Ontario Auto Insurance FAQ

[matt9]

This question 'probably' has been addressed before but 50% of the people on this forum has lowered their car? How are they getting insured?

[Noisy Crow]

This question 'probably' has been addressed before but 50% of the people on this forum has lowered their car? How are they getting insured?

It's pretty simple, actually:

You phone up your insurance company and tell them that you have bought a new car and want to insure it. The insurance company asks a bunch of weird questions (such as, "do you have any stickers on the car" ) and sends you a bunch of stuff in the mail.

You throw the stuff in a drawer, hop in your car and head over to Jimmy's to get it lowered.

Two months later you get rear-ended/hit a patch of ice/get hit by a flying truck wheel and the insurance company refuses to cover the damages because your car is 1.2" lower than stock.

[Wild Weasel]

That's pretty much how it works. About the only way to legitimately get insured with most major mods (such as lowering) is through facility. Most regular insurers will not insure modded cars.

[matt9]

So out of everyone on this forum, either:
- they never told the insurance company, so they could get screwed in the future
- they are insured through facility (how much is that?)

[Wild Weasel]

I know at least one person here posted that they were covered through facility. Facility rates vary based on all sorts of factors just like regular insurance. They're just generally higher because they're meant for high risk clients.

For everyone else... well... plenty of people like myself don't have mods that would make them uninsurable. They don't care about cosmetic things like minor body mods and rims and stuff.

And certainly plenty are hoping their insurers never find out what they have.

[matt9]

Well me personally, I get see them caring about anything small - lights, spoilers, tints - this sort of thing.

Wheels are another thing, but if I never told them about it, I would just assume they won't replace them if something happens to them.

As for lowering your car 1.2", I could see that being a problem but it's SO MINOR.

[EvilEric]

Now the real question is how many people have taken stuff out because of insurance reasons? This reminds of warranty conversations.

[evilempire]

good info
maybe this was mentioned already but
question: if both parties involved in the accident agree not to report and settle on the spot with cash
is it illegal?

[gsquared]

good info
maybe this was mentioned already but
question: if both parties involved in the accident agree not to report and settle on the spot with cash
is it illegal?

No, it's not illegal if you don't report. It's perfectly fine to have a private settlement.

[1337trix]

i'm lowered, got hit - repair guy took pics of the car and sent it off to insurance and nobody said jack....

dont wrap your car around a pole and you wont get bothered

[blankets3]

i want to turbo my 3 but would i have to tell insurance?


I was told that if i do it and didnt tell them and smashed my car up, they could null/void my insurance


anyone know about this?

[JashiK]

i want to turbo my 3 but would i have to tell insurance?


I was told that if i do it and didnt tell them and smashed my car up, they could null/void my insurance


anyone know about this?

they will void coverage for non-disclosure of modifications.

[dhlwtu]

Always disclose any mods. Otherwise it wont be covered!

[GTS]

There's always a catch-22 to modding cars.

You disclose mods to insurance companies: they increase rates or deny coverage/policy.

You don't disclose mods: assuming nothing happens, you're okay. However, if something does happen, you risk denial of claim and cancellation of policy for non-disclosure.

There are certain ways about it, it just depends on one's risk threshold.

[Alex2000]

No, it's not illegal if you don't report. It's perfectly fine to have a private settlement.

Thanks! wanted to know the same.

[Hoodzy]

Not sure if it's the same Alberta/Ontario.. but it is required by law to report anything over 1000 dollars worth of damage to the police. Insurance company doesn't matter...

[Alex2000]

I thought the limit was anything over $3000??

Not sure if it's the same Alberta/Ontario.. but it is required by law to report anything over 1000 dollars worth of damage to the police. Insurance company doesn't matter...

[rzapata]

I believe it's $700 and above in Ontario, it has to be reported to the police... Don't quote me on this though, just getting this info on top of my head......

[cwp_sedan]

http://www.citytv.com/toronto/cityne...your-insurance

What Do You Report?

If the damage is minimal - under $1,000 - police don't need to be involved. You only need to involve them if:
There's a death or serious injury.
The accident is a result of criminal behaviour (like impaired driving or a stolen car).
The mishap involves a T.T.C. bus or streetcar or a federal or provincial vehicle.
The accident involves someone who's not insured or whose license is already under suspension.
It involves a vehicle or truck transporting dangerous goods, like chemicals.
There's serious property damage.

[mazidane]

Anyone know if Collision Reporting Centres (CRC) send a copy of Collision Reports to your insurance company? Just curious because I read that CRC's are funded in part by insurance companies.

[Darkice]

$3000 wow thats way to high! lol to answer some questions below , i recently got into a accident my car was a complete write off, i had a CAI and a full cat back exhaust as well with upgraded brakes ,subs , touch screen deck and a painted lip kit.... however insurance hasnt said anything to me about it, some ppl say mods are illegal

I thought the limit was anything over $3000??

