Car Insurance Ontario : Get a free online quote | belairdirect (2024)

FAQs

How to get cheap car insurance in Ontario? ›

As long as you're shopping with a legitimate insurance company, it's safe to buy auto coverage entirely online. Many of the top auto insurers in the country allow you to buy coverage through their websites.

Does getting insurance quotes affect your credit score? No, there is no hard credit pull when you get a car insurance quote, so shopping around won't affect your credit score. A hard credit pull generally happens when you apply for credit, such as a mortgage or credit card.

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

RATESDOTCA Auto Insuramap data from 2023 shows that the average Ontario car insurance premium is $1,744 annually or $145 monthly. The Financial Services Regulatory Association of Ontario estimates the average Ontario car insurance premium to be $1,796 annually or $149.67 monthly as of October 2023.

Online car insurance policies are generally cheaper than those offered by insurance agents as these don't include commissions and other fees. Most auto insurance companies also offer discounts if you purchase car insurance online. However, using an agent has its share of benefits.

The differences in rates are based, among other factors, on the specific experience of the particular group of insureds a company insures. Therefore, it is always a good idea to obtain quotes from several insurers. Consumers who shop get better value for their insurance dollar than those who do not.

After age 25, insurance premiums usually drop.

In Ontario, insurers are only permitted to decline car insurance applications in accordance with their specified underwriting rules. These rules must be filed with and approved by the Financial Services Regulatory Authority of Ontario (FSRAO).

Why is auto insurance going up in Ontario? ›

The auditor reported in 2022 that Ontarians were paying the highest average car insurance premiums in the country. Since then, rates across Canada have increased further due to a combination of inflation, rising auto theft, and pandemic-driven supply chain issues. Forecasts predict further premium hikes in 2024.

How much your score affects your rates varies between states. Four states — California, Hawaii, Massachusetts and Michigan — ban companies from using your credit report to determine insurance rates. Instead, companies in these states base rates on your driving record, location and other characteristics.

Yes, State Farm does use your credit score as a factor when determining your car insurance rates, as do most major insurers. However, credit checks by auto insurers do not harm your credit score and are only done in states where it is legal for your credit score to affect your rates.

Similar to how creditors can use different types of credit scores, insurance companies can choose from various credit-based insurance scores. For example, FICO, TransUnion and LexisNexis all create credit-based insurance scores, and insurance companies also might develop their own scores.

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.

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.

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.