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Obvi Harriet

Insurance Policy or Vehicle Service Contract?

Insurance Policy or Vehicle Service Contract?

Vehicles today are increasingly complex especially with all the electrical components, and Canadians are looking for more and more solutions to protect their investment. For decades we have all associated the term “bumper to bumper” with new vehicle warranty and while it remains undefined, the term suggests that everything between the bumpers is covered under warranty. In reality, you will be hard pressed to find it in writing from any of the major vehicle brands today or any insurance policy.

Extending the manufacturers’ warranty

Vehicles come with a 3 year 60,000KM or 4 year 80,000KM depending on the manufacturer, with a few 5 year 100,000KM warranties available and are usually referred to as “New Vehicle Warranty” or “New Vehicle Limited Warranty”. When it’s time to extend the warranty, a consumer can decide between an independent insurance policy or vehicle service contracts (VSC) from the manufacturer. Be aware that a VSC is different from the original manufacturers’ warranty, it isn’t an extension of the exact same thing and they can be open to a lot of interpretation. Here are some examples of what you will be looking at:

– OBVI Mechanical Breakdown Insurance Policies
– GM Total Plus (VSC)
– BMW Certified Series (VSC)
– Mercedes Benz Certified Series (VSC)
– Toyota Extended Care Plan (VSC) (available in Silver, Gold and Platinum)
– Acura Plus Plan (VSC)
– Honda Plus Plan (VSC)
– Ford Care (VSC) (which has many different levels of coverage)
– Audi Certified Plus (VSC)
– Other third party providers of VSC and insurance

The list goes on and on. So how do you know which warranty to chose? Let’s face it, the automotive industry is a marketing giant and when it comes to the extended warranty they have great brochures often listing hundreds of components you have never heard of. But the reality is you should be most concerned with what’s NOT covered to make the decision. After all, when you need to make a claim the brochure is out the window and the small-print policy wording is called upon. It’s time for a transparent approach to extended warranty, one which provides great coverage all with easy to understand exclusions.

Does buying an extended warranty from the manufacturer provide “bumper to bumper” coverage? No. Canadians need to read and understand the policies and beyond the coverage should be considering the following when buying an extended warranty:

– Financial stability, usually best served by an insurance policy.
– Can you transfer at a dealer? The most common way to sell your vehicle
– Are you getting warranty advice from the warranty provider?
– Where can the vehicle be repaired?
– Does it include more than 160,000 KM in coverage? How many extra years does it provide?
– Who is assisting you during a claim?

To summarize; Bumper to bumper is another way of wording Extended Auto Warranty. It doesn’t literally mean that EVERYTHING is included, although it sounds like it. Always make sure you know whether you are looking at an insurance policy or a vehicle service contract, that you understand what you are reading and are happy with what is covered.

Find more information on Obvi’s Extended Warranty or get a quick online quote here.

GAP Insurance On Lease

Can you get GAP insurance on lease car?

Guaranteed Auto (or Asset) Protection, GAP insurance, is a type of car insurance which protects your finances when a loan is taken out to pay for your car. Many people think that they cannot get gap insurance on lease cars but this is not true. With Obvi, getting gap insurance on lease cars is definitely an option.

Do you pay more for Gap insurance when the vehicle is on lease?
No! The amount you pay for Gap insurance does not depend on whether the car is on lease or not.

Leasing a car explained

Leasing a car is not the same as financing a car. When you lease a car and your term comes to an end, you either return the car or you can choose to buy the car. Both leasing a car and taking out a long-term loan are popular options in Canada. According to Automotive News Canada, around 25% of new cars are leased.

Why would I need GAP insurance on a lease car?

When leasing a car, you do not actually own the car and therefore you are responsible for returning the car back to the owner once the term is up. If you are in an accident, or the vehicle is stolen, the car insurance company will pay out the same amount as it would cost to buy that used car from a dealer. This is therefore much less than the new price due to depreciation, meaning that it wouldn’t cover the whole amount you would need to pay to end your leasing contract. This is why GAP insurance on lease cars exist, as it covers this shortfall.

Risks of a leased car

Unfortunately, people forget that both leasing a car and taking out a long-term loan over a number of years does come with risks. Here are some useful points that we often go over when we explain what’s GAP Insurance.

  • Accidents happen – Hopefully you won’t ever be in an accident, but what if it is stolen? Or there is a fire? Not everything is always in our control, so if you have a lease, you want to have reassurance that you will be financially covered in case something happens.
  • The worst case; you don’t want to be left with paying a lease and no car- this can happen, and that’s why you need protection. If you are in an accident, and the car needs to have repairs, your payments will still continue. If your car is totaled in an accident, you will also continue to make payments until the claim amount is settled.