[Dina]

I have a general question(s) about Ontario teen insurance. My 17 year old son just got his G2 licence. He lives with me...his mom and brother (who has his own insurance and own car.) If I'm to put my year old 17 under my insurance policy so he can be a very occasional driver in my car, does this mean he can drive anyone else's vehicle that is not at our address with this (my) insurance? You see....this is the scenario...his father who lives elsewhere will be letting him drive his car whenever and however (if you know what I mean) he wants. If he should get into an accident with his father's car will my insurance be punished (increase) since he's covered under my insurance, which is allowing him to be covered for driving his father's car?
Another scenario....if my son is out one night with a friend and ends up driving the friend's car...who's insurance will be implicated if an accident should occur...the friend/or his parent, (since they are allowing him to drive their car,) mine or both ? Yes I'm paraniod...I have a teenager! Thanks so much in advance for any insite you may give me!

[peterm15]

I have a general question(s) about Ontario teen insurance. My 17 year old son just got his G2 licence. He lives with me...his mom and brother (who has his own insurance and own car.) If I'm to put my year old 17 under my insurance policy so he can be a very occasional driver in my car, does this mean he can drive anyone else's vehicle that is not at our address with this (my) insurance? You see....this is the scenario...his father who lives elsewhere will be letting him drive his car whenever and however (if you know what I mean) he wants. If he should get into an accident with his father's car will my insurance be punished (increase) since he's covered under my insurance, which is allowing him to be covered for driving his father's car?
Another scenario....if my son is out one night with a friend and ends up driving the friend's car...who's insurance will be implicated if an accident should occur...the friend/or his parent, (since they are allowing him to drive their car,) mine or both ? Yes I'm paraniod...I have a teenager! Thanks so much in advance for any insite you may give me!

Ok. As far as I understand.

If he gets into an accident, it will affect your insurance no matter what. Even if it wasn't your car involved. This being because he then becomes a higher insurance risk so he will have to pay more.

If he drives a friends car, and something happens. The friends insurance should cover it BUT that insurance company has the ability to go after your sons insurance for the repair as well.

And if I'm correct. Your insuring him under your vehicle and his fathers vehicle? ( I don't even know if you can do that but I'm sure it's possible)

At the end of the day, as long as he's under your policy, if he is in an at fault accident, both his and your insurance will be affected.


NOW.
If he drives like a total ass and gets a few tics, a couple accidents. YOUR insurance company can refuse to insure YOU as you live in the same household. They can also raise your rate because he lives with you and has access ( even in non legal ways) to your car.

A few years ago I actually had to say I was renting my house to get a break on insurance as my dad was high risk. His high risk status affected my insurance by 1200 a year. Just because we were under the same roof.

I'm sure there is more people on here that can clarify better. I'm just going off of what happened to me in a similar situation. Insurance is a tricky thing.

[Dina]

Thanks so much Peter for your lengthly reply. No, the father will not be putting him under his insurance since our son lives with me. So if I include my 17 year old in my insurance, I would be liable even if he's driving his father's car and gets into an accident?

Ok another question...my insurance company told me my son and I will have to sign a waiver (if we don't get him that coverage to the insurance) stating that he will, under no circumstances drive my car, nor his brother's car (who also lives with us and gets his insurance through my company.) Ok....here's another scenario...let's say we sign the waiver and do not get coverage for him and let's say....he's a real ass...and takes my or his brother's car without permission and get's into an accident...then what happens? Since he's under 18 years of age could I get sued because he's my responsiblity?? Or is it 16 that parents are no longer legally responsible for that kind of stuff??? Or does that have no bearing at all? Thanks again?

[cwp_sedan]

Thanks so much Peter for your lengthly reply. No, the father will not be putting him under his insurance since our son lives with me. So if I include my 17 year old in my insurance, I would be liable even if he's driving his father's car and gets into an accident?

Ok another question...my insurance company told me my son and I will have to sign a waiver (if we don't get him that coverage to the insurance) stating that he will, under no circumstances drive my car, nor his brother's car (who also lives with us and gets his insurance through my company.) Ok....here's another scenario...let's say we sign the waiver and do not get coverage for him and let's say....he's a real ass...and takes my or his brother's car without permission and get's into an accident...then what happens? Since he's under 18 years of age could I get sued because he's my responsiblity?? Or is it 16 that parents are no longer legally responsible for that kind of stuff??? Or does that have no bearing at all? Thanks again?

In this case there would probably be two options/results.

One, you say you let him take the car and they cancel your insurance and charge/sue you. You would then find it very difficult to get insurance in the future and your premium will be much, much higher.

Two, you follow the agreement that you signed and tell them that you didn't allow him to take the car and claim the vehicle as stolen. He would then be charged and responsible for the theft. Ultimately it could come back to bite you in terms of covering the loss/damage and possible fines.

Ultimately I would talk to your insurance company even anonymously to find out what the policy is. Everything on here can be good information but isn't always 100% accurate.


When I was under my parents insurance as an occasional driver I got into an accident. It affected their policy until I got my own car and policy. At that time it was transferred to my policy and their rates went back down.