Cheapest Car Insurance in Ontario: Insurers and Ways to Cut Your Premium

Among the six provinces the General Insurance Statistical Agency (GISA) measures the same way, Ontario had the highest average car insurance premium in 2024, so the difference between a cheap and an expensive quote for the same driver can be large. This page covers the insurers to quote, the discounts Ontario insurers offer, and the coverage choices that lower an Ontario premium. Ontario’s coverage rules and how rates vary by city are on the main Ontario car insurance page, and the full set of our guides is in the car insurance hub.

What Ontario drivers pay

These are averages of what insurers earned per insured private passenger vehicle across all coverages. Young and newly licensed drivers, drivers with at-fault accidents or convictions, and drivers in higher-cost postal codes typically pay more than the average, and experienced drivers with clean records in lower-cost areas often pay less. How Ontario compares with other provinces is on the average car insurance by province page.

Insurers to quote in Ontario

No insurer is cheapest for every driver. Each company weights age, record, vehicle and postal code differently, so the useful approach is to quote several with identical coverage.

The Co-operators and CAA Insurance also sell car insurance in Ontario and are worth including in a comparison. How these companies compare on claims service and coverage, not just price, is covered in best car insurance companies in Canada.

Direct, broker, bank or group plan

Because direct-only insurers do not appear in broker quotes, getting both a broker quote and two or three direct quotes covers much of the Ontario market. Quoting again before renewal, and after a move, a new car, a paid-off loan or any major life change, catches repricing.

Ontario discounts to ask for

Apart from the winter tire discount, which Ontario insurers must offer, and the graduated licence reduction described below, each discount and its size is up to the insurer, so ask each one which it offers.

Telematics programs in Ontario

Usage-based insurance scores driving habits such as hard braking, rapid acceleration, speeding, time of day and distance. Several Ontario insurers run programs (see the table above), and their terms differ. For example, Desjardins’ Ajusto gives 10% off for the first six months, can lower the premium by up to 25% at renewal, and can also raise it by up to 20% for riskier driving. Check whether a program can increase your premium before you enrol.

Because telematics prices your own driving rather than only your postal code and profile, it can matter more for careful drivers in higher-cost areas.

Coverage choices that cut an Ontario premium

Deductible

A higher collision or comprehensive deductible lowers the premium; how much depends on the insurer, so ask for quotes at two or three deductible levels. A higher deductible is only practical if you could pay it from savings after a claim.

What can and cannot be removed

In Ontario, third-party liability coverage of at least $200,000, statutory accident benefits and uninsured automobile coverage are mandatory. None of the three can be dropped. Collision and comprehensive can be, unless the car is financed or leased and the lender requires them; what each one covers, and how to compare the premium with the most a claim could pay, is explained in collision vs comprehensive insurance.

For Ontario policies bought or renewed on or after July 1, 2026, medical, rehabilitation and attendant care benefits remain mandatory, and all other accident benefits, including income replacement, non-earner and caregiver benefits, are optional. Declining the optional benefits can lower the premium but removes that protection after an injury, a trade-off explained on the Ontario car insurance page.

After an at-fault accident

An at-fault accident typically raises the premium at renewal, and the effect can last several years; how much, and for how long, depends on the insurer. Accident forgiveness, bought before an accident, stops the first at-fault claim from raising your rate with that insurer. After an accident, insurers still surcharge the same claim differently, so comparing quotes remains worthwhile.

Situations that change the approach

• G2 drivers: FSRA says a driver who reaches a G2 licence with no chargeable convictions or at-fault accidents should receive a rate reduction of 10% on all coverages for one year, and another on reaching a G licence with no chargeable convictions or at-fault accidents during the G2 stage. Being listed on a parent’s policy and completing an approved driver education course can also lower the cost; the licensing stages are covered in car insurance for new drivers.
• New to Ontario: a letter from your previous insurer showing your driving and claims history helps an Ontario insurer recognize your experience.
• Choosing a car: the model you insure affects the price, since theft rates and repair costs vary by model; see cheapest cars to insure in Canada.

The general levers that apply in every province, such as bundling and paying annually, are covered in our guide to lowering a car insurance premium.

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