Why Car Insurance is So High in Alberta: Explained

In Canada, everyone who drives must pay for auto insurance. In contrast, Albertans frequently find themselves paying more than they would like to. Although this can be a stressful situation, being aware of the elements that go into high insurance costs can help you choose your coverage wisely.

The high collision rate in Alberta is one of the primary causes of the province’s expensive auto insurance. Over 140,000 crashes occurred on Alberta highways in 2019, the Alberta government reports, resulting in over 20,000 injuries and 288 fatalities. These figures are astounding and have a big impact on the province’s high insurance prices.

The frequency of severe weather events is another aspect that influences insurance costs in Alberta. In Alberta, there is a high likelihood of seeing severe weather, such as hailstorms and floods, which can seriously harm vehicles. In order to cover the probable expense of repairs, insurers must increase rates due to the greater chance of damage.

Your insurance premiums in Alberta may also be impacted by the kind of car you drive. Insurance companies will charge higher rates to cover these risks if the insured vehicle is expensive or more likely to be stolen.

A learner’s license in Alberta is categorized as a Class 7 license in terms of licensing. With this license, drivers are permitted to practice driving with a supervisor under specific conditions, such as not operating a vehicle between the hours of midnight and five in the morning or carrying more people than are required to wear seatbelts. The Alberta Ministry of Transportation must first grant you a license as a driving teacher before you can open a driving school in the province. Completing a driver education course, passing a medical examination, and presenting documentation of liability insurance are prerequisites obtaining this license.

Driving lessons can be started in Alberta at the age of 14 years and 8 months. However, before taking a road test for a Class 5 license, you must first obtain a Class 7 learner’s license and practice driving with a supervisor for at least 12 months.

Finally, it’s crucial to remember that auto insurance premiums do not always decrease annually. Your rates depend on a number of variables, like as your driving history, the kind of car you drive, and the level of coverage you select. Your prices may go down over time if you have a spotless driving record and are seen as a low-risk driver. However, your rates can keep going up if you have a history of collisions or moving offenses.

In conclusion, the high prevalence of crashes in the province, extreme weather conditions, and the kind of vehicle you drive all contribute to the high cost of auto insurance in Alberta. You may help keep your insurance costs as low as possible by being aware of these factors and taking measures to lessen your risk, such as adopting safe driving practices and selecting a reduced-risk vehicle.