It occurred to me recently that I’ll never REALLY be satisfied with paying for insurance.
Home. Auto. Life. Travel....whatever. 
I could think of hundreds of things I'd rather spend $3,000 a year on.

1. Buy used Seadoos every year to ride and abandon.
2. Buy new grass each year and never take care of it knowing more is coming next year.
3. Unlimited Ice Cream and Milkshake Budget. 
4. Donate it. (had to offer up SOMETHING that wasn't totally self indulgent)
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​This could go on, but I think you see where I'm going here.  

Insurance is a lot like PROPERTY TAX or AN OIL BILL. I don't WANT to pay it, but it's a requirement if you have a vehicle, or home. 

It seems that a LOT of people derive the VALUE from knowing they paid the absolute bottom dollar for insurance coverage. 
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They shop for new carriers every year, they don’t mind waiting on hold forever, and they have zero interest in getting to know the people offering that product. 

In today's world.... I TOTALLY get that approach. It keeps the most dollars in your pocket TODAY, and you're rolling the dice on never needing to use it. 

If you're this type of customer....consider a direct insurer.​ 
​There are lots of them out there catering exactly to what you're looking for. (TD, UNIFUND aka JOHNSON, Sonnet, etc)

The model is setup so that the insurers save costs on selling it (using call centers) and then pass some of those savings to the customer through lower premiums. 

ALL UPSIDE right? Not necessarily. 

You shouldn't troll the TD social media accounts about how BAD THEY ARE AFTER A CLAIM IS DENIED. *Although I should admit I enjoy reading those.
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If lowest price was the only thing people VALUED the market would be FLOODED with Kirkland Basketball Shoes and Big 8 Jeans...yet I can't find Big 8 Jeans anywhere. 

I prefer to support local when I can but honestly FAMILIARITY is my favorite. I like to have a relationship with a service provider if at all possible...BUT ONLY TO A POINT.
A reasonable price is absolutely a factor.

Most Nova Scotia residents are not in a position to completely ignore price...nor should they. Those insurance bills are going to keep rolling in...and most of us are going to keep paying them so why not feel better about the payment by getting some VALUE out of the transaction.

It’s out there…just figure out what it means to you and look for that.

-MD

Clients that have been cancelled for non payment may find themselves PAYING A LOT MORE for coverage at renewal. 

Here's a few reasons to make insurance payments a priority. ​

Avoid getting picked last for kickball.

More Money.

Fortunately Auto Insurance is regulated by the province, and if you pay the missing amount before your cancellation date there's a requirement to reinstate your coverage.

Once renewal rolls around though, that's when you'll see the additional costs.  

Property on the other hand has NO REGULATION which means insurance companies  don't HAVE to do anything... and the market is trending towards insurers NOT REINSTATING HOME POLICIES that have been cancelled for non-payment.

This leads to shopping for coverage elsewhere right away, and your options are often less attractive.

When it Rains, it Pours.

If you're able to get your insurer to reinstate your HOME policy, there's a good chance they may not offer monthly payment anymore. 

PAYMENT IN FULL?!

Sadly yes. 

If you decide to go elsewhere "since this is ridiculous" you're likely to have an even higher premium elsewhere since you've been removed from the WANTED list. 

Understand What You Signed Up For.

An insurance policy is a 12 month agreement.

​Tons of people end up getting cancelled for non-payment simply because they didn't know it they had to cancel it. 

Some people will put a 'stop pay' on their payments rather JUST CALLING them to cancel it. 

​You accidentally push your future self off an insurance rating cliff.  

The takeaway here is:

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If you’re living paycheck to paycheck and you sometimes have to ask: "WHICH BILL IS GETTING PAID THIS MONTH?"

You can save FUTURE YOU some money by putting your insurance bill near the top of the pile. ​

- MD​

We're talking about vehicle damage claims here, NOT auto accidents that involve serious injuries.
Think of it as a HOW TO on navigating the aftermath of an auto collision and what info is important to collect. 

The more you know the more likely it'll go smoothly. 

If nobody is hurt, move your cars out of the road. Use your smart phone to take a couple photos of the position of the vehicles and pull them out of the middle of the road. It's super dangerous to make others avoid you, and that'll be the first thing the police suggest. 

Even if you're FURIOUS at the other driver...escalating things with someone you don't know is a terrible idea. There is no circumstance where this will help you, and MANY circumstances where it makes things MUCH worse. 

Both of you are inconvenienced and you're now in it together...so don't play the blame game. Just get what the info you need and get out of there. 

Snap a few photos instead of handwriting everything on an old Wendy's bag from your car floor. You'd be surprised how often people write down the wrong policy number/details when they're in this situation. Preserve the data with actual photos of the originals...PLUS it's much quicker. 

The below will give you everything you need:

90% of the time this 'witness' will not be required...but in that 10% of the time when you need them, WOW can they be a difference maker.  

A couple points on how Physical Damage claims work:

1. Adjusters determine who is 'at fault' in an accident, usually by taking 'statements' from each driver. (Basically asking them both what happened.) 

2. If both drivers have 'conflicting statements' this can lead to a dispute about who is really at fault. 

3. Passengers inside vehicles involved DO NOT COUNT AS WITNESSES, so having a stranger who saw it all happen can be a tie-breaker.  

Often the 'at fault' party feels bad and willingly provides the factual details of what happened....but NOT ALWAYS.  

Allow me to paint a picture.

Driver 1 is sitting in his car inside a parking stall at the local grocery store sending text messages because people do that. 

Driver 2 is navigating the parking lot in search of a parking spot so they can go inside and buy a truckload of Chicago Mix Popcorn because it's delicious. 

Driver 1 is done sending their texts and is ready to finally leave. They cut the wheel and back out of their spot and bump right into the front of Driver 2's vehicle.

Damage Overview: Driver 1's back bumper and Driver 2's front bumper. 
 
Driver 2's LOSES THEIR MIND on Driver 1 because they've not read this blog post about 'KEEPING IT TOGETHER' and the inevitable delay on the Chicago Mix is setting in. 

Driver 1 has gone from feeling bad, to wanting to do it again. After they exchange information and leave, they decide their recollection of the events was that they pulled out, and started driving away when Driver 2 RAN INTO HIM. 

The damages support both versions of events and without an independent witness, or video proof....it could end up with both drivers being held 50% at fault. 

Fictional story, but totally possible.  

MORAL OF THE STORY? 
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FIND A WITNESS IF YOU'RE IN AN ACCIDENT.
OFFER TO BE A WITNESS IF YOU SEE AN ACCIDENT.

What if Driver 2 were alert enough to find someone else who saw it all happen?

​Grab their info, and go get that Chicago Mix so the trip wasn't a total waste.
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MD