Insuring with TD MM late in the season, pro-rating?

DaveTheCanuck

DaveTheCanuck

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Could someone help me understand TD MM's pro-rating when starting a new policy after March 1st?

I've been quoted $2400/yr to insure a Ninja 250 (M licensed < 1 year), but I would only be starting the policy July 1st, so how does TD pro-rate? Do they just divide my premium by 12 (14.3% per month) or is it pro-rated based on the "amount used" per month?


Reason I ask is because I don't think I can wait until my M* has hit the one year mark before getting my bike this season. Even though my M* will be a year old on August 3rd, TD doesn't factor the day, so they won't apply the discount until September 1st... I'm not waiting until then to start riding :( So I want to know how much I'll be paying for the remainder of the season.
 
*doh*

I read the OP of that thread and forgot to actually read through the replies. Looks like it is pro-rated based on the "amount used". Thanks Jeff.

New question then! Is there anything stopping me from starting a policy now, cancelling on August 31st, and then starting a new one September 1st with a lowered rate? I'd technically be saving about $160.
 
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DaveTheCanuck said:
*doh*

I read the OP of that thread and forgot to actually read through the replies. Looks like it is pro-rated based on the "amount used". Thanks Jeff.

New question then! Is there anything stopping me from starting a policy now, cancelling on August 31st, and then starting a new one September 1st with a lowered rate? I'd technically be saving about $160.
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Nothing is stopping you but depending on how much you've paid, you might owe them some money. Thats because majority of the insurance cost goes into the summer months. e.g. 25% of your TOTAL premium is used up in July 22% of your TOTAL premium is used up in August, etc. So if you have only paid 30% of your total premium, you still owe them 17%.
 
DaveTheCanuck said:
*doh*

I read the OP of that thread and forgot to actually read through the replies. Looks like it is pro-rated based on the "amount used". Thanks Jeff.

New question then! Is there anything stopping me from starting a policy now, cancelling on August 31st, and then starting a new one September 1st with a lowered rate? I'd technically be saving about $160.
Click to expand...

You don't need to cancel. Just call them when there's a change in your policy's risk (I gave them a call when I was 25, and they not only bumped down my yearly amount, but refunded me the difference for the rest of the year I'd already paid for).
 
Sushii said:
Nothing is stopping you but depending on how much you've paid, you might owe them some money. Thats because majority of the insurance cost goes into the summer months. e.g. 25% of your TOTAL premium is used up in July 22% of your TOTAL premium is used up in August, etc. So if you have only paid 30% of your total premium, you still owe them 17%.
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Good point, forgot about that.

CFunk said:
You don't need to cancel. Just call them when there's a change in your policy's risk (I gave them a call when I was 25, and they not only bumped down my yearly amount, but refunded me the difference for the rest of the year I'd already paid for).
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Hm, when I called yesterday, the rep said they couldn't do that. He said it wouldn't take effect until my renewal :\ I'll call them again today and see what they say this time.



Thanks!
 
CFunk said:
You don't need to cancel. Just call them when there's a change in your policy's risk (I gave them a call when I was 25, and they not only bumped down my yearly amount, but refunded me the difference for the rest of the year I'd already paid for).
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I just called TD again, rep said the same thing. They won't re-adjust my premium until renewal :(

To hell with it. Paying the $2400/yr. Oh the joy of living in Ontario.
 
With TD MM, they'll ask you the date that you got your license. I made the mistake of telling them the date of my m2, not my m1, since they are not very clear about that. After checking back, the agent told me that it is the m1 date. Long story short, I'm having my license for a year on July 7th, and I got a quote that reflects it for July 1st set up.

They look at the month that you're licensed for a year, so in your case dave, you should be able to get discounted coverage on august 1st. It's a big discount (for me it was 40 % off)!!
 
Hm, was that over the phone?

Their online quote tool seems to round up the date. I entered that I received my M1 in August 2011. If I said I wanted the policy to start in August 2012, I was quoted $2400. If I said I wanted the policy to start in September 2012, I was quoted $1400.
 
I would strongly suggest you to call in, and start a new quote with them. Online quotes sometimes do screwy things like this. If all else fails, try to get the agent to explain to you why the quote changes so dramatically.

Those quotes are really steep though, I'm 20, with a 399cc, and ill be paying 1100 from july to feb...

Btw your birthday is not in sept. Is it?

I have no idea if this will help you but i believe ninja 250s are 249cc, so it might be grouped with the 150s
DaveTheCanuck said:
Hm, was that over the phone?

Their online quote tool seems to round up the date. I entered that I received my M1 in August 2011. If I said I wanted the policy to start in August 2012, I was quoted $2400. If I said I wanted the policy to start in September 2012, I was quoted $1400.
Click to expand...
 
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