FAQ: Useful questions and answer about our products – AXA Canada Ontario

General

Automobile

  • Why have insurance premiums increased so much this year?

    To answer this question, the Insurance Bureau of Canada has produced an "Insurance 101" brochure, which explains why the insurance industry has had to increase its rates. You will require Adobe Acrobat to read the brochure. Click here to download Acrobat free of charge.

  • How can I keep my car insurance payments as low as possible?

    There is no doubt about it: drivers who have no convictions or claims for at least ten years receive the best rates.

    Ask an AXA broker or advisor about your best rating plan.

  • What is the advantage of driver training?

    Newly licensed drivers who have taken a recognized driver training course may be credited with a three-year safe driving record for insurance rating purposes. This will save you money, not to mention teach you defensive driving skills.

  • Will I save money by going to a higher deductible?

    Yes. A premium saving is available to AXA policyholders who choose a higher deductible on collision, comprehensive, specified perils or all perils coverage. Higher deductibles, combined with a claim-free standing, can result in substantial savings.

  • What happens if I car pool?

    Giving a ride to someone in return for a ride, or sharing the cost of an occasional trip with others, is covered under your basic policy. However, if you regularly receive compensation for giving a ride to a co-worker, special coverage must be arranged. Your AXA broker or advisor can explain.

  • Are all automobile policies the same?

    Yes, the automobile policy for each province is designed to provide standardized coverage for motorists. To some extent, this coverage is regulated by each provincial government. However, the difference comes in the policy rating, optional protections and, most importantly, the claims service you receive.

  • Are there any other coverage options?

    Yes, there are many optional protections, such as increased liability, all perils, collision,  comprehensive and specified perils coverage that protect you against a variety of losses. There are also several optional endorsements like rental vehicle coverage, in the event your car is damaged by an insured peril. Your AXA broker or advisor can help you enhance the basic policy to suit your individual needs.

  • How do I report a claim?

    To make a claim, simply call your broker or advisor, who will report it to AXA. If it is after business hours and an emergency, feel free to contact our Emergency Claims Hotline at 1 800 268-8865.

  • Should I read the fine print in my policy?

    Yes, it’s important to know what you are insured for. Since not every event is covered by insurance, it’s also critical to be aware of any policy exclusions. Your AXA Broker or Advisor can help you review the policy and answer any questions you may have.

  • Why do I need collision insurance?

    You need collision coverage to pay for damages to your vehicle if it is destroyed, damaged by collision with another object (e.g. a telephone pole), or if you are partially or fully responsible for an accident occurring within or outside your province.

  • Where can I drive my car?

    If you own an automobile in Canada, your automobile policy covers you for incidents occurring in Canada and the United States. Your policy will not cover you in Mexico, Central America or any other country.

  • Can I extend my coverage to a rental car while on vacation?

    An optional extension of coverage is available for cars you rent within Canada or the United States. An AXA broker or advisor can arrange this important coverage for you.

  • What are my payment options?

    Monthly Pay Plan (E.F.T.- Electronic Funds Transfer)

    • Pre-authorized monthly bank withdrawals from your checking account on your preferred day of withdrawal.
    • Depending on the type of policy, a nominal service charge may apply.
    Single Pay
    • Requires the full premium to be paid with your application or renewal.
    • Credit card payment by Visa or MasterCard is available on new business and renewals.
    Two Pay
    • Requires a 50% down payment with the balance due in 90 days.
    • Available only on 12 month policies.
    • Credit card payment by Visa or MasterCard is available on new business or renewals.
  • If I choose E.F.T. (Electronic Funds Transfer - Monthly Payment Plan), what is required?

    • A duly completed and signed authorization form (please contact your AXA broker or advisor.)
    • A voided cheque.
    • Return both items to your AXA Broker or Advisor.

    Note: A checking account is required to process automatic E.F.Ts. 

  • If the single or two pay plan better suits my needs, what is required?

    Please contact your AXA broker or advisor for details.

  • When can I switch to another payment plan?

    You may advise us of your desire to change at any time during the policy term. However, your request will be processed on your next renewal date.

