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Tips for Protecting Your Auto Insurance Premiums in Alberta

Renewing or updating your auto insurance in Alberta can feel like a bit of a challenge lately. Rising premiums, fewer coverage options and stricter criteria from insurers can make this process seem overwhelming.

But don’t worry – our Acera Insurance advisors are here to help! Here are some tips to keep your costs down while ensuring you have the coverage you need.

Top Tips to Save on Your Auto Insurance

1. Stay Ticket-Free

The best way to keep your premiums low is to avoid traffic tickets. They can have a big impact on your insurance rates and may even disqualify you from the good driver cap. So, obey those speed limits and stay distraction-free!

2. Consider a Higher Deductible

Choosing a higher deductible — the amount you pay out of pocket when you make a claim — can lower your monthly premiums. Just make sure it’s an amount you’re comfortable paying if you ever need to file a claim.

3. Keep Your Credit Healthy

Your credit score can influence your insurance rates. Insurers often see higher scores as a sign of lower risk. Aim for a score above 660 by paying bills on time and keeping debt in check. A little attention to your credit can lead to significant savings!

4. Don’t Miss Payments

Missing an insurance payment can label you as a high-risk driver, resulting in increased premiums. If you think you might miss a payment, reach out to your broker for flexible options.

5. Consider Accident Forgiveness

While this endorsement might add a small cost to your policy, it can save you in the long run. With accident forgiveness, your rates won’t increase after your first at-fault accident—a great safety net for those unexpected moments!

6. Look for Discounts

Many insurers offer discounts that can help lower your premiums. Here are a few to consider:

  • Bundling: Combine your home and auto insurance with the same provider for savings.
  • Accident-Free Discounts: A clean driving record could earn you extra savings.
  • Low Mileage Discounts: Drive less than average? You may qualify for additional discounts.

Don’t hesitate to ask your Acera Insurance advisors about all the discounts available to you!

7. Let Us Do the Shopping

Before renewing your policy, get in touch with your Acera Insurance advisor. We have access to multiple insurance providers, which means we can help you find the best and most affordable auto insurance policy that is tailored to your needs.

Understanding the Good Driver Cap

Have you heard about the ‘good’ driver cap introduced in April 2024? This cap is designed to reward safe drivers by limiting renewal rate increases to just 3.7%. To qualify as a ‘good’ driver, you need to meet a few criteria:

  • No at-fault accidents in the last six years
  • No criminal traffic convictions in the past four years (like impaired driving)
  • No major violations in the past three years (think distracted driving or serious speeding)
  • No more than one minor traffic ticket in the past three years

Keep in mind, if you’ve moved or made changes to your policy, your premium increase might still go beyond this cap.

Learn more about how the 3.7% renewal cap works.

Final Thoughts

Navigating the current auto insurance landscape might feel challenging, but with these proactive steps, you can secure the coverage you want at a price that fits your budget. Remember to regularly review your policy to ensure it meets your evolving needs.

Start a conversation with one of our expert advisors today to determine the right coverage for you.

Stay safe on the roads and keep those premiums down!

Did you know Acera Insurance also offers group insurance programs to our commercial clients? 

If you have a commercial insurance policy through us, contact our team to learn more about setting up a group insurance program for your business, which will provide you and your employees with discounts on home and auto insurance.