Most Alberta people know the cost of Alberta car insurance differs from one person to another. But do you know what drives (pun intended here) that level difference? What makes your rates different from your future neighbors or your family living in another city?

There are various factors that determine why insurance providers charge what they do. And, while there are definitely some factors you can’t control, there are many other factors you can control, which can help you pay less for your Alberta auto insurance coverage.

What’s Unique About Alberta Car Insurance Prices?

One of the unique elements of Alberta auto insurance is the provincial grid score program. Restated in 2004, it lays out the maximum billable cost for basic coverage (third party liability and accident benefits) based on where on your reach you land. The driver’s place at a distance is determined, in part, by traffic tickets, accidents, and driving experience.

As per the Automobile Insurance Rate Board (AIRB), only 6% of Alberta drivers pay the grid rate while the rest (94%) are billed much less than the grid rate by their insurance provider.

However, Alberta has the highest average premium price in the country. It ranks close to the first together with BC and Ontario. It is estimated that drivers in British Columbia pay about $1,832 for their fees, Ontario auto insurance costs about $1,505, and Alberta rings around $1,316.

What Goes into Calculation of Alberta Car Insurance Premiums?

What does an insurance provider look like when preparing an Alberta auto insurance quote? Here’s what you might anticipate: insurance providers charge more when there’s a greater risk of an insurance claim. Primarily, they show up where you live, your driving record, your vehicle, as well as individual things like your age and gender. With another one, it’s the same as the cost quote for your coverage. Here is a little more information:

Where do you live

It makes sense that with more traffic, there is a greater chance of an accident. So if you live in a location with more cars while driving, your premium may be more expensive. You can anticipate a larger auto insurance quote if your zip code stays in a metropolitan location such as Calgary or Edmonton as opposed to in the state component of the district.

Your Driving Record and Insurance Background

Safe drivers earn lower costs. So if you do have a background in speeding tickets, road violations, or bad person driving beliefs, it’s likely going to cost you a lot. You can also anticipate paying more if you have a previous background claim due to an accidental accident.

Your vehicle

Insurance providers use something called the Canadian Loss Experience Automobile Score (CLEAR) to determine what vehicles are most likely to be associated with an insurance claim and at what cost. This system is based on insurance claim information for each make, model, and model year of the vehicle. If your vehicle is a frequent target of thieves or costs a lot of money to repair after an accident, it’s likely that this reality will be reflected in higher costs.

Your Age and Gender

Male drivers under the age of 25 usually pay a higher fee than their female partners. This is not a car insurance misunderstanding. However, once the age of 25 is reached, concentration on age and gender, generally, is no longer necessary. At this age, most people will have an established driving experience – good or bad – that removes the uncertainty that new drivers bring. Current insurance providers know the type of driver you have and can charge a fee that reflects this reality.