  • What factors affect my automobile insurance premium?

    A number of factors affect your auto rate, including:

    • Type of vehicle, year, value
    • How the vehicle is used (for pleasure only, to go to work, for travel as part of your job, etc.)
    • Driver's experience (number of years without a claim)
    • How many people drive the vehicle
    • Age of the drivers
    • How the vehicle is protected (alarm system, anti-theft device)
    • Territory where it is used
  • How can I reduce my insurance premium?

    The main factor affecting the insurance premium is, of course, the driver's experience. Careful drivers pay lower insurance premiums.

    You can also reduce your insurance premiums by equipping your vehicle with a security system.  If your vehicle doesn't have one, check out our Prevention Plus® Program.

    Increasing your deductibles will also help bring down your insurance premium.

    Your AXA broker or advisor will be happy to explain the rates that apply to you.

  • Is collision coverage necessary?

    Collision coverage compensates you for damages to your vehicle if you are in an "at fault" accident. Depending on your vehicle's age and residual value, you may opt to forego this coverage to reduce your premium. Your AXA broker or advisor can help you decide if you need it.

Home

  • What factors affect my home insurance premium?

    A number of factors affect your home rate, including:

    • The amount of coverage and the applicable deductible
    • The type of coverage chosen (all risks, named perils, etc.)
    • Additional coverage risks included in the policy (sewer back-up, earthquake, etc.)
    • Territory and fire protection (fire hydrant, fire department, etc.)
    • Number of years insured and number of claim-free years
    • Year of construction (if you are the owner); number of dwelling units (if you are a tenant)
    • Type of heating system
    • Security system (burglar alarm)
    • Age of the insured
  • How can I reduce my home insurance premium?
    • Protect your home with a security system to reduce risks and qualify for a discount on your insurance premiums.
    • Increase the amount of your deductible.
    • Preventive measures and good maintenance of your property are other factors that help reduce your insurance premium because they reduce your risks.
  • How do I decide on the amount of coverage I need if I am a tenant?

    To be adequately covered in the event of a loss, you should take an inventory of your belongings. An AXA broker or advisor can advise you in this regard.

  • How is the cost of rebuilding my home determined?

    The amount of coverage you take out should correspond to what it would cost to rebuild your home. Your AXA broker or advisor will help you determine the reconstruction cost, based on the specifications of your house (size, number of storeys, type of heating system, materials, etc.).

Individual Disability Insurance

  • Do I need disability insurance?
    Your income is the cornerstone of your financial security. Disability insurance protects your employment earnings by providing you with income when you are unable to work as a result of a disability.
  • I’ve always been healthy and I’ve never been disabled. I don’t see how this type of product can be beneficial to me…

    If in life you’ve been spared from sickness or an accident, then count yourself lucky. But keep in mind that you cannot predict what the future holds for you. 
    Disability insurance is as crucial as life insurance since you are more likely to become disabled than you are to die prematurely (source: Canadian Life and Health Insurance Association).

  • What is covered by disability insurance?

    AXA’s Individual Disability Plan offers 365/24/7 coverage in case of an accident or an illness. Individual Disability Plan includes a wide range of benefits:
    - Disability due to Accident Benefit;
    - Disability due to Illness Benefit;
    - Business Overhead Expense Benefit (Accident);
    - Business Overhead Expense Benefit (Illness);
    - Hospital Allowance due to Accident
    - Hospital Allowance due to Illness
    - Critical Illness Benefit;
    - Accidental Death and Dismemberment Benefit;
    - Benefit in case of fracture

    As you can see, Individual Disability Plan provides much more than just a disability benefit. It also offers business overhead expense coverage. The insureds and their beneficiaries can use other benefits according to their needs.

  • What is the purpose of Business Overhead Expense benefit?

    This benefit covers a company’s fixed expenses (regular offices expenditures) and allows the continuation of business operations for a defined period of time.

  • What is the maximum benefit?

    You could receive benefits for a disability due to an accident or an illness of up to $3,500 per month.

  • In general, at what age does disability coverage end?