Yes, you can get GAP insurance on a lease car, and yes the best deal is online with Obvi without paying a huge commission fee. Find out more about GAP insurance or get a quick and easy quote now.

Best Extended Car Warranty Company

Best extended car warranty company

Best extended car warranty company

When buying your extended car warranty, it’s important to make sure you have chosen a trustworthy and reliable company. How do you know what is the best extended car warranty company?

Understand the market

It’s a good idea to do some research and understand what is going on at an industry level when researching a company. For example, when looking for the best extended car warranty company, you need to understand that there are different places selling car warranties with differing motives.

The traditional method of car warranty sale in Canada is through the dealership when purchasing your car. However, this can come with many issues as salesmen are often motivated by making a quick high-pressured sale as they could earn up to 75% commission on extended warranties. They are not the business that will be dealing with you in the event of a claim and generally don’t have expertise in the product they are actually selling. The other option is going with an online company which are becoming more common. Many negative issues can be eliminated going this route. There is low sales pressure, you can deal with the same company when making a claim and cut out the middleman taking that big fee that you used to pay. When researching a new vehicle and warranty and the company providing it, it’s important to see the bigger picture and understand what kind of warranty you are getting and what process you are comfortable dealing with.

Word of mouth

If people you know and trust are telling you that they have had a great experience, this is a good way to get an introduction to a company which you can then find more information about online. Particularly when a company is new, word of mouth is really important because a new company may not have a lot of reviews yet.

Read reviews

Always check for reviews and read as many as you can! It’s important to see what customers are saying about a company, and whether or not they had a good experience. Having a few negative reviews isn’t necessarily a bad thing, after all you don’t know how trustworthy the reviewer is, but check to see if the company responded. An offer to resolve the issue, offer an explanation and apologise is better than ignoring the bad review. However, if there are numerous bad reviews and there is a recurring theme, be aware that you might experience the same issue.

Chat with or call them

Don’t hesitate to get in touch with the company if you have questions. A good extended car warranty company will respond quickly and have helpful customer service agents that are experienced and able to help you. If you don’t find that this is the case, it might be a warning sign!

We think Obvi is the best extended car warranty company

Obvi is completely changing extended car warranties in Western Canada. It’s eliminating all of the pain points that customers experience when buying at the dealer and providing warranties at a fair price by bringing it online. Obvi extended warranties provide a low pressure engaging process where you can take your time to research and readthe easy-to-understand policy.

Find out more info about Extended Warranties here or get a quick & easy quote now.

Can I buy GAP Insurance after I buy a car? 

Can I buy GAP Insurance after I buy a car? 

Customers frequently have the idea that GAP insurance can only be purchased at the time of buying your vehicle. The reason they think this is probably due to the traditional method of selling GAP Insurance in Canada, which occurs when purchasing a vehicle from the dealership. Once you are filling out paperwork in the finance office, it is common for the salesmen to try and sell you insurance products such as GAP Insurance. Unfortunately, some salesmen are quite persistent with pushing these insurance products, as they take up to 75% commission.

It could be that from the sales pitch, customers think that it is only possible to buy GAP Insurance whilst they are purchasing their car, but this is not true. It is also not the case that GAP Insurance is only sold at the dealership, as Obvi has brought GAP Insurance fully online in Western Canada.

Can I buy GAP Insurance after I buy a car? Yes, if you meet these important criteria.
GAP protection insurance is ideal for those who have a long-term loan (4 years / 48 months up to 7 years / 84 months) and a relatively new vehicle (up to 4 years old). With Obvi’s GAP Insurance, both new and used vehicle purchases are eligible, and almost anyone in British Columbia, Alberta, Saskatchewan, or Manitoba who has recently signed a new auto loan or lease between $20,000 – $100,000 qualifies.

What are the advantages of buying GAP Insurance online?
1) Time – buying at the dealership means that you can’t take your time, do your research and understand what you are being offered, and also what other options you have. With going online, you can take your time to look at as much information as you want
2) Money – going online means that you cut out the middleman and don’t pay up to 75% commission (which is why buying at the dealership is so expensive). You get the fair price you deserve
3) Pressure – there’s no pressure to buy! We won’t push you, but our experienced Insurance Experts are at the end of a phone or available for Live Chat if you need them
4) And many more! In fact, check out our blog post here to fully understand why buying insurance online in Canada is the way forward

To find out more, check out our GAP Insurance page and get a quick and easy online quote.

