As of October 1 of this year, the BC government has imposed changes to the sales tax on private sales of used vehicles.  Moving forwards, these rates will be calculates based on the wholesale or Black Book value of the vehicle, regardless of the price the seller has listed it at.

This means, if the set asking price is $15,000, however the vehicle’s Black Book value is $17,000, you will have to pay PST rates on the Black Book price, not the seller’s price.

When it comes to buying a used car at the wholesale value, there is another important issue that BC residents will need to be aware of. If you are paying the seller $15,000 for the vehicle, and you already know that the taxes will be based on the wholesale value, not the private sale price, you will also want to make sure that the vehicle is in good condition and is actually worth buying at that amount.

It isn’t uncommon for previously owned cars can be sold with damage that isn’t always made known to the buyer. Even if you know upfront about it’s condition, this means you may still be having to pay extra for additional repairs on top of everything else.

ICBC maintains that these changes have been set with the intention of saving money, while protecting the market against cases of fraud. That being said, this increase will have implications for car buyers, especially those with lower incomes, those perhaps, who are trying to shop around for an affordable deal on a used vehicle.

Additionally, the BC government has stated that it will be a rarity that a used car will go for lower than the wholesale price. That said, if this does happen, buyers are entitled to pay for a mechanic to appraise the actual value of the vehicle through an assessment of its current condition, and can then apply for a reduced sales tax payment.

However, this is yet another payment that you can expect to pay out of your own pocket. This again reinforces the importance of paying close attention to all of the costs that will associated with the purchase of your used vehicle, so that there aren’t any added surprised when it comes to the amount you will need to pay overall.

Insurance rates are also always a hot topic, as BC residents are already paying an awful lot to drive their cars.

The reality is that many BC residents rely significantly on the use of a vehicle for personal and professional use, and these increased sales tax rules will affect their livelihood – and their daily commute.

One bright spot in these days of rising car prices – new and used, is having the support of your insurance broker.

Your Leaders Insurance broker can help you navigate these changes and assist you in finding the most affordable and most appropriate car insurance for your personal and business needs.

Especially these days, when we can all benefit from saving a bit of extra money – your broker can be an excellent resource in helping you achieve this goal.

When it comes to car insurance renewal, there are some necessary steps to follow and sometimes, this isn’t always straightforward. Working with a broker who is familiar with the ins and outs of business coverage and vehicle insurance is quite favourable.

Let’s get into some specifics!

When it comes to renewing your insurance, working directly with your agent enables you to get some additional support. With direct advice from your broker, you will get a more detailed explanation of all of your insurance options.  This means you are not missing out on or overlooking any insurance coverage areas that can greatly benefit you and your business.

It’s one thing to have some vehicle insurance, and it’s another thing to have the most suitable insurance for your business. As a small business owner, you may rely on your vehicle to play a key role in your daily business operations, and that makes it even more important for you to have the best insurance for your business.

You don’t need insurance for someone else’s business – you need it for your business and your broker can help you optimize the coverage you need.

What’s more, it’s not just the initial process that your agent can help with. They are able to monitor the BC market for any changes that occur to the insurance renewal process.

In BC, car insurance has changed a lot in recent years, and having a relationship with your agent means you have someone keeping a watchful eye on these updates and informing you when it becomes necessary.

By opting to have your car insurance renewed through your agent, and someone who is already familiar with your insurance needs, this adds a personalized experience that enhances the level of service you will receive.

Leaders Insurance recognizes that startups and small businesses are continuing to grow across BC. For this reason, we know that as a business owner, you must be able to rely on your insurance agent to provide you with the best vehicle and commercial insurance.

With an individualized and straightforward insurance process, you will be able to continue to focus your energy on growing your business.

Whether venturing into another province, or crossing into the U.S., your current vehicle policy is likely to cover you for a wide range of areas. That being said, it is still highly important that you review all of the specific of your current insurance coverage, in order to determine if you are well protected.

