How Can You Get Cheap Car Insurance in New Brunswick?
The best way to get cheap car insurance in New Brunswick is to find the lowest-priced policies and reduce your risk profile, landing you more affordable premiums. Here’s how you can find the best insurance policy deals:
Install Winter Tires on Your Car
In New Brunswick, winter tires are only mandatory for school buses, unlike in Quebec, where all passenger vehicles need to have them. However, winter tires are highly recommended for safety in winter months, so you may get car insurance discounts if you install them.
Consider Buying An Electric Car
The New Brunswick government offers many incentives for electric car owners. One of them is a car insurance rate reduction, which may save you some money on premiums every year.
Purchase Safe and Reliable Cars
Most Canadian insurance companies use CLEAR (Canadian Loss Experience Automobile Rating) to determine a car’s safety and reliability. A high CLEAR score means the car is safer, leading to lower insurance premiums.
Fortunately, the CLEAR database is open to the public, so you can check the score of any car model you have eyes on. If you buy a car with low CLEAR scores, prepare to pay higher New Brunswick car insurance premiums.
Consider Taking Usage-Based Insurance
Usage-based insurance (UBI) or pay-as-you-go insurance is great if you drive safely and don’t travel much. This insurance calculates your rates by analyzing your driving habits and car mileage. If you’re a proven safe driver, you can save up to 30% on premiums with UBI.
Pay Annual Premiums
Insurers give discounts if you pay premiums annually because you’ll be committed to them for the long haul. The initial expense is higher but, as the per-month cost is cheaper, so are the long-term savings.
If you can’t afford to pay a full year in advance, ask your insurance company about half-year premiums.
Practise Safe Driving
Accidents and traffic violations stay on your insurance record for a long time and can raise your rates. Keep your driving record clean to ensure you get the lowest New Brunswick auto insurance premiums. You can also take accredited driving lessons to show insurers you’re committed to driving safely and lower your rates further.
Remove Unnecessary Optional Coverage
Taking extra coverage options beyond the minimum requirement protects you from more hazards but raises your premiums. Consider skipping unnecessary optional coverage if you want to save money on car insurance.
Compare Policy Deals
Comparing deals between multiple insurance providers helps you identify which one offers the most value. To find the best deals, use My Choice to compare New Brunswick car insurance quotes.
Take Home and Auto Bundles
Insurance companies give discounts for home and auto bundles because you’re giving them more business. In most cases, policy bundles are cheaper than individual home and auto policies from two different companies.
Ask For a Higher Deductible
You must pay deductibles on insurance claims before the financial benefits kick in. Higher deductibles mean paying more out of pocket in case of an accident, but the trade-off is lower insurance premiums. Conversely, lower deductibles reduce your out-of-pocket expenses but raise your insurance premiums.
Quick Facts About Auto Insurance in New Brunswick
- New Brunswick has the lowest collision frequency rate among drivers surveyed by Allstate Insurance at just 5.1%.
- New Brunswick is the third-cheapest province for car insurance behind Prince Edward Island and Quebec, with an annual average of $763.
- Some of the most common causes of highway crashes in New Brunswick are inattention, driving too fast for current conditions, and the failure to grant the right of way.
Who Provides Car Insurance Quotes in New Brunswick?
Insurance brokers, agents, aggregators, and direct writers provide car insurance quotes in New Brunswick. While they all offer auto insurance, they specialize in different things. Here’s a quick look at each insurance provider type:
Insurance brokers don’t work for a specific company, so they can freely search the market and compare insurers to give you the best deals. Brokers understand the ins and outs of New Brunswick’s insurance market, so you can ask them questions about auto insurance policies.
Brokers take a commission from insurance companies, which could increase your rates. You might spend more money than if you had found an insurer yourself.
Direct writers only sell policies from one insurer, like agents. However, they’re usually cheaper than insurance agents because they don’t have physical offices. Direct writers are great if you want to save money, but you can’t book face-to-face meetings with them.
Insurance agents work for one insurer, so they may offer fewer choices than insurance brokers. However, they know every minute detail of the products they’re selling and can even apply discounts that are unavailable to brokers. Agents can also close sales independently, meaning you’ll finish your policy sale quicker.
Insurance aggregator websites like My Choice compile policy deals from numerous insurers to help you find the best-valued offers. Aggregators are usually free for customers, meaning you can find affordable auto insurance in New Brunswick without spending a penny.
How Does Car Insurance Work in New Brunswick?