What we learned in 2018

What we learned in 2018

As 2018 has ended, Obvi enters 2019 with an exciting milestone – we now help Canadians save over $1,000,000 each month by going online for Extended Auto Warranty and GAP Insurance.  As we prepared last year to launch a game changing platform to deliver comprehensive coverage at a fair price, we knew it wouldn’t be easy given some of the stigma facing the industry from decades of poor contracts and sales practices. Whilst looking forward in 2019, we also wanted to share the most talked about changes we implemented in 2018:

Value of KMs.  So many Extended Warranties have short term options, but this fails to recognize that you are investing in the future of your vehicle. With coverage up to 175,000 KM and a transfer clause, Obvi recognizes the investment made in your vehicle. Even if you expect to sell or trade your vehicle after 5 years, a 7 year/175,000KM policy drastically increases the value of your vehicle.  Without the KMs, the value of a warranty diminishes greatly.

The actual role of an auto dealer.  The role of the dealer is to sell another insurance providers’ Extended Warranty and GAP Insurance products, which are probably the only insurance products today that allow for a point of sale commission of 2 or 3 times the actual premium – it only makes sense to cut out the middleman to deliver customers fair pricing.

Realtime advice that counts. It is important for the team at Obvi that we can communicate instantly through our instant chat system to answer questions and service our customers. What separates Obvi’s advice is that you are speaking with licensed insurance advisors from the same office that will see you through a claim.  This service model creates a culture that not only celebrates new customers but those same customers who are satisfied with a claim.

Reviews. The reality is that insurance, or any financial product for that matter, isn’t something customers like to review or blog about.  Launching a new brand with a product that might not be called on for many years makes it even more interesting.  Our mission is simple – create a trusted and transparent brand that’s focused on bringing value and a better experience to customers. We see it as important to stay engaged and present on social media, Google, and places like the Better Business Bureau to grow trust and allow customers to see how we are doing.

Warranty as an Insurance Policy? Most Canadians don’t associate vehicle warranty as an insurance policy, but it is a requirement in most provinces today. The insurance industry is highly regulated to ensure that customers are treated fairly – especially when it comes to claims.

We live in an online world. Everything we do has an online option so why doesn’t this come to mind with insurance?  The Insurance industry is caught between legacy players fighting to hang on and innovators like Obvi creating real time solutions for Canadians. Major banks in Canada simply embraced and promoted the benefits of technology, where as the Insurance industry hasn’t been so ready to change.

It was recently reported that residents of British Columbia could save $434,000,000 if ICBC could create an online solution – will they innovate and find a way to pass along the savings? We hope so, just as we are doing with our specialty products.

What happens if you total a financed car without insurance

What happens if you total a financed car without insurance

It’s becoming increasingly popular in Canada to take out a long-term loan in order to finance a new car. According to CBC News, at one point earlier this year, 55 % of all new car loans were for at least 84 months (7 years). Unfortunately, people forget that having a loan over a long number of years does come with risks. One of the major risks is what happens if you total your car.

Let’s imagine this scenario. You took out a loan of $25,000 to pay for your new car. You’re in an accident and your car is totaled. Your insurance company determines that the car is worth $17,000. This is less than you imagined but you bought the car new so it depreciated quickly in value over time.

The insurance company pays the bank $17,000, and you still owe $8,000. This is what happens if you total a financed car without insurance.

However, Obvi offers a solution: GAP Insurance. Guaranteed Auto (or Asset) Protection is a type of car insurance which protects your finances when a loan is taken out to pay for your car. Going back to example of owing $8,000, this is what GAP Insurance covers.

Why do I need it?

Here are some useful points that we often go over when we explain what’s GAP Insurance.

  • “I’m a sensible driver, I’m not going to crash my car…” Hopefully you won’t ever be in an accident, but what if it is stolen? Or there is a fire? Not everything is always in our control, so if you have a long term loan, you want to have reassurance that you will be financially covered in case something happens.
  • The worst case; you don’t want to be left with a loan and no car- this can happen, and that’s why you need protection.

Summary:
What happens if you total a financed car without insurance is that you could be left with a large sum you have to pay. GAP Insurance covers the GAP between the value of the car and the amount you owe in case something happens such as accident or theft. With Obvi you can purchase GAP Insurance online. Find out more and get a free quote now.

Tips for protecting your car from being stolen or broken into

f350

Tips for protecting your car from being stolen or broken into

When I was a child growing up, I remember very clearly my parents taking every precaution they could to protect their car from being stolen. They would use a huge clunky steering wheel lock, take the radio out of the car and into the house, and open the glove box to show there was nothing in there. It was just part of their routine, but eventually over the years the safety routine has slowly diminished. Radios aren’t the valuable commodity they used to be in a car, and it is rare these days to see a visible lock across the steering wheel.

