BC Private Auto Insurance

Insurance rates

Driving in BC is like no other place in Canada, due to the variety of scenery. One thing to note is that driving in British Columbia requires mandatory basic auto plan insurance. The rate of purchasing insurance is costly and one of the highest in Canada. There is also the option to purchase optional Private auto insurance in BC.

The owner must be aware of what type of policy he has to choose and should also know about the working of the insurance policy. The owner has to choose the best policy at the lowest possible price. Here are the tips related to the insurance, which one should keep in mind before purchasing the insurance.

Factors related to Auto Insurance

There are many factors on the basis of which insurance can be purchased. These factors are described here.

Driving record
Age and gender of the driver
Driving experience
Type of vehicle
Location of the vehicle and its usage
Amount selected for coverage

Reason for high rates of insurance in British Columbia

One of the reasons for the high rates of insurance is fraud. Another reason for the high premiums is due to the strict minimum liability regulation and benefits laws related to accidents. Less number of competitors is another reason for high insurance rates.

Getting cheap rates of insurance in British Columbia

Here are the ways of getting cheap insurance in British Columbia.

Premium should be paid on time
Maintenance of good driving history
Choosing the right insurance coverage
Usage of winter tires
All the vehicles should insure the same company
Home and auto insurance shall be done together

Cost of Public Insurance

The cost of insurance includes taxpayer subsidies, which is required, due to insufficient funds for startup and or mandatory low premiums and drivers require subsidies in this case. Another thing regarding the cost is a reduction in private-sector investment. These investments include corporate shares, bonds, and real estate.

Disadvantages of Public Insurance

Here are the disadvantages of public or government-based insurance

Customers have a limited choice.
Customer service is not good.
All solutions are included in one insurance.
The deductibles are fixed.
Competition with private insurance that provides insurance at lower rates.
New services cannot be included due to the captive market share.
Product innovation created by private insurance companies like first-time accident forgiveness, roadside assistance, and coverage of the replacement cost.