Car insurance in New Brunswick works like typical car insurance policies. The insurer provides financial coverage if you get involved in an auto accident. Car insurance is mandatory for all drivers in New Brunswick, which means you may face legal consequences if you drive without a policy.
If you’re caught driving uninsured in New Brunswick, you’ll be fined between $200 and $5,000. You may also face other punishments like jail time or licence suspensions.
Here’s a breakdown of the key components of car insurance in New Brunswick:
As a driver in New Brunswick, you need to have the following auto insurance coverage:
- $200,000 in third-party liability coverage
- $50,000 in accident benefits coverage
- Uninsured motorist coverage
- Direct compensation for property damage (DCPD) coverage
Here’s an overview of the four major insurance coverage options:
Third-Party Liability (TPL) Coverage
Third-party liability coverage protects you if you injure or kill someone. It also protects you if you damage somebody else’s vehicle or property.
Uninsured Motorist Coverage
This coverage pays for injuries you or your family may sustain in a collision with an uninsured driver.
Direct Compensation for Property Damage (DCPD)
If the accident isn’t your fault, DCPD coverage covers your car repair costs.
Accident benefits pay for your medical bills and potential funeral costs as a result of the car crash.
In addition to the four mandatory coverages previously mentioned, you can also round out your protection with optional insurance coverage. Here are some of the most popular optional coverage choices for your policy:
Collision insurance pays for your car’s repair or replacement if you’re at fault for the accident. It’ll lighten the financial load if you ever end up causing an accident.
External factors like weather, criminals, fire, and sometimes animal collisions can harm your car. Comprehensive insurance protection keeps your vehicle safe from these often unpredictable dangers, which makes it one of the most important options for additional coverage.
Additional Policy Limits
For some people, $200,000 in liability coverage and $50,000 in accident benefits may be too small. Fortunately, you can raise these limits to get more insurance coverage.
SEF 44 Family Protection Endorsement
This optional insurance product provides extra financial coverage if the at-fault driver doesn’t have enough insurance to pay for your injury claims. This coverage also applies if the other driver isn’t insured, so you’ll receive financial compensation even if the at-fault driver can’t pay for it.
How Your Car Insurance Quotes Are Calculated in New Brunswick
New Brunswick insurers use several factors to calculate your car insurance rates. Here’s a look at what factors influence your New Brunswick auto insurance rates:
Personal demographics like age, gender, and marital status influence New Brunswick car insurance rates because they represent your driving risk.
Drivers under 25 often pay higher insurance premiums because they tend to be accident-prone, high-risk drivers. Once you hit 25, your insurance rates will start declining because you have more driving experience. However, your rates will rise again after age 65 because senior citizens are more likely to get hurt or die in car accidents.
Insurers give lower rates to women because they’re seen as more careful drivers. A similar logic applies to married people, who insurance companies think will take fewer risks because they have family waiting at home. Moreover, married people frequently bundle home and auto insurance, giving them better deals.
Residents of major cities like Saint John will likely get higher insurance rates because more cars lead to a larger accident risk. Major cities also see more crime, which increases the risk of theft and vandalism.
Driving History and Frequency
Accident-free drivers usually get lower auto insurance premiums in New Brunswick because insurers consider them lower-risk policyholders. Conversely, people with a long record of car accidents get higher auto insurance rates because insurers believe they’ll get into more accidents in the future.
Driving frequency is also related to accident risk because the more you drive, the more likely you’ll be involved in an accident. Someone who only drives on the weekend will get lower rates than someone who drives to work daily.
Not all cars are created equal – some are safer than others. Insurers use CLEAR (Canadian Loss Experience Automobile Rating) to measure a car model’s accident risk. Models that see lots of theft and accidents generally have a low CLEAR score, which means insuring them is more expensive.
Extra insurance coverage protects your car from more hazards but increases your insurance premiums. Consider skipping unnecessary coverage options to save money on auto insurance.
Most Expensive Cities to Insure a Car in New Brunswick
The average car insurance rate in New Brunswick is $763/year, which makes it the third-cheapest province for auto insurance. However, different cities can have different car insurance rates, which means you may encounter higher-than-average rates in some cities in the province.
Here’s a detailed look at the most expensive cities for car insurance in New Brunswick:
|Average Annual Insurance Premium
Car Insurance Cost in New Brunswick by Age
New Brunswick auto insurance premiums fluctuate depending on your age. People under 25 usually pay more for insurance due to their inexperience. Similarly, people over 65 also pay more premiums because their accident risk increases.
