Life Insurance

While most Quebecers consider themselves knowledgeable about home and auto insurance, a recent survey reveals a large proportion are, in fact, ill-informed and have unusual misconceptions about their coverage.

For example, almost one-quarter of auto-insurance policyholders believe the colour of their vehicle influences their premiums, and nearly two out of three insured homeowners are under the impression they are protected against floods, a SOM poll of 1,000 people indicates.

Armed with those findings and others, the Insurance Bureau of Canada and the provincial government's Groupement des assureurs automobile teamed with Montreal consumer group Option Consommateurs to publish guides to help people make more educated decisions about insurance policies.

These observations, combined with the strong interest shown by Quebec consumers in topics related to auto and home insurance, clearly point to the need for public education and the usefulness of such guides such as All About Automobile Insurance and All About Home Insurance, Jack Chadirdjian, IBC's director of public affairs, told a press conference yesterday.

She pointed to a finding that 63 per cent of survey respondents didn't have a solid grasp of the terms used in their home-insurance policies, yet believed they are protected in case of a flood, for example.

And when it comes to personal property stolen from vehicles, more than three-quarters of respondents who listed themselves as very knowledgeable or quite knowledgeable, mistakenly said they believe theft is covered under auto policies. It is actually covered by home insurance.

The bilingual guides offer tips on how to deal with insurance companies, how to shop for deals and on preventative measures like taking inventory of your belongings and properly estimating their value.

Free copies of the guides (the English version is still being printed) are available through the IBC, the Groupement des assureurs automobile, Option Consommateurs, CAA-Quebec service centres, the Automobile Protection Association and participating Ultramar depanneurs.

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