driver on my insurance policy

My friend borrowed my car and was driving it when he was involved in a collision. He isn't listed as a driver on my insurance policy. Will my insurance still cover the damage?

A. As long as your friend has a valid driver's licence, the collision will be covered as if you were driving। That means you are entitled to the same insurance benefits, but you will also face the same consequences. If your friend was at fault for the accident, this will be reflected on your record and your insurer may choose to increase your rates.

My four-month-old car was in a major accident, which caused more than $10,000 in damage. My insurance adjuster tells me that the car is going to be repaired. After consulting with several collision technicians, I am sceptical that the car can be restored to its original condition. Is it possible for me to have my insurance company re-evaluate whether my car should be repaired or replaced?

A. Unfortunately, there are no straightforward answers to your question. All insurers deal with issues such as these in different ways. Begin by talking to the claims manager of your insurance company. Express your concerns and share the information that you have received from automobile experts, i.e., collision technicians. The claims manager will explain why the company decided to have your car repaired, based on the comparison between the cost of the damage and the actual cash value of the car.

From a safety perspective, your insurance company would not agree to repair your car if it didn’t have 100% confidence in the outcome of the repairs. Your insurer, along with the repair shop, is offering you various guarantees as a client. Both the repair shop and the insurer have been in this position many times. They make these decisions based on many years of experience and combined knowledge. They are also fully aware that the safety of the client (you), and the integrity of both the repair shop and the insurer are at stake.

It is important to discuss your concerns with your insurer’s adjuster and claims manager. Ultimately, however, you will have to accept the answer you get from both the repair shop and the insurer. If they are convinced that repairing the damage is a good idea, ask them about guarantees in case something goes wrong. Whatever decision your insurer makes, you should feel confident that it is based on lots of experience and is the best one for your situation.

Ontario

Q. I'm a 19-year-old male who wants to purchase a 1999 Mercury Cougar coupe. The price is right and the car is great, but the insurance premiums are not. As a primary driver in this age bracket, what strategies might I use to lower my premiums?

A. The cost of auto insurance in your age bracket is based on insurers’ previous experiences of the number and severity of losses for drivers of a similar age.

This loss experience can, and does, vary from insurer to insurer. As a result, you might find a considerable difference in premiums between one insurance company and another.

Compare quotes from different insurance companies to see if it is possible to reduce your insurance costs. One easy way to compare premiums is to get quotes from insurance sites online. Shopping around is definitely your best course of action.