Question 16: What is CLEAR?

CLEAR stands for Canadian Loss Experience Automobile Rating. An agency called the Vehicle Information Centre (VIC) that is part of the Insurance Bureau of Canada, analyzes the number and severity of claims involving the various models of vehicles. From this analysis, they assign numerical values known as rate groups to each vehicle by coverage. This rating system is used by insurers as part of their calculation in determining your insurance premium for Collision, Comprehensive/Specified Perils and, sometimes, Accident Benefits coverage. CLEAR rate groups are updated frequently to help ensure that policyholders are paying appropriate premiums.

Please visit the IBC website below for additional details:
http://www.ibc.ca/pe/auto/buying-auto-insurance/how-auto-insurance-premiums/clear