Here’s a look at car insurance premiums in New Brunswick by age:
|Annual Savings With My Choice
Car Insurance Cost in New Brunswick by Driving History
Insurers check your driving history to determine auto insurance rates to predict future driving behaviour. Having traffic violations on your record may make them think you’re a high-risk driver and charge you accordingly.
Depending on the severity and frequency of your traffic violations, you can pay many times over the average New Brunswick auto insurance rate as a bad driver. Here’s a quick look at how a bad driving record influences your auto insurance premiums:
|Average annual car insurance rate
|Clean driving record
|Insurance cancellation due to non-payment
|Licence suspension for alcohol-related offences
New Brunswick Car Insurance Trends
The average car insurance rate in New Brunswick fluctuates often. According to the Groupement des Assureurs Automobiles (GAA), the average car insurance rate in the province declined from 2010 to 2014, then started rising sharply from 2015 to 2019. Between 2015 and 2019, the average auto insurance rate in New Brunswick rose by $180.
Fortunately, the average rate went down again in recent years. From the $942/year we saw in 2019, the average auto insurance rate fell to the current $763/year, which makes New Brunswick one of the cheapest provinces for car insurance in Canada.
Other Factors That Affect Car Insurance Prices in New Brunswick
Insurers calculate your auto insurance rates based on many factors. Here are some additional things that could influence your New Brunswick car insurance rates:
Vehicle Model Age
Older car models usually get higher insurance rates because they have fewer safety measures than newer models and spare parts may be rarer. Ensure you can afford the insurance before buying a vintage car.
Local Crime Rates
High crime rates mean that vandalism and theft are more common. Insurers often assign higher rates to residents of high-crime areas to offset the higher risk of theft and vandalism.
Insurance companies often reward long-time customers with discounts and other benefits. Consider asking your insurer about rate reductions or special discounts if you’ve been a policyholder for several years.
Past Insurance Claims
Any auto insurance claims will drive your premiums up, regardless of who’s at fault. If you make many insurance claims, the insurer will see you as a high-risk policyholder and give you higher rates.
Main Mode of Commuting in New Brunswick
Cars, trucks, and vans are the most popular modes of commuting in New Brunswick, with 269,215 out of 292,725 of the province’s total commuters taking private vehicles to work. Of the 92% commuter share, 83.9% are drivers, while the remaining 8% are passengers.
Pedestrians come at a distant second, with just a 4.2% share of commuters, followed by users of other transit methods with a 2% share.
|Main mode of commuting
|Total – 25% sample data
|Car, truck or van
|Car, truck or van – as a driver
|Car, truck or van – as a passenger
Commuting Duration in New Brunswick
In general, commutes in New Brunswick aren’t very long. 44.9% of commuters get to work in less than 15 minutes, while 35.8% spend 15 to 29 minutes commuting. Commutes of over one hour are very rare in the province, with only 3.6% of commuters spending over 60 minutes on the road.
|Total – 25% sample data
|Less than 15 minutes
|15 to 29 minutes
|30 to 44 minutes
|45 to 59 minutes
|60 minutes and over
The Most Common Questions About Car Insurance in New Brunswick
How much is car insurance in New Brunswick?
On average, car insurance in New Brunswick costs $763/year. That rate may be lower or higher depending on where you live and other personal factors.
Why should you compare car insurance rates in New Brunswick?
You should compare car insurance rates in New Brunswick to find the best protection for your budget. Different insurers prioritize different aspects of your profile when calculating your risk, so shopping for the best deals can help you save money.
Is auto insurance cheaper in New Brunswick compared to Nova Scotia?
Auto insurance in New Brunswick is cheaper than in Nova Scotia. The annual average auto insurance rate in New Brunswick is $763, $57 lower than Nova Scotia’s annual average of $820.
How much is auto insurance for a new driver in New Brunswick?
New drivers can expect to pay higher than the annual average auto insurance rate of $763 in New Brunswick. New drivers usually land higher rates because they’re inexperienced and often have a higher accident risk compared to older drivers.
Who regulates car insurance in New Brunswick?
The Financial and Consumer Services Commission regulates car insurance in New Brunswick. This government body regulates, oversees, and licences insurers and insurance intermediaries in the province.
Is car insurance mandatory in New Brunswick?
Car insurance is mandatory in New Brunswick. If you’re found driving without car insurance, you may face fines, jail sentences, and licence suspensions.
Is usage-based insurance available in New Brunswick?
Yes, usage-based insurance is available in New Brunswick.