries to minimize the effect, it has an overall impact on car insurance premiums.
  • Medical Costs. If you require physiotherapy or any type of medical service due to an accident-related injury, the cost of this treatment will be higher than in years past.

When I speak with my clients and share these insights, I’ll often get this type of reply, “ OK Randy, so now what?  Is there any way I can save money on my rates?” Unfortunately there is no simple answer, however, here are a few tips and options I have them consider:

  • increasing your deductible
  • use a vehicle with a higher safety rating
  • completing a driver education class
  • using an anti-theft device
  • consider an age-related discount
  • using winter tires
  • bundling your insurance such as multi-policy with your home insurance or get a multi-vehicle discounts

My Bauld Teammates and I will genuinely do our very best to get you the best possible insurance policy. By discussing coverage options with you we will help guide you through the process, to get you the best coverage and rates for your money.  Click Here and we would be pleased to get you a quote to help gauge if your car insurance is optimized for you.

Randy Misener

Randy Misener, Bauld Advisor