Car Insurance in Ontario | Get an Affordable Quote Online (2024)

FAQs

How much is car insurance in Ontario per month? ›

In Ontario, the average car insurance policy costs approximately $150 a month, or $1,796 annually, varying by location. This means that car insurance rates have gone up an average of 12% in Ontario since 2021.

USAA, Nationwide, Travelers, Erie, Geico and Progressive are the cheapest car insurance companies nationwide, according to our analysis.

On average, CAA Insurance offers the lowest auto insurance rates for older drivers (65+) in Ontario. Three different companies (CAA, Aviva, Jevco) had the best rate for at least one of the seven older driver profiles.

To keep up with inflation and market conditions, the Financial Services Regulatory Authority of Canada approved rate increases for auto insurance companies, which will be in effect this year. As we head into 2024, elevated inflation and rate increases will only mean higher premiums for customers.

After age 25, insurance premiums usually drop.

In Ontario, all motorists are legally required to have auto insurance. Fines for vehicle owners, lessees and drivers who do not carry valid auto insurance can range from $5,000 to $50,000. Your driver's licence can be suspended and your vehicle impounded if you drive without valid auto insurance.

Retiree discount for car insurance

In Ontario, when you retire and assuming you meet certain criteria, you can be eligible for a retiree discount that can amount to 5-15% off of your premium for accident benefits coverage.

The minimum requirement for mandatory auto insurance in Ontario is $200,000 in Third Party Liability, Direct Compensation – Property Damage, Accident Benefits, and Uninsured Automobile coverage.

Can non-residents get car insurance in Canada? It's possible. Foreigners can apply for non-resident car insurance plans. You will need an international driving permit or a valid Canadian drivers licence.

What is the minimum coverage for car insurance in Ontario? All Ontario drivers must carry the following coverages: Third Party Liability coverage (minimum $200,000 if you're at fault for someone else's losses, although most drivers opt for at least $1 million);

What is the cheapest category for car insurance? ›

So it's important to understand insurance groups – after all, there are 50 of them in total. Cars in group 1 are the least risky from an underwriter's perspective and the cheapest to insure. Those in group 50 are the riskiest and most expensive – usually higher performance models and luxury SUVs.

Liability insurance is generally the cheapest car insurance coverage because it only covers the cost of bodily injuries and property damages for another party if you're at fault for an accident. It doesn't cover damages to your vehicle or costs associated with your injuries.