Different risks in an area will determine your insurance premium no matter where you are in Canada. Risks such as weather, crime statistics, and the location your home is in – rural or suburban – all affect your premium. You can expect to pay more in more popular or crowded cities or towns and those areas with extreme weather conditions such as storms, hail, snow or flooding prone areas.
Luckily, there are instances that will provide you with some relief on the premium end, for example, bundling your car and home insurance together could save you some money.
Home Insurance Risks
As mentioned before, weather conditions or the climate of a region affect the insurance premium, and you can likely expect to pay more for home insurance in these regions. Home insurance risks in Toronto,for example, are not identical to home insurance risks in Ottawa.
Toronto’s weather is not as severe as Ottawa and therefore there are fewer risks to be covered. It is important to note that not all scenarios are covered, and you should always check with your insurer what you are covered for or not. Earthquake damage, for example, could be something that you would need additional coverage for because it is not automatically covered in your policy.
Your Best Insurance Bet
Whilst most insurers do their best to offer you insurance tailored to your specific profile and circumstances, it is always better to clarify with them what you are covered for and what you are not covered for. Asking for additional coverage will come at a cost but at least you know you will have peace of mind, in case you ever need it.
Shopping around for comparative insurance premiums is a good way to understand what sort of ballpark figure you will need to budget for. Always disclose these premiums to the insurers to see if they can offer you a better rate.
What you must remember is, you need to be covered in case you need to claim. Whether you opt for full and comprehensive cover or only basic cover, it is your responsibility to read the fine print and ensure you understand the terms and conditions of your policy. Always ask questions until you are 100% satisfied with your cover.
Not All Insurers Are The Same
Different insurers or brokers do not offer the same level or type of insurance. There are differences, even if only slightly. One insurer may cover you for storm damage while another will include this at an additional cost. Do your homework before requesting quotations and always discuss your specific needs with your insurer.
Never allow your insurance to lapse and do an annual check that you are still covered.
There is no harm in comparing insurance companies to get the best rate for your home, contents or vehicle insurance. Speak to your insurer to see where you can cut costs, if possible, to bring your premium down.