Insurance checklist for the return of the work commute

Article content

In Canada, and around the world COVID-19, is far from over. Yes, many of us are vaccinated, or are in the process of doing so, but variants and waves remain prevalent. 

Article content

The number of people returning to physical workspaces is increasing at a slow pace and sometimes in staggered ways. Canadians, it seems, aren’t in a hurry to get back to the office. Last spring, a  Leger poll indicated that 82 per cent of Canadians gave their work-at-home experience a positive review and 40 per cent say they would prefer a mix of days at home and in the office.

We apologize, but this video has failed to load.

Try refreshing your browser, or
tap here to see other videos from our team.

Insurance checklist for the return of the work commute Back to video

Regardless of how the new hybrid model plays out, more people will be back on the roads and regularly commuting to work after a very long period of working from home. If you’re included in this cohort, you need to update your car insurance policy to make sure you’re properly covered for the increase in driving you’ll be doing.

We’ve put together  an insurance checklist for the eventual return of the work commute, and here’s what you’ll need to know.

Article content

Update information regarding vehicle use

During the peak parts of the pandemic, many people who stayed at home changed their insurance policies to reflect only minor driving needs. Groceries and drive-thru dinners were the norm, while the car otherwise sat idle in the driveway. It’s time to increase coverage back to commuting and/or business needs. Failing to report these changes could cause consequences later on.

Add or remove a secondary driver

One of two scenarios may have occurred over the last year-and-a-half. Either you added a secondary driver to your policy to get more use out of the car, or you removed one because the car was at home more often. Either way, your insurance company needs to know who is driving your vehicle on a regular basis and for what purpose. If one, or two, of you are now commuting to work again, that changes the nature of the policy and who needs to be insured.

Article content

Update your mileage

Mileage is one of many rating factors for insurance providers. When you signed up for a policy, you gave the insurance company an estimate of how many kilometres you expect to drive in a year, largely based on how far you commute to and from work each day. That number may have decreased significantly during the pandemic if you were working from home, but will most certainly go up as you return to work. You need to update your policy to reflect this new number, and the change could affect your rate.

Take a look at your deductible

Many drivers will raise their deductible when they’re driving less. It saves them money on their premium, and the risk of having to pay that deductible is lower if they’re not on the road very much. If you raised your deductible during the past year or so to reflect that you’ve been driving less, you may want to consider lowering it again as you venture back to work. Your premium will rise but you’ll save yourself having to pay that higher amount out of pocket if you get into a collision — the likelihood of which rises the more you’re on the road.

Article content

Getting back to work, for many, is a good thing. Seeing people face to face, collaborating, forging meaningful connections, and even just having a place to go each day where you’re not allowed to wear your pyjamas can have positive effects on your well-being. But for many this also means getting back on the road regularly for the first time in a long time. Be smart and make sure your insurance company has all the facts about your updated driving needs.

LowestRates.ca is a free and independent rate comparison website that allows Canadians to compare rates from 75+ providers for various financial products, such as auto and home insurance, mortgages, and credit cards.