    Disability coverage ends at age 65.

  • What is the probability of being disabled for more than 90 days at least once before the age of 65?

    A 20-year-old male is about three times as likely to become disabled for 90 days or more than to die before age 65. For a 35-year-old woman, the odds are 7 to 1!

  • What is the difference between residual coverage and partial coverage?

    Partial disability is defined based on tasks performed by the insured and/or time (number of hours worked), whereas residual disability is defined based on an insured’s loss of income. The purpose of both of these provisions is to help individuals suffering from a disability to return to work, without totally depriving them of benefits.

Individual Critical Illness Insurance

  • Do I need Critical Illness insurance?

    Everyone can benefit from Critical Illness insurance. Statistically, you’re unfortunately more likely to suffer from a critical illness than you are to die before the age of 75. And, in most cases, people don’t realize how a critical illness can affect your estate or your family life until it’s too late. That’s why most people should consider taking out this type of benefit.

  • What will Critical Illness benefit do for me?

    Thanks to Critical Illness benefit, you can protect your lifestyle and lessen your financial worries.

    Your benefit could allow you to:
    - Have access to the best medical treatment in Canada or abroad;
    - Protect your estate (RRSP, loan, mortgage payments, etc.);
    - Enable a parent or spouse to take time off work to care for a sick child or spouse;
    - Have your home refitted or obtain special equipment as a result of an illness;
    - Hire home caregiver to help with household chores or care for children;
    - For business owners: compensate for the loss of an employee;
    - Take an unpaid leave of absence to recover.

    As you can see, you can use the benefit as you’d like based on your own priorities.

  • What types of illnesses are covered under Critical Illness insurance?

    AXA lets you choose between Critical Illness Protection which covers three illnesses:
    - Cancer (life-threatening)
    - Heart attack
    - Stroke (cerebrovascular accident)

    or Critical Illness Protection Enhanced which covers up to 28 illnesses:
    - Alzheimer’s disease
    - Aortic surgery
    - Aplastic anemia
    - Autism
    - Bacterial meningitis
    - Benign brain tumour
    - Blindness
    - Cancer (life-threatening)
    - Coma
    - Coronary artery bypass surgery
    - Cystic fibrosis
    - Deafness
    - Heart attack
    - Heart valve replacement
    - Kidney failure
    - Loss of independent existence
    - Loss of limbs
    - Loss of speech
    - Major organ failure on waiting list
    - Major organ transplant
    - Motor neuron disease
    - Multiple sclerosis
    - Muscular dystrophy
    - Occupational HIV infection
    - Paralysis
    - Parkinson’s disease
    - Severe burns
    - Stroke (cerebrovascular accident)

  • Which illnesses account for the most claims?

    The three illnesses representing nearly 85% of all claims consist of:
    - Cancer
    - Heart attacks
    - Strokes

  • What is the probability of suffering from cancer during your lifetime?

    In Canada, one in three women and two in five men will develop some form of cancer during their lifetime (source: www.cancer.ca – Canadian Cancer Statistics 2006).

  • What are the criteria for receiving benefits in case of loss of independence?

    In order to receive benefits for a loss of independence, insureds must be totally and permanently unable to perform, by themselves, at least two of the following six activities of daily living:
    1. feeding;
    2. dressing;
    3. bladder and bowel continence;
    4. transferring;
    5. bathing;
    6. toileting;

    or suffer from cognitive impairment.

  • What is cognitive impairment?

    Cognitive impairment means a mental deterioration and loss of intellectual ability, evidenced by deterioration in memory, orientation and reasoning, which are measurable and result from demonstrable organic cause as diagnosed by a specialist. The degree of cognitive impairment must be sufficiently severe as to require a minimum of eight (8) hours of daily supervision.

  • What is the difference between disability insurance and Critical Illness insurance?

    In the case of disability insurance, insureds receive a certain percentage of their salary so that they can maintain their lifestyle during the period when they are unable to work.

    In the case of Critical Illness insurance, insureds receive a tax-free payment after they have been diagnosed with a critical illness.

Contact a broker