One key area to identify is whether your car insurance has certain restrictions, such as only covering you for a certain period of time. If, for example you will be driving in the U.S. for an extended period of time, check your policy for these specific timeframes for travel.

Additionally, there may be some other limitations that could impact your coverage, depending on where you will be driving. It is always best to inquire about this with your trusted insurance agent to make sure you are fully covered for the exact trip itinerary you have planned for.

Perhaps the biggest factor to keep in mind here is that when travelling south of the border, you may want to heavily consider extending your coverage. The reason for this is that while your current coverage may be sufficient when it comes to driving in Canada, it may not be enough to offset the higher insurance payouts that are typically seen in the U.S.

For example, if you are driving in the states and are involved in an accident, you may be found liable for injury or damage to another driver and their vehicle. In this instance, you will definitely benefit from increasing the limit of your Third Party Liability insurance.

Another circumstance to consider is if you or a family member are the ones injured in a collision stateside. As a result, you may want to add on more coverage such as, Family Protection coverage and even additional Collision insurance to your policy to make sure you have enough insurance in place to meet any potential medical costs and repairs that may be required.

Should you find yourself in either of these situations, you will ultimately want to ensure you won’t have to pay these potentially steep costs straight out of your own pocket. To help alleviate this added worry, it is well worth discussing your options with your insurance agent so that you can review your current vehicle insurance policy as well as any additional areas of coverage that might apply to your specific cross-border travel needs.

Ultimately, when driving outside of BC, it can’t be stressed enough that you will want to revisit your current car insurance policy. While it is true that your Canadian policy does typically travel with you, the reality is it may not be enough to cover you to the same extend by the time you make your way onto U.S. roadways.

To help provide some extra peace of mind, it is best to take the time to reach out to your insurance agent. That way you will be able to enjoy your upcoming driving adventures to the fullest.

At Leaders Insurance, we look forward to connecting with you to go over the finer details of your current vehicle policy, as well as to ensure you are properly covered for all of your out-of- province road trip needs.

For starters, with the warmer weather fast approaching, hopefully the vehicle you will be driving has air conditioning. That said, it is a good idea to get a head start on checking that the a/c is in fact working prior to any road trips, as well as during your daily commute. If you find it isn’t, it is advisable to have it fixed as soon as possible to ensure you are staying comfortable while on the go this summer.

In addition to the air conditioning working, you’ll also need to have the car’s cooling systems inspected. When exposed to hot summer weather, vehicles are more at risk of overheating. For this step, you’ll want to be sure to have the existing coolant flushed out and refilled.  While this can be done on your own, it is also advised to check with a mechanic to ensure that this element of your car is completely up-to snuff so you can head out on the road with out this added worry.

Next on the list is to examine all four of your vehicle’s tires. It is best to inspect the tire pressure as well as to have them rotated, with proper alignment on a regular basis. It is especially important to do this once more before you head out for a longer road trip this summer.

This also serves as a good reminder to have your snow tires removed, if you haven’t already done so. Since the hot weather can damage and wear down the rubber more quickly than cooler temperatures do, having all seasonal or season appropriate tires is recommended to help meet the demands of the hot pavement and warmer temperatures.

Summer weather across BC and most of Canada is also known for rain  – and plenty of it at times. Heavy thunderstorms, as well as precipitation pf saying degrees can appear suddenly, so having your windshield wipers working properly is also critical to summer driving.

If while inspecting the wipers, you notice any wear and tear, it is a good idea to have them replaced to ensure that your visibility is not hindered when behind the wheel.

At the same time, you can check that the wiper fluid is topped up with the correct fluid for the season (not winter fluid) and that way, you won’t run the risk of running low on washer fluid midway through your outgoing.

One final method of taking proper care of your vehicle during the hottest time of the year is to keep it safe from harmful sun rays. With the sun being at its most damaging during the summer months, your car can also be impacted if left unprotected.

To help prevent damage to the interior elements, such as the seats and dashboard, you can apply wax to act as a barrier or sunscreen. Another way to safeguard the interior from heat damage is to use a windshield cover to keep your car more shaded and cooler while parked directly or partially in the sun.

