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A 5-Year Look at Ontario Auto Insurance Rates

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Ontario auto insurance rates often change. Sometimes they increase, and believe it or not, sometimes they go down.

Auto insurance in Ontario is highly regulated and an insurer cannot increase, or decrease, their rates on a whim. Any change to an insurer’s rates must be approved by the Financial Services Regulatory Authority of Ontario (FSRA), a Crown corporation of the province that answers to the government’s Ministry of Finance.

FSRA assumed the regulatory functions of the Financial Services Commission of Ontario (FSCO) who, until June 2019 when FSRA officially took over, previously approved auto insurance rate changes in the province. The new agency, FSRA, is taking over the reins of insurance rate approvals at a time when rates have been on an upward climb for nearly two years. But that hasn’t always been the case.

A History of Ontario Car Insurance Rates

Four times a year, the approved changes in rates are released and the following tracks how rates have increased, and decreased, industry-wide over the last five years.

2019 Average Approved Car Insurance Rate Change
Quarter Average Increase/Decrease # of Insurers Approved
Q2 1.99 percent 18
Q1 2.70 percent 23
2018 Average Approved Car Insurance Rate Changes
Quarter Average Increase/Decrease # of Insurers Approved
Q4 3.35 percent 23
Q3 2.06 percent 20
Q2 1.11 percent 37
Q1 2.23 percent 32
2017 Average Approved Car Insurance Rate Changes
Quarter Average Increase/Decrease # of Insurers Approved
Q4 1.03 percent 17
Q3 -0.10 percent 15
Q2 0.76 percent 22
Q1 1.24 percent 48
2016 Average Approved Car Insurance Rate Changes
Quarter Average Increase/Decrease # of Insurers Approved
Q4 -0.14 percent 10
Q3 1.5 percent 25
Q2 0.33 percent 14
Q1 -3.07 percent 50
2015 Average Approved Car Insurance Rate Changes
Quarter Average Increase/Decrease # of Insurers Approved
Q4 -0.15 percent 21
Q3 -0.50 percent 40
Q2 0.60 percent 26
Q1 -0.95 percent 39
2014 Average Approved Car Insurance Rate Changes
Quarter Average Increase/Decrease # of Insurers Approved
Q4 -0.54 percent 16
Q3 -0.11 percent 9
Q2 0.22 percent 5
Q1 -1.01 percent 14

Wide Range in Approved Rate Changes

The average increase (or decrease) reported for each quarter from the last five years is a good indicator on the direction the industry was (or is) heading, but it’s important to remember that these are industry-wide numbers. The numbers that are really interesting are the insurer-specific change in rates.

Last quarter, for example, when the average approved rate change clocked in at a 1.99 percent increase, one insurer actually dropped their rates in the neighbourhood of 1.20 percent while another increased their rates an average of 20 percent. And, it’s because of situations just like this that makes shopping around at renewal time essential. There’s an ebb and flow to insurance rates and when your insurer is increasing their rates another might be lowering them.

Find Your Lowest Rate at Rates.ca

At Rates.ca, we’ll help you find your lowest auto insurance rate. All you need to do is take us up on the offer. Put your insurer’s rates to the test today and compare quotes from our network of 30+ car insurance companies.