Compare Car Insurance Quotes in Oakville

Jump straight to:

• Car insurance in Oakville
• How to get Oakville car insurance quotes on RATESDOTCA
• Mandatory and optional auto insurance in Oakville
• How much does car insurance cost in Oakville?
• How Oakville car insurance rates compare to other Ontario cities
• Which companies offer car insurance quotes in Oakville?
• Factors that affect your Oakville car insurance premium
• Tips on getting cheap car insurance in Oakville
• Frequently asked questions about car insurance in Oakville

Car insurance in Oakville

Oakville is a car-centric city, with drivers hopping on and off the nearby 400-series highways all day. If you live in Oakville, driving is likely a part of your everyday routine, and your household may even have more than one vehicle. Despite so many cars on the road — congestion is a risk factor for high insurance rates — auto insurance in this suburb is cheaper than in many other major GTA cities.

Oakville drivers who want to get the best available deal on their auto insurance premiums can get the best rates by comparing quotes online. All it takes is some basic info and a couple of minutes to get started.

RATESDOTCA makes it easy to compare auto insurance quotes from multiple Oakville insurance companies. Plus, it’s completely free.

All drivers in Ontario must have car insurance for their vehicle to operate it legally. At a minimum, you must hold third-party liability, accident benefits, and direct compensation property damage (DCPD).

Oakville follows Ontario’s auto insurance system, which can be described as a limited no-fault system.

No-fault insurance in Oakville 

‘No-fault’ means that drivers deal with their insurance company after they've been in an accident and need to file a claim. This means your accident benefits (and sometimes the cost of repairing or replacing your car) will be paid by your insurer — you won't need to sue the other party for compensation.

It’s a 'limited' no-fault system since Ontario drivers have the right to sue for damages (pain and suffering, for example). In a pure no-fault system, drivers don't have the ability to sue.

Another hallmark of no-fault car insurance systems is direct compensation property damage (DCPD). This feature pays for damage to your car. The settlement is proportionate to the final fault assessment. For example, if you were 75% responsible for an accident, your DCPD will cover 25% of the cost of repairing your car. If you’re 100% at fault, you get nothing.

In 2024, Ontario drivers will have the ability to remove DCPD coverage from their insurance policies for a cheaper rate.

Car insurance price regulation in Oakville 

Ontario has a private insurance market, meaning drivers purchase insurance from private companies.

This differs from other provinces, where drivers purchase coverage from a public, provincially-run insurance provider.

To ensure that private companies offer fair prices to consumers, the Ontario government regulates car insurance prices. The body in charge of doing this is the Financial Services Regulatory Authority of Ontario (FSRA).

Its mandate is to ensure that premiums remain affordable but are also enough to keep insurance companies solvent. Insurance companies must submit requests to FSRA to change rates along with a justification for the increase or decrease. FSRA publishes approvals soon after.

Factors that affect your Oakville car insurance premium

Your driving record
A track record free of traffic convictions (minor ones include speeding; major ones are considered driving under the influence, driving without a licence or insurance) ensures you pay the lowest possible rate. 

If you’re convicted under the Highway Traffic Act, it will remain on your insurance record for six years (potentially more). 

It takes time to reap the benefits of driving safely, but it’s guaranteed to work. If you put in the work and stick to it, you’ll see your premium shrink each time your insurance policy renews.

Your insurance history 
Your insurance history also impacts your rate, as the past is a strong indicator of future behaviour, according to insurance actuaries (insurance professionals whose job is to calculate and forecast risk). 

Do the following to build a strong relationship with your insurance company — and get a cheaper insurance rate:

• Pay your premium on time
• Tell the truth about the car you’re insuring and where you live.
• Be selective about filing claims – pay out of pocket when you can.
• Practice defensive driving.

Drivers in their teens and twenties are charged some of the highest rates of any demographic because they haven’t yet acquired a long enough history with any insurer.

However, by doing the above, you're ensuring that you won’t be surcharged for coverage and that by your mid-twenties, your rates will go down.

Your coverage

Buying more insurance than what’s required by the provincial government will increase your premium, but it will also save you thousands of dollars if you ever get into a major accident.

Legal and medical expenses have increased steeply since the mandatory requirements were set.

Insurance professionals often recommend purchasing at least $1 million in third-party liability insurance — four times the legal requirement.

