Mackay Insurance Blog

COVID-19 and Your Auto Insurance 

On March 11, the global pandemic was issued with respect to COVID-19 - and our world, as well as our normal employment practices changed dramatically.

On March 16, the office culture of Mackay Insurance changed dramatically when the majority of our staff began working from home, rather than from our Belleville office location. 

We understand that these times are confusing, as we’ve experienced the struggle of unknown ourselves as well, but we want to assure you that Mackay Insurance has you covered. We know the importance of having up-to-date knowledge in the insurance sector - including general news, changes in rates, updated policies etc. - and we are here to provide you with that knowledge so that you can feel safe - even amidst this unknown time.

Our Quinte drivers have frequently been asking us about their auto insurance policies and how their rates have, or will be, affected since the COVID-19 pandemic continues. In order to ease your worry and provide some helpful knowledge on the topic of Quinte auto insurance and COVID-19, our team of brokers at Mackay Insurance have compiled the most important factors for you to review!  

How Is Your Mackay Auto Insurance Affected During COVID-19

Vehicle Use 

Before the start of this pandemic, your vehicle was rated for particular usage: 

• Pleasure (For our Sunday drivers out there!)

• Commuting

• Business

• Delivery 

Many of our Mackay Insurance clients are now inquiring, however, whether their auto insurance rates will be affected with the stay-at-home order. The short answer is yes, depending on what you are using your vehicle for currently and what it was used for previously, your auto insurance rate might be affected. If you have more questions regarding your own Mackay Auto Insurance rate changes, please contact one of our insurance brokers and we will be happy to discuss these changes with you further!

Delivery

Currently, if you are a business owner in Quinte and have been forced to allow for minor amounts of delivery within your business (ie. delivering essential services and products), Mackay Insurance will amend your policy so that these factors are included. 

Once the pandemic is over, however, you will need to advise your insurance provider about the continued deliveries and your rate will be adjusted accordingly. 

If you have further questions regarding these policy and rate changes, or how they might affect your current vehicle deliveries, let us know and we will clear this up as soon as possible with you! 

Annual Kilometers

Many people show their annual kilometers at 20,000, 16,000 or 10,000.  This is definitely a rating factor that should be reviewed every year, as we have found that most people will actually lower the number of kilometers driven this year, due to COVID-19. At Mackay Insurance, we strongly recommend each renewal cycle to review, assess and adjust accordingly. 

It is important to note that this year may indeed cause your kilometers to be quite a bit lower in comparison to other, more ‘normal’ years. In this case, you would need to contact your insurance company directly in order to adjust for this decrease. 

Each year, however, is subject to change and differs from what the previous year’s average might have been. For this reason, it is crucial that you contact your insurance company on the basis of any change so that they are able to adjust your rates accordingly. 

Pay By Use

CAA insurance has just introduced a product called MyPace Insurance. This product basically allows you to pay for the exact amount of kilometers you drive. This product is unique to the Ontario market and should be considered if you drive under 9,000 km on an annual basis. If you drive more than 9,000 km annually, however, our brokers at Mackay Insurance recommend that you stay with your current insurance ratings. If you would like to analyze your situation further with us, please let us know and we would be glad to go over these details with you!

 Drivers

When reviewing your policy, it is very important to ensure that all drivers within your household are known and listed on that policy. Many people try to save money by not listing a particular driver who holds a negative driving record - whether that be from an accident or a ticket - in order to save on their premium. Unfortunately, if this is the case within your household, you could be put in the uncomfortable position of material misrepresentation and/or voiding of your contract when it comes time to a claim. Take our advice and don’t put yourself in that position.  Simply review your drivers and your policy regularly so that you are constantly aware of the expectations and requirements. 

Accident Benefit 

When was the last time you reviewed your optional accident benefits? Perhaps you had a job which included disability or benefits before, but now, due to COVID-19 or employment downsizing, you have been forced to become an independent contractor with zero benefits.  This could impact your auto insurance. 

If you have reviewed your Mackay auto insurance before, but have recently experienced an employment change, we highly recommend that you review with us again. 

Disability benefits cap out at 70% of your gross income to a maximum of $400 a week. If you don’t have a group benefits plan, this limit may be highly inadequate.

Combining and Saving

Now is the time to review and adjust your policy limits and coverages with your insurance provider. By increasing your deductibles, combining property and auto insurance, and updating your usage, you could also save quite a bit of money! 

Contact Mackay Insurance in Belleville

Our team of brokers at Mackay Insurance are here to walk you through these insurance processes, to review and customize to your specific needs and help you find the auto insurance coverage that fits you best. During COVID-19, we want to ensure that you are getting the best package to fit your needs. 

Although we are working from home, we are just as committed as ever in providing you with the best possible solutions for your specific needs.

Be Sure, Insure with Mackay Insurance!