News & Resources

Car Insurance Rates Have Decreased in Ontario

Oct. 15, 15
3 mins
Professional couple in grey vehicle

Auto insurance rates have decreased by an average of 0.50% in Ontario, with some companies dropping rates by as much as 4.1%, the Financial Services Commission of Ontario (FSCO) reports.

Previously, rates had increased by an average of 0.60% in the second quarter.

Every quarter, insurers can file a request to FSCO for approval to increase or decrease their rates. This quarter was special because insurers who didn't already offer a winter tire discount were required to submit a request by August 28, 2015. As of January 1, 2015, all insurers in Ontario will be required to offer drivers who use winter tires a winter tire discount, typically averaging about 5%.

This move is in response to the Ontario Liberal government's pledge to decrease auto insurance rates in Ontario. Back in 2013, they promised to reduce rates in the province by an average of 15% within two years, but when August -- the deadline -- rolled around, rates had decreased on average only about 7%.

This quarter's decrease is a good sign.

"The average rate changes reported are a strong indicator of the direction of premiums in the upcoming policyholder renewal cycle," FSCO said.

Will My Rates Go Down?

Just because rates have decreased on average does not mean your rates are guaranteed to go down. Some drivers will see decreases and some will see increases, while others will see no change at all.

Other Ways To Save On Car Insurance

Thankfully, there are other ways to save on your auto insurance.

  • Bundle your home insurance and auto insurance for discounts of 5% to 15%
  • Install winter tires when temperatures average 7 degrees Celsius
  • Maintain a clean driving record
  • Ask your provider about any discounts you may be eligible

And more importantly, the quickest way to save is to compare rates to see if you could be getting a better deal today.


The RATESDOTCA editorial team are experienced writers focused on sharing stories and bringing you the latest news in insurance and personal finance. Our goal is to provide Canadians with the information and resources they need to make better insurance and financial decisions.

Latest life insurance articles

How Does Vaping and e-Cigarettes Affect Life Insurance?
Many insurers may classify vaping in the same way they do smoking. If you smoke or vape, you can still qualify for a life insurance premium, but in all likelihood, you will pay a higher rate than someone who does not.
Credit Life Insurance: Is It Worth It?
You’re a new homebuyer in the final stages of closing a mortgage. Suddenly the lender rep asks if you want to take out a life insurance policy for your mortgage. Do you take it?
What Not to Do Before a Life Insurance Medical Exam
The night before a medical exam for your life insurance is important and shouldn’t be taken lightly.