Summer can be an exciting time to explore the open roads, whether you are heading out on vacation or a daily jaunt here or there. To help beat the heat and protect your vehicle from the extreme summer temperatures, it is important to prepare for this ahead of time.

Making sure that you have the best insurance policy for summer driving should be a top priority. By continuing to have a strong relationship with your insurance team, you can make the most of your car insurance as well as other insurance requirements.

At Leaders Insurance, we can’t wait to assist you with your vehicle insurance needs and to help prepare you for all of the adventures that await you this summer.

Depending on the nature of the accident and the damage to your vehicle, there are specific claims that can be filed.

In the event your car breaks down, you can file an Emergency Roadside Claim. If, for example you have expenses related to the costs of replacing a flat tire, then there are existing claims to that can help.

While some claims relate to the type of collision or damage done to your vehicle, there are others as well that pertain to what occurs during the aftermath of the accident.

Hit and Run Claims, for example can be filed whether you are the victim of the hit and run, and even in circumstances when you are the one who has witnessed the incident.

Types of claims that fall under this category include, vehicle theft as well as vehicle equipment theft. Whether it is your entire car that has been stolen or individual pieces of equipment that thieves have made away with, you can choose to file an applicable claim.

Specific to situations of vehicle vandalism, and ranging from serious scratches to unwanted graffiti art, insurance claims exist as well to help offset these kinds of repairs.

Other types of damage claims to be aware of are of the weather variety. Should your vehicle incur damages as a result of a weather event or even a fire, you can file a claim to assist with repairs or replacement

Speaking directly with your insurance agent will mean you have all the right information upfront. In addition to knowing what will be covered in each type of claim, your agent will also see to it that your claim is filed properly and as soon as possible.  Thankfully, this will also result in your car being repaired a lot faster.

While the information here represents an overview of some of the main areas of concern you may have about making vehicle claims in BC, it is also important that you connect with your insurance agent directly. That way, you can go through this process together, and they can answer any specific questions you may have about your insurance claims.

In certain events, your insurance premiums may increase, and having a direct line to your trusted agent can mean you will be kept apprised of this, as well as of any other relevant information. As a result, you can avoid being caught off guard by any major changes to your policy.

First off, a luxury vehicle has its own unique classification in the eye of BC insurers. This includes passenger vehicles with proper registration, however does not pertain to motorcycles,  recreation vehicles and trailers, as well as commercial vehicles.

Overall, a vehicle that costs greater than $150,000 will very likely be designated a luxury vehicle and likewise, will require unique insurance coverage.

From collector cars to high-value vehicles, the insurance process and nature of the insurance coverage will vary.

Vintage vehicles, for example will have their own classification as well, which is based on a set criteria. Since drivers may use these classic cars only as a method of weekend travel, or from time to time, this will play a role in the insurance policies that are designed to preserve and protect them, as well as their drivers.

The type of luxury car you will be driving will require specialized insurance to ensure you have the most appropriate coverage to meet your needs.

Depending of the exact luxury car model you are operating, the insurance coverage is also likely to differ.

Additionally, this uniquely-tailored coverage will likely require that you complete the application process, in order to secure specific coverage for your vehicle type.

On top of the basic auto insurance policies available, you will want to definitely consider adding special plans that include: damages, collision, comprehensive, well as Special Risk and Perils coverage.

Given that these higher-valued vehicles require specialized parts and in overall loftier repair costs, factoring in Special Risk insurance into your insurance is highly encouraged.

Replacement Cost Coverage, for example is one that should be at the top of the list when identifying which supplemental coverage to add to your luxury car insurance plan.

With this coverage in place, and in the event repairs are needed, this affords you the necessary funds required for the higher costs associated with using brand new parts to replace the damaged ones. Otherwise known as Original Equipment Manufacturing (OEM) coverage, this can also give you more peace of mind that your luxury vehicle has been restored to its previous condition.

