AUTO INSURANCE

Insurance is the most over-looked major purchase that consumers make. Each year, Alberta consumers spend thousands of dollars renewing their existing insurance policy without even contemplating shopping around.

When you buy a car or truck, you will probably read reviews and ask for opinions, and take it for a test drive. It'd be good to talk to several different car dealers too, just incase. You may even call your broker to find out how much the insurance will cost per month. But when it comes to actually buying car insurance, people spend very little time at all. A few phone calls at the most.

Insurance rates can vary by hundreds and thousands of dollars, as many Albertans discovered the hard way over the past few years. With rising claims costs, many people were forced into higher-risk insurance companies, paying double or triple what they used to.

Alberta auto insurance reform has been implemented with a new grid system designed to save drivers some money, but if you're overpaying for your insurance, it only minimizes how much money you're throwing away. The grid only minimizes the surcharges on insurance. It can lower your insurance, but if you're overpaying by thousands of dollars, it won't help much.

People should shop around, as companies vary their rates dramatically for car insurance and truck insurance. One company may offer a rate of $800, but another will charge you $1,800 for the exact same insurance! That's like buying a hot dog for $2 on the street and $4.50 at the hockey game. It doesn't taste any better, and you don't get better coverage by paying more for your insurance.

The Alberta auto insurance reforms are good, don't get me wrong. But it may not save you much money if you're with the wrong company. Insurance rates vary by dramatic amounts. The question is, what are you going to do about it?

You need to shop around to find the lowest car insurance rates for you. One tool you can use to find the lowest car insurance rates is InsuranceHotline.com, which is a service that calculates rates from 30 different insurance companies and provides you with the lowest rates in their database.

By finding the right insurance company, you'll save yourself lots of money, and the new Alberta auto insurance reforms will save you even more.