Cheap Ontario Car Insurance Quotes

Insurance companies use similar rating factors to determine your quote but evaluate risk differently. This results in different prices for the same coverage. As a result, provincial regulators, like FSRA, recommend shopping around and getting multiple quotes before you purchase a policy. It's the easiest way to ensure you get the best rate available.

According to data from RATESDOTCA Insuramap, Cornwall, Elizabethtown, Amherstview, Gananoque, Martintown, Iroquois, Brockville, and Kingston are tied for the cheapest auto insurance in Ontario; they all have the average auto insurance premium of $1,132 per year.

Generally, smaller, more rural locations tend to have lower car insurance rates than big cities with high traffic density. For example, cities like Toronto and Brampton have some of the highest insurance rates in the province, while smaller cities like Belleville are relatively cheap.

According to proprietary data from RATESDOTCA Insuramap, Ontario's cities with the most expensive car insurance are all part of the GTA. Vaughan has the most expensive car insurance rates on average of $2,179 per year, followed by Ajax at $2,104 per year, Richmond Hill at $2,025 per year, Brampton at $1,976 per year, Mississauga at $1,971 per year, and Pickering at $1,959 per year.

Did you know the make and model of the vehicle you drive significantly impact your rates?

Insurance companies pour a lot of time and money into accurately predicting the likelihood of each car model on the road being stolen and what it would cost to repair it.

So, which models were the cheapest to insure in Ontario in 2022?

To find out, we looked at some of the best-selling cars in Canada and compared quotes for a 35-year-old driver from Toronto without any convictions or tickets who lives in the west-end postal code of M6H.

The top three spots were occupied by pickup trucks. The best-selling 2021 GMC Sierra, a light-duty pickup truck, came first, commanding premiums of $1,779 per year (about $150 a month).

That's 9% less than the average Toronto premium of $1,952 in late 2021.

The Chevrolet Silverado ($1,811) and the Ford F-150 ($1,862) came in second and third, respectively.

According to the Insurance Institute for Highway Safety, pickup trucks are among the safest vehicles on the road, which helps keep their rates low.

No surprise then that when we compared cars by body type, pickups continued to reign supreme.

The Chevrolet Colorado cost $1,542 annually ($128 monthly) to insure in late 2021. Insurance for this car is 21% cheaper than the Toronto average.

The Honda Civic is one of the most stolen vehicles in Canada, which is part of the reason it is more expensive to insure. The Civic costs $2,592 annually ($216 monthly) to insure in Toronto, or 33% more than the average premium.

How does your car compare? Check out our complete rankings of the cars that are cheapest to insure in Ontario in 2022, including an analysis of cars by price, body segment, and overall popularity.

Statutory accident benefits provide coverage if you are injured in an automobile accident, regardless of who is at fault. This helps cover the costs of medical expenses, including physiotherapy and rehabilitation costs that OHIP doesn't pay. This coverage is mandatory in Ontario and included in a standard auto insurance policy.

Here is a more detailed breakdown of what statutory accident benefits cover:

• Income Replacement Benefits: Weekly replacement of 70% of your gross income up to $400 per week.
• Medical, Rehabilitation and Attendant Care Benefits: Up to $65,000 for serious injuries like sprains and broken bones, and $1 million for catastrophic injuries like loss of limb, paralysis, etc.
• Caregiver Benefits: Up to $250 per week for the first dependant and $50 per week for each additional dependant for catastrophic injuries.
• Housekeeping and Home Maintenance Expenses: Maximum of up to $100 payout per week in the case of a catastrophic injury.
• Death and Funeral Benefits: Up to $25,000 payout to the spouse, $10,000 for each dependent, and a maximum of $6,000 in funeral costs.

Additional protection is available for purchase on top of the minimum Statutory Accident Benefits in a basic policy. This includes:

• Income Replacement Benefits: Can be extended to $600, $800, or $1000 per week.
• Medical, Rehabilitation and Attendant Care Benefits: Can be increased up to $1 million for serious injuries and $2 million for catastrophic injuries.
• Caregiver Benefits Expenses: Can be increased to apply to all injuries, not just catastrophic ones.
• Housekeeping and Home Maintenance Expenses: Can be increased to apply to injuries, not just catastrophic ones.
• Death and Funeral Benefits: Can be increased to $50,000 for the spouse, $20,000 for each dependant, and $8,000 for funeral costs.

Insurers in Ontario must go to the Financial Services Regulatory Authority of Ontario (FSRA) to increase (or decrease) rates. FSRA releases a list of these insurance companies, and the approved rate changes shortly after approval is granted.

As of fall 2022, car insurance prices are rising again after a long period of no growth.

Ontario drivers dealt with years of consecutive price increases for car insurance. But 2020 marked the first time in memory when car insurance prices stayed flat, even decreasing for some.

People drove less during the first few waves of the COVID-19 pandemic, and insurance companies issued rebates to policyholders who had decreased their coverage or needed financial relief.

Mass vaccination programs have allowed Ontarians to return to routines that resemble their pre-pandemic ones. With that, the sweet sights and sounds of rush hour traffic have returned.

Predictably, the agency that helps regulate auto insurance prices approved 31 rate changes by October 2022 (compared with one in all of 2021 and zero in 2020).

More cars on the road mean a higher likelihood of people being involved in a collision resulting in a claim, which their insurance company will pay.

But that's not the only reason premium increases are making a comeback.

The cost for insurers to provide coverage has increased due to the pandemic-time economy.

Record-high inflation is putting strain on insurers' business costs.

And essential computer parts, particularly semiconductors, have been in short supply due to China keeping COVID restrictions active longer than the West.

A Canada-wide spike in car thefts is also aggravating the situation as drivers with comprehensive insurance file claims to have their cars replaced. Thefts in Toronto alone were up 45% compared with 2021.

Plus, the issues that predate the pandemic, which insurers said were forcing them to raise prices, still exist.

For example, car repair costs have increased as manufacturers introduce new technologies like sensors and cameras to even entry-model cars.

Distracted driving due to cell phone use has increased on Ontario's roads. The province now reports that accident benefits and third-party liability claims account for more than half of all auto insurance claims.

If you feel like you're paying too much, one of the most effective and immediate ways to lower your car insurance costs is to shop around for quotes, according to the Financial Services Regulatory Authority of Ontario (FSRA). Ontario drivers save $772 on average when comparing car insurance quotes on RATESDOTCA.*