As insurance brokers in Quebec and Ontario, we get a lot of clients who are moving to Montreal or Toronto from the United States, from outside the province or from Europe or other countries. One of the problems people face when moving to a new country or province is getting a good price on insurance. Unfortunately, a person’s driving experiences and driving records from other countries or provinces aren’t easily available when you move. So the best way to make sure you get credit for your driving experience in your insurance rates is to get a Letter of Experience.
What is a Letter of Experience?
A letter of experience is a document that shows your insurance history with an insurance company. If you move from place to place, this document will be your proof that you have had previous insurance, and also that you deserve to be rated with a good driving history when you have not had claims.
Information in a Letter of Experience
When the insurance company looks at a letter of experience, they are reviewing it to see if they will give you more discounts on your policy, or special rates for people who have had previous insurance but have not had claims. The letter of experience should show the following information:
- The name(s) of the insured person(s)
- The policy number
- How long the policy was in force
- If there were any claims during the time period.
How to Get a Letter of Experience
Getting a letter of experience requires you to contact insurance companies you were insured with and asking for one. Insurance companies around the world know what this is, so don’t worry about asking for one, they will likely know exactly what you are asking for when you contact them.
When is Getting a Letter of Experience Important?
You don’t usually need a letter of experience when you stay in one province; this is because each province has ways of checking people’s claims history within that province. However, once you move from one province to another, or move to Canada from the United States or other countries, we have no way to check your experience. As brokers, we will ask you for a letter of experience to check your driving history or home insurance history, and then make sure that you get all the discounts you deserve on your policy. It would not seem fair to charge you the insurance rates of someone who has never driven before when you can prove you have experience.