Another scenario where it makes sense to buy more insurance is when you have a newer car, or one that you can’t afford to repair or replace out of pocket. In that case, collision and comprehensive insurance is likely worth having.

An insurance professional can help you decide which coverages you can afford to buy more of and which you can reduce.

Your neighbourhood

Insurance companies pool money from customers within a geographic area to fund settlements. Insurance companies use forward sortation areas (FSA) to draw boundaries, which are more commonly known as the first three characters in your postal code.

Depending on claims activity within an FSA, premiums can be high or low. More claims result in higher premiums and vice versa.

Your commute

The more you drive, the higher your car insurance premium.

That’s because the likelihood of you filing a claim increases when you drive frequently and for long distances. If possible, substituting the car with GO Transit can for your daily commute can help reduce your car insurance costs.

Tips on getting cheap car insurance in Oakville

Here are some tactics you can try to lower your Oakville car insurance premium.

1. Compare quotes: The consumer protection agencies on the provincial and federal levels recommend comparison shopping before you ink a contract with a car insurance company. RATESDOTCA makes shopping around easy by aggregating quotes from Canadian insurance providers.
    
2. Get the appropriate amount of coverage: Having the right amount of insurance coverage is extremely important. We definitely don’t recommend lowering your coverage just to get a cheaper premium. It’s far cheaper to pay a premium than it is to pay for legal and medical expenses out of pocket. 
   
   However, if you have collision and comprehensive insurance on a car that’s over five years old, you might be able to get away with dropping those coverages. After five years, many cars depreciate to the point where it’s cheaper to pay out of pocket to repair or replace them. Before you remove those coverages, you should speak with an insurance professional. 
   
   We also recommend increasing the policy limits for accident benefits and third-party liability insurance. For the latter, it’s recommended to buy at least $1 million dollars in coverage, which is four times the legal minimum required.
    
3. Bundle home and auto insurance: Bundling home and auto coverage with the same insurance company can reduce your annual insurance costs by 15% or more.
    
4. Try telematics or usage-based insurance (UBI): Telematics technology allows insurance companies to monitor your driving habits through sensors and GPS. Some of what it can detect are braking speed, average speed, and distance travelled. Several insurance companies operating in Ontario offer discounts for drivers who install a telematics device into their car’s diagnostic port and who demonstrate good driving behaviour over the course of a year. 
   
   Joining a telematics program can lower your premium by as much as 25% at renewal. However, in Ontario, insurers can now surcharge you if the data shows you haven’t been a careful driver.
   
   UBI is a product that relies on telematics technology, but its concern is how many kilometres you drive rather than how you’re driving. You pay for a set number of kilometres up front (about 10,000-12,000 kilometres per year), so you’re rated as a low-mileage driver. Then for every extra 1,000 kilometres you log, you pay extra. UBI essentially helps you control your premium a bit more, so you’re paying for what you use and nothing more.
    
5. Drive less: If you think a UBI policy might be too restrictive, you can still lower your insurance costs by cutting back on driving. Actuarial data has long shown that spending more time on the road increases the probability that you’ll need to file an insurance claim — and claims will raise your insurance premium. That’s why insurance companies charge high-mileage drivers more than ones who drive less than 10,000 kilometres per year.
    
6. Increase your deductible: A deductible is the amount a policyholder pays for a claim before the insurance company pays a settlement. Sometimes an insurer will lower your premium if you offer to pay a higher deductible because you save the insurance company money if you offer to shoulder more of the risk.
    
7. Apply for discounts: Insurance companies offer discounts for union memberships, profession, and alumni status. For younger drivers, some insurers offer discounts for maintaining a certain grade point average. Ask an insurance professional about all the discounts that may apply to you. 
    
8. Avoid additional drivers: Adding a second driver will raise your insurance premium, even if the secondary driver has a good driving history. You might want to ask them to chip in on insurance.
    
9. Pay for the year upfront: It’s not feasible for every driver, but if you can, paying your entire insurance bill upfront can lower your insurance premium. You’re saving the insurance company money on overhead costs.
    
10. Buy an endorsement: Endorsements are optional insurance products that you can add to your policy. They’re different from regular products because they change the terms of your contract (I.e., your insurance policy). Ontario allows you to purchase some endorsements that reduce your coverage for some risks. For example, you can waive coverage for glass repair in exchange for a lower premium. Speak with an insurance professional to see if the pros of such a move outweigh the cons.