Helping Canadians Find The Best Insurance Rates

Insurance is an important form of financial protection for individuals and businesses. It is available in several forms, but its essence is the same. You receive protection from loss or threats you may encounter for your car, house, business, and other types of insurance, in exchange for paying a premium.

Insurance is a contract between you and your insurance provider. It's in the form of a policy. This outlines the types of protection you have and the perils you are protected against, up to your policy limits. How much you pay and the types of threats you have protection against will vary based on your plan details.

The Government of Canada defines insurance as:

“Insurance is a contract, called a policy, between you and an insurance provider, under which you can be compensated for certain losses. You pay a fee called a premium. In exchange, the insurance company agrees to pay you a certain amount of money if the event you are insured against happens during the term of the policy.”

Insurance can be mandatory or optional and you can customize it to serve your specific purpose. For example, auto insurance is a requirement in all provinces to drive. You need car insurance in Toronto, Vancouver, Calgary, and any other city you call home.

Home insurance is not mandatory, but if you have a mortgage, coverage will be required by the lender. Business insurance may be required based on your industry and business type. Life and travel insurance are optional but are recommended. So, your need for insurance depends on the product.

The concept of insurance is actually rather simple. You make payments in exchange for protection against certain risks and threats. You pay an insurer, who then agrees to pay you (or beneficiaries) in the event of a loss event.

The amount of money you are entitled to will depend on your insurance plan and other details in your insurance contract.

However, how insurance works can differ slightly based on where you live. For example, the rules for car insurance in Ontario is different than in other provinces. The same is true for home insurance in Ontario. All types of policies have unique distinctions that make them slightly different depending on the province and insurer.

All people are inherently exposed to a certain level of risk. Insurance can provide you with protection in many areas of your life.

If you drive, there is a risk of a car accident, theft, or damage to your vehicle. Businesses and homeowners are at risk of damage from storms; break-ins, and liability issues if someone is injured on their property.

There are many other unforeseen events, threats, and risks you need to protect yourself against. Insurance provides you with protection against common threats and perils. Insurance provides you with:

• Protection for you and your family: Insurance helps protect you and your family when driving, relaxing at home, travelling, and in many other situations.
• Financial security: Insurance helps protect you financially if damage is caused to your property, belongings, or vehicle. Rather than fully pay out of pocket, your policy will cover some or all the costs related to a claim.
• Reduced risk, liability, and loss: Insurance provides you with risk management. It protects you against life’s uncertainties.
• Peace of mind: Life can be stressful. Insurance gives you peace of mind in knowing you are covered if something unforeseen occurs. Protect the life you’ve built with a strong insurance plan.

Yes. The insurance industry is regulated at the federal and provincial levels. Rules and regulations vary based on where you are in the country, including minimum and mandatory coverage requirements. Each province has a regulating body that oversees insurance companies and brokers.

For example, Ontario has the Financial Services Regulatory Authority of Ontario (FSRAO) and Alberta has Alberta Automobile Insurance Rate Board (AIRB).

There are a number of ways you can shop for insurance and buy it in Canada. All options are not created equal. Here’s an overview of how each option works:

Use a direct insurer

Some insurers sell their products directly to consumers. But you are limited in your choices. You also will not know for sure if you are getting the best deal because you didn’t compare prices.

Use an aggregator

While aggregators offer you choices, you may be limited in the number of insurance partners they work with. Aggregators are not insurers and they don't provide coverage or insurance advice. They are lead generation sites that show estimates from brokers and providers that buy the leads.

Use an insurance broker

Insurance brokers offer one-stop shopping for insurance. You can check quotes from many providers, allowing you to find the cheapest rates. Brokers will then ensure you have proper coverage and help you buy your policy. You get advice on all your insurance matters and have access to customer service when you need it. Make sure you find out how many insurers your broker works with. ThinkInsure has a very large selection of over 50 providers you can get insured with.