Having said that, they are still very aware that the car could be stolen and don’t leave anything inside it. Although they live in a tiny village in the countryside, they’ve had their windshield wipers taken a couple of times but luckily not the car itself. Family members in the center of a city went through such a bad patch that they even kept their car keys locked in their bedside table as car theft in the area was rife. My neighbors in Calgary in comparison aren’t very careful and said that back home in Manitoba, they permanently leave the keys in the ignition as they are so sure that their car is perfectly safe.

Whatever your safety routine is, it’s important to hear the news that car theft is up in Canada by 6% with some provinces a lot more affected than others. And interestingly, the most stolen car is the Ford F-350 with 8 different versions in the Top 10 stolen cars.

Did you take out a loan to purchase your car? Then GAP Insurance could be for you. Check out more info here.

Here are our Top Tips for protecting your car:

  • Don’t leave anything out in your car

Not sunglasses, not a coat or jacket, not your Sat Nav cable – nothing! I’ve heard people say they can’t believe their car was broken into because all they left out was a pair of sunglasses…. Just don’t leave anything out.

  • Put your shopping out of sight

Ok, so sometimes you need to leave things like shopping in the car whilst you are out and about. Put it in the trunk and make sure it’s covered so you can’t see it. If thieves are looking for stuff to steal but can’t see anything, they will move on.

  • Make sure you lock your doors

It’s surprising how easy it is to get distracted and forget, so make an effort to check the doors are locked.

  • Leave your windows up

Whatever you do, don’t leave your windows open, even if it’s just a crack. It makes it an easy target to be stolen.

  • Choose wisely where you park your car

Park your car in a well-lit place, or ideally safely away in your garage. If you regularly park in the same spot for work, it might be worth changing it up as thieves look for a routine to minimize the risk of them getting caught.

  • Don’t leave your car running and go and do something

Even in Winter when you are warming the car up and de-icing, don’t leave the engine running and quickly go back into the house. Cars do get stolen this way! Between November and December 2017, Calgary Police said that 200 automobiles were stolen whilst idling.

Find out more about Obvi’s GAP Insurance and get a free quote.

What’s the best extended car warranty in Canada?

best extended car warranty canada

What’s the best extended car warranty in Canada?

Some people may not be too familiar with extended auto warranties, and if you are, you  probably associate it with spending hours in the finance office of the dealership when buying a car going through a confusing sales process. Traditional sales processes and the extended warranty products themselves that have been on the market in Canada have created numerous pain points to extended warranty for consumers. Thats why we think Obvi is the best extended car warranty in Canada, because we have taken those bad points and eliminated them. To  prove it, lets start with what some of the negatives about extended car warranty in Canada are, and how Obvi has changed them:

  • I don’t understand the policy. Many policies being sold are full of technical jargon that might leave you confused. The sales brochures and policies themselves often list hundreds of components that are covered or not covered, the average person really cant tell what they are getting. With Obvi, the policy is easy to read and understand and put in simple terms.
  • You pay a lot for extended warranty at the dealership – Absolutely true. That’s why Obvi is great. Obvi cuts out the middleman meaning no dealer commission and you can go online directly to Obvi avoiding the difficult sales process. Obvi policies are priced fairly, and you save money.
  • The company could go bust and I lose out. We all know what happened to Sears, and it’s true – a warranty contract from the retailer isn’t always as reliable as it once was. However, Obvi sells an insurance policy and not a warranty contract. This means you are covered under detailed government financial regulations and a financially stable insurance company.
  • What if my needs change? Obvi has created the only extended warranty in Canada that can transfer through a dealer trade.  What this means is that even if you don’t use the warranty, you can get a better sale or trade value with an Obvi warranty being transferred to the next owner. If something happens and your vehicle is a write off, then there are cancelation and refund provisions in the policy.

Obvi – the best extended car warranty in Canada

Obvi is disrupting the market in Canada by bringing Extended Warranty online and saving Canadians money. Going online to purchase extended car warranty gives the consumer so many advantages and is one of the reasons  Obvi is the best extended car warranty in Canada. Here are some of the advantages of going online;

With online insurance you can shop where you like, when you like, can better pick and choose your coverage and can easily compare what different companies are providing.

Who wants to waste time calling for quotes or traveling to an office to meet in person when everything can be done in minutes online?

By going direct, the extra commissions can be removed saving you money.

An online policy will allow you to see and understand all features of what you are getting. In addition, you can review the reputation of the company issuing the policy.

