Easy ways you can save on cost-of-living expenses

If it feels like everyday expenses are harder to manage, that experience is widely shared. While inflation has slowed, prices for essentials such as food, shelter and interest costs remain elevated, continuing to strain household budgets across Canada.

Grocery prices are no longer rising at the pace seen earlier in the decade, but they continue to increase year over year. Shelter costs, including mortgage interest, remain one of the largest contributors to household expenses, particularly for Canadians renewing loans at higher rates.

When core expenses stay high even as inflation cools, small financial decisions matter more. Reviewing recurring costs, renewal terms, and fixed expenses can help uncover often-overlooked savings. We spoke with Elliott Silverstein, Director, Government Relations (Insurance), about how to save on the cost of living. Did you know that car insurance that automatically renews may be costing you money? Here are some ways that you can lower some everyday expenses.  

How to lower our household expenses

You’ll want to make a list of things that automatically renew, like subscriptions to apps, streaming services, magazines, online memberships, and even your insurance. Next, flag the subscriptions that you never use, that automatically come out of your bank account. Many of us sign up for services, especially if there is a sale, and forget about them. But updating your subscriptions can save you over $100 a year. 

The same goes for auto insurance. It typically renews annually without you doing anything but putting the new pink slip in your car, but that simple action could be costing you money.  

As car insurance rates change frequently, taking a few minutes to compare policies and premiums for free is the best way to see if you’re getting the best price for the coverage you need. Car insurance policies generally have a one-year term. As your renewal date approaches, you will receive a letter from your insurer with an offer to renew, including an updated rate, policy documentation, and a new proof-of-insurance certificate (the pink slips).  

Once you receive this information, you can either accept the new price and renew the policy or switch to a different provider without being charged a fee. It is a good idea to take the time to shop around and compare your new policy’s coverages and options to your previous policy. If you do decide to switch, you will likely need to notify your existing insurer in writing that you are not renewing your policy.  

Save by switching insurance

That really depends on the person, their driving habits and their driving record. But in many cases, they could save significantly on annual premiums. CAA Members save up to 20 per cent with our competitive rates, too. 

For instance, we recently heard from a Member named Kristen Kayseas, who said she recently changed her auto insurance and saved $400 a year. Another Member, JoAnne McLean, saved about $500 a year on two vehicles. She told us she is retired and on a fixed income, so she really appreciated the savings. Her husband also switched and saved about $300. So, the savings vary, but they’re worth considering. 

If you are driving less,  CAA also offers CAA MyPace™ for those who are driving less than 12,000 km annually. This can mean big savings for you. On average, CAA MyPace ™ policyholders save 50 per cent on their auto insurance costs compared to a traditional policy. 

Our licensed agent will review your driving history and other details to provide you with the coverage you need, as well as some savings opportunities. They can also check that you’re getting the benefits and savings you deserve. You can contact an agent by calling 1-877-222-1717 or visit us online.