As you look further into insurance coverage for your luxury car, it is best to seek out the expertise of your insurance company, in order to get the full picture of what to expect.

Not only can a trusted insurance agent provide the necessary information on insuring a car of higher value in BC, they can offer their specific recommendations on what insurance is right for you – and your vehicle.

In the case of a luxury vehicle application, they can walk you through the process and help you file this in a timely fashion. In doing so, you can drive your vehicle without further delay, also knowing that you have the best coverage in place.

To efficiently complete this process, there are also some key pieces of information you will need to have on hand. These are comprised of: your provincial drivers’ licence number, and the date-of-birth for each driver listed on your policy.

Additionally, should any drivers included in your policy not have BC driver’s licenses, you will want to have the following information for each driver with you: the name of the driver, their driver’s licence number, as well as the region (province) where the licence was issued.

 Furthermore, in instances where you may be eligible for any discounts on your insurance, these are also typically included in your renewal reminder. For example, if you qualify for the low-mileage discount, then at the time of renewing your insurance, you will want to have an up-to-date odometer reading with you to demonstrate your eligibility.

 Finally, as you look to renew your car insurance, there are online tools and resources available to help with this process, as well as an option for obtaining an estimate of your upcoming car insurance costs. It is also recommended that you contact your insurance provider for extra clarification whenever necessary.

While in-person insurance renewal is often an option as well, with COVID-19 still being a presence in our lives, the renewal process as well as other insurance services have also continued to be provided through phone and online channels.

With virtual renewal especially, the timeframe for renewing your insurance can conveniently be done as early as 44 days prior to your expiry date, which can allow you to get a head start on your insurance renewals.

It is also worth noting that there are many advantageous to renewing your car insurance directly through your insurance company.

First and foremost, your insurance agent can provide additional assistance as you navigate this process.

Also, whether you are thinking about or ready to make changes to your insurance coverage, then this is a good opportunity to reach out to your provider and discuss your options.

Not only can this be an extremely beneficial step when it comes to getting clarification and adjusting your vehicle insurance, it can also be an opportune time to discuss and review all of your options for other types of insurance you may require.

An insurance renewal is the standard length of time an insurance policy is in effect without an insurance company adjusting your rate. Of course, there are exceptions to every rule, and it is possible – on rare occasion – for your rate to change shortly after purchasing a new policy if you do not meet underwriting guidelines.

The renewal date of your insurance policy is based on the date your policy took effect. So, it could actually take place on any day of the year depending on when you originally started the policy. The other factor in determining your renewal date is the length of your policy period. Policies usually renew annually or semi-annually. The start of the year is a perfect time to take stock of when these renewals are coming due so you can plan ahead.

Renewal information is usually mailed or emailed to you 45 to 30 days in advance of your renewal. You will receive a declaration page along with other information explaining your policy. A new proof of insurance is usually enclosed with the declaration page.

Look at your existing rate and see if you qualify for any further discounts. When you get your renewal reminder, this will help prompt you to do this review as sometimes insurance is easy to forget if you haven’t had the need to use it recently. It is a good time to contact your insurance agent to review your policy.

It is possible for every person insured with a given carrier to have a rate increase. Insurance rates can rise due to increased claim activity. If an insurance carrier is losing money, rates can increase. Also, if there appears to be a higher level of risk, an insurer will increase the value of the insurance on the policy to protect them from further exposure. Insurance policy renewals are a standard part of insurance. All policies renew and insurance companies have the ability to recalculate your insurance rate. Use this time of year to mark your renewal dates in 2020 so you know when to review your policy and think about possible changes.

When looking for insurance coverage, you want to partner with an insurance agency that has access to a wide network of insurers. This is key to getting the best coverage and the most competitive rates.

At Leaders Insurance, we can often source competitive insurance coverage where other agencies can’t. Our team has a wealth of expertise and we service clients not only in the Tri- Cities but also across the Lower Mainland and BC as a whole. As you plan out your year, please feel free to reach out to us so we can provide you with a quote for all your insurance needs. Let’s make 2020 your best year ever!