However, the amount you pay may be significantly higher or lower, depending on where you live. Car insurance rates can vary substantially depending on factors such as your driving history and type of vehicle. However, while the average cost of car insurance in Ontario may be a long way (in either direction) from what you pay, it's still a good base when you're looking for prices. Read on as we look at the figures for Canada's most populous province, including the average insurance rates for new drivers in Ontario.
Young drivers can save money on insurance by being listed as secondary or occasional drivers on their parent's policy. In addition to waiting until they are older to buy a vehicle of their own, they can ensure that they go through Ontario's phased licensing system as soon as possible. Now, you might wonder why the average cost of car insurance in Ontario per month is so much higher than in other parts of the country. Let's take a look at the main reasons.
Ontario is home to one of the most densely populated metropolitan regions in North America: the Toronto metropolitan area. Research has shown that residents of any highly populated region experience a higher incidence of car accidents. Another reason for the high average cost of insurance in Ontario is that the provincial government requires a higher minimum coverage than that found in many other North American regions. Now that you know the average car insurance costs in Ontario and why they're so high, let's take a closer look at the individual factors that determine the rate you'll end up with.
Keep in mind that these factors apply even to temporary auto insurance, such as policies that accompany car rentals. As you know, some of the convictions for driving violations stay with you for a certain period (1 to 10 years). For example, a conviction for negligent driving in Ontario will remain on your driving record for three years. You can increase car insurance premiums from 10% to 50% (depending on your policy and the severity of the charge).
In some cases, a single careless driving charge can result in a premium increase of several hundred dollars a year, which can add up over time. However, your premium increase may be lower if you have a clean driving record and haven't filed previous insurance claims. Drivers in rural areas face a different set of risks than in cities, hence the discrepancy between fares. Winter tires greatly reduce the likelihood of accidents, which is why insurance companies offer discounts to drivers who use them.
However, if you are at fault, your rates may be affected and the accident will remain on your record for up to 10 years in Ontario. The exception would be if this is your first accident and your insurance policy includes forgiveness. If your premiums increase, they may increase by more than 30% depending on the circumstances. This can cost significantly more than the average car insurance in Ontario.
Buying insurance can be a challenge. Even though you know the average car insurance rates in Ontario, individual providers weigh several factors differently, meaning that your rates are likely to vary substantially from company to company. No company can claim to have the lowest rates in Ontario, given how much things can vary depending on individual factors. Start a quote with Surex to find out which company is the cheapest for you.
When you apply for an auto insurance policy, insurance companies ask you to predict the number of kilometers you expect to travel over the next year. There has been pressure to add private insurers in the province, offering more options and competition as a way to reduce rates, but so far British Columbia doesn't seem very interested in giving up its monopoly on car insurance. Ontario's auto insurance market is the largest in Canada, and most insurance companies compete for business. Your car insurance quote will always include third-party auto insurance coverage, as it's mandatory in every province and territory in Canada.
Auto insurance companies in provinces with private insurance marketplaces don't charge the same for coverage. Some insurance companies offer short-term insurance options, but it won't be easy to find information on their websites. Any insurance you take out must come from a company or broker that has a license to sell auto insurance issued by the Government of Ontario. So far, we've covered average car insurance costs based on age, gender, license grade, and average rates in Ontario.
Ontario, Alberta, the Maritime Islands, and the territories have private insurance markets, meaning you can get quotes from several insurance companies. This is due to a greater concern about insurance fraud compared to any other province, but also to the nature of insurance laws. A non-standard policy is insurance jargon for a policy created for a person who is considered risky to insure. Even if you drive for an app that offers insurance, you should let your car insurance company know before becoming a rideshare driver.
These types of coverage are often optional and can be added to an auto insurance policy if you want additional protection. There are many tactics you can use to lower your car insurance premiums, but some of them make a bigger difference than others. Vehicle insurance is mandatory in Ontario, but unlike British Columbia, you have the option of searching for the best deal through private insurers. .