If I get my insurance to pay for a new windshield, will my rates go up? – The Globe and Mail

Exploring the Impact on Your Rates and Understanding Coverage

If you’re facing the need for a costly windshield replacement, you may be wondering if utilizing your insurance coverage will result in increased rates. Emily from Cook, Ontario raised this concern, and many others share her dilemma. To shed light on this matter, we’ll dive into the details, discussing the impact on insurance rates and clarifying comprehensive coverage.

According to Anne Marie Thomas, the senior manager of partner relations for the rate comparison site’s insurance hotline, filing a claim for a new windshield is considered a complete claim and will not cause your rates to go up. So, if you have the necessary coverage, your rates should remain unaffected.

Reading: How much will my insurance go up after windshield replacement

However, it’s important to note that there may be restrictions on the number of windshield claims you can make. Excessive claims, such as one every six months, could lead to an increase in your deductible or even refusal of further windshield claims by your insurance company.

Now, let’s delve into what comprehensive coverage entails. Anne Marie Thomas explains that there are three types of coverage in an accident policy: liability, collision, and comprehensive. While liability coverage is mandatory, collision and comprehensive coverage are optional. You are not legally required to have them to drive your car.

Liability insurance covers any damage caused to other people or their property, including your vehicle. This coverage also includes accident benefit coverage for both you and the affected party. The amounts covered under this insurance may vary by province, but it typically includes rehabilitation expenses.

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Each province mandates a minimum amount of liability coverage, usually around $200,000. However, this amount varies across provinces. For additional liability coverage, you may choose to pay more, with coverage options reaching up to two million dollars.

Collision insurance comes into play when your vehicle hits something and you are at fault. It covers the cost of repairing your vehicle in these circumstances.

Comprehensive insurance, on the other hand, covers anything other than collision. This includes theft, hail, vandalism, and damages caused by flying objects or animals. Therefore, if your windshield cracks due to flying gravel rather than a collision, comprehensive coverage would cover the repair cost.

There is also a combination of collision and comprehensive coverage known as comprehensive coverage. If you’re looking for a more affordable option, specified perils coverage only covers damages caused by specific events, such as fire, theft, and lightning.

It’s worth mentioning that certain provinces like British Columbia, Saskatchewan, and Manitoba require liability insurance to be purchased from their government-run insurance company. However, for collision and comprehensive coverage, you can choose between the government-run insurance company or a private insurance company.

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Unlike at-fault collision claims, comprehensive claims do not affect your insurance premiums. Therefore, if your windshield cracks due to factors like flying gravel, and not a collision, your insurance rates should remain unaffected.

However, it’s important to note that in regions like Alberta, where windshield claims are prevalent due to extensive gravel, some insurance companies may remove windshield coverage from policies in exchange for a lower rate. Therefore, it’s advisable to check with your insurance company to determine the coverage you have.

If your comprehensive coverage does cover windshield replacement, it’s worth considering that the replacement may not be completely free. Generally, you’ll be responsible for paying the cost of your full deductible.

To summarize, if you’re grappling with a cracked windshield, utilizing your insurance coverage for replacement shouldn’t impact your rates, provided you have the necessary coverage. However, it’s crucial to be aware of any limitations on windshield claims and potential changes to your deductible. Consult with your insurance company to understand your coverage and possible costs involved.

Got any more questions? Feel free to reach out to [email protected]. Don’t forget to mention your location, as driving regulations may differ across cities and provinces.

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Source: https://amajon.asia
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