A good online broker will make it easy to connect and answer questions and provide a level of advisory to complete a policy purchase. You shouldn’t have to waste time and worry about getting your questions answered.

Find out more about Obvi’s extended warranty and get a free quote.

Should I buy extended warranty on my car?

Should I buy extended warranty on my car?

Extended warranty can be great – it gives you peace of mind that if something breaks on your vehicle, you can claim back the money for the repair, which could otherwise be very costly. Obvi is changing the way that extended warranty is brought to the market in Canada, meaning that some of the negative ideas people had about extended warranty no longer exist with Obvi.

We want to bust the bad points and show why Obvi is the one and only company you should come to for extended warranty in Canada. Should I buy extended warranty on my car? With Obvi, yes you should.

Should I buy extended warranty on my car? Obvi busts the bad points

We are going to break down some of the negative things people say about extended warranty and explain why Obvi is different:

  1. The company could go bust and I lose out. We all know what happened to Sears, and it’s true – a warranty contract from the retailer isn’t always as reliable as it once was. However, Obvi sells an insurance policy and not a warranty contract. What this means is that whatever happens to Obvi, you’re covered by the insurer.
  2. You pay a lot for extended warranty at the dealership – Again, absolutely true. That’s why Obvi is great. Obvi cuts out the middleman meaning no dealer commission and you can go online directly to Obvi, which is why we are priced lower and you save money.
  3. I don’t understand the policy. With lots of companies, you are given a policy full of technical jargon that might leave you confused with hundreds of components covered or not covered. With Obvi, the policy is easy to read and understand and put in simple terms.
  4. What if my needs change? Obvi has created the only extended warranty in Canada that can transfer through a dealer trade.  What this means is that even if you don’t use the warranty, you can get a better sale or trade value with an Obvi warranty being transferred to the next owner. If something happens and your vehicle is a write off, then there are cancelation and refund options.

Who is extended warranty for?
Obvi extended auto warranty for your car, truck, or SUV can take your comprehensive coverage up to 7 years or 175,000 km, whichever comes first. Eligible vehicles in British Columbia, Alberta, Saskatchewan, or Manitoba must have 30 days or 1,000 km of remaining manufacturer’s auto warranty. So, if you fall within these limitations, then extended warranty is definitely an option for you.

Should I buy extended warranty on my car?
Vehicles are becoming more and more complicated and it doesn’t take long to realize a return with a properly priced extended warranty. You’ll have peace of mind so no need to worry. With Obvi, you won’t pay the dealership commission meaning you will again save money, and because you are buying an insurance policy, you know we will be around when you need us. Even if you don’t use the warranty while you own the car, you can still realize a return from higher resale value on the vehicle! Find out more and get a free quote now.

What’s GAP Insurance?

What’s GAP Insurance?

Although some people will have heard of GAP Insurance, others won’t have, and will have found some of the explanations on the Internet a bit confusing and not very helpful. I’ve created an article with everything you need to know about what GAP Insurance is.

GAP Insurance definition: Guaranteed Auto (or Asset) Protection is a type of car insurance which protects your finances when a loan is taken out to pay for your car.

What’s GAP Insurance: Let’s break it down

That’s the definition, but what does it actually mean? Imagine that you were involved in an accident and you totaled your car. Your insurance company determines that the car is worth $13,000. This is less than you imagined but you bought the car new so it depreciated in value over time. You still owe $17,000 because you took out a long term loan over 7 years, meaning
$17,000          – $13,000 = $4,000

What you owe – car worth = Amount you still owe
GAP Insurance protects you and will cover this $4,000 – this is the “GAP”. Obvi protects you when you take out a loan to finance your car with GAP Insurance.

Why do I need it?

Long term loans are becoming more popular in Canada. According to CBC News, at one point earlier this year, 55 % of all new car loans were for at least 84 months (7 years).
Unfortunately, people forget that having a loan over a long number of years does come with risks. Here are some useful points that we often go over when we explain what’s GAP Insurance.

  • “I’m a sensible driver, I’m not going to crash my car…” Hopefully you won’t ever be in an accident, but what if it is stolen? Or there is a fire? Not everything is always in our control, so if you have a long term loan, you want to have reassurance that you will be financially covered in case something happens.
  • The worst case; you don’t want to be left with a loan and no car- this can happen, and that’s why you need protection.

Summary:
GAP Insurance is for when you buy a car and you have a loan to finance your purchase. It covers the GAP between the value of the car and the amount you owe in case something happens such as accident or theft. With Obvi you can purchase GAP Insurance online. Find out more and get a free quote now.