Average Car Insurance Rates Ontario 2026
| Driver Profile |
Average Annual |
Average Monthly |
| Clean record, 35+ years |
$1,500-2,000 |
$125-167 |
| Average driver |
$1,800-2,400 |
$150-200 |
| Young driver (under 25) |
$4,000-6,000 |
$333-500 |
| New driver (G2) |
$3,500-5,500 |
$292-458 |
| At-fault accident (recent) |
$3,000-5,000 |
$250-417 |
Cheapest Insurance Companies Ontario
| Company |
Best For |
Notable Feature |
| Belairdirect |
Online shoppers |
No broker fees |
| Sonnet |
Tech-savvy drivers |
Fast online quotes |
| TD Insurance |
TD customers |
Banking discounts |
| CAA Insurance |
CAA members |
Member discounts |
| Intact Insurance |
Multi-vehicle |
Large network |
| Aviva |
Bundling |
Home + auto discounts |
| The Co-operators |
Clean records |
Loyalty rewards |
| Economical |
Good drivers |
Usage-based savings |
How to Get Cheaper Car Insurance
Biggest Savings Factors
| Factor |
Potential Savings |
| Good driving record |
40%+ |
| Higher deductible |
10-30% |
| Bundle home + auto |
5-15% |
| Pay annually vs monthly |
3-5% |
| Multiple vehicles |
5-15% |
| Winter tires |
2-5% |
| Usage-based insurance |
10-25% |
Available Discounts
| Discount |
Typical Savings |
How to Get |
| Multi-vehicle |
5-15% |
Insure 2+ cars |
| Multi-policy |
5-15% |
Bundle home + auto |
| Good driver |
5-25% |
Clean record 3-6 years |
| Loyalty |
2-10% |
Stay with insurer |
| Winter tire |
2-5% |
Install by Dec 1 |
| Student |
5-15% |
Good grades, driving course |
| Professional |
2-10% |
Some professions qualify |
| Group rate |
5-15% |
Employer, alumni, association |
| Telematics |
5-25% |
App monitors driving |
| Retiree |
5-10% |
Age 55+ |
Cost Factors You Control
Deductible Impact
| Deductible |
Premium Impact |
| $500 |
Highest premium |
| $1,000 |
~10% lower |
| $2,000 |
~20% lower |
| $2,500 |
~25% lower |
Tip: Higher deductible if you can afford out-of-pocket repairs.
Coverage Choices
| Coverage |
Required? |
To Save |
| Liability |
Yes ($200k min) |
Can’t remove |
| Accident benefits |
Yes |
Can’t remove |
| Uninsured motorist |
Yes |
Can’t remove |
| Collision |
No (if no loan) |
Remove if car old |
| Comprehensive |
No (if no loan) |
Remove if car old |
When to Drop Collision/Comprehensive
| Vehicle Value |
Collision Worth It? |
| Under $3,000 |
Probably not |
| $3,000-$7,000 |
Maybe |
| Over $7,000 |
Yes |
| Financed/leased |
Required by lender |
Factors That Affect Your Rate
What Insurers Consider
| Factor |
Impact |
Your Control |
| Driving record |
Very high |
Yes |
| Location (postal code) |
High |
Somewhat |
| Age & experience |
High |
No |
| Vehicle type |
Medium |
Yes |
| Annual mileage |
Medium |
Yes |
| Claims history |
High |
Somewhat |
| Credit (in some provinces) |
Medium |
Yes |
| Gender |
Low-Medium |
No |
| Marital status |
Low |
No |
Most Expensive Areas (Ontario)
| Location |
vs. Ontario Average |
| Brampton |
+30-50% |
| Scarborough |
+20-40% |
| Toronto downtown |
+15-35% |
| Mississauga |
+15-30% |
| Markham |
+10-25% |
| Ottawa |
Average |
| London |
-10-15% |
| Hamilton |
-5-10% |
| Rural Ontario |
-20-30% |
Compare Insurance Options
Online vs Broker
| Channel |
Pros |
Cons |
| Online direct |
Lowest prices, instant |
Limited advice |
| Broker |
Shops multiple companies |
May cost more |
| Bank |
Bundle discounts |
Limited options |
| Group plan |
Pre-negotiated rates |
Limited choices |
Best Way to Compare
| Step |
Action |
| 1 |
Get 3-5 quotes same day |
| 2 |
Compare same coverages |
| 3 |
Check reviews/complaints |
| 4 |
Ask about all discounts |
| 5 |
Review policy details |
Usage-Based Insurance (UBI)
How It Works
| Program |
Company |
Savings |
| My Drive |
TD |
Up to 25% |
| Sonnet |
Sonnet |
Up to 20% |
| Ajusto |
Desjardins |
Up to 25% |
| Automerit |
CAA |
Up to 20% |
| OnStar |
Various |
Up to 15% |
What’s Monitored
| Factor |
How It Affects Rate |
| Hard braking |
Excessive = higher |
| Rapid acceleration |
Excessive = higher |
| Speeding |
Higher = higher |
| Time of driving |
Night = higher |
| Kilometres driven |
More = higher |
Good driver? UBI can save 10-25%.
Car Insurance for Young Drivers
Why It’s Expensive
| Factor |
Impact |
| Lack of driving experience |
Very high risk |
| Higher accident rates |
Statistics |
| No claims history |
Unproven driver |
How to Save
| Strategy |
Savings |
| Stay on parents’ policy |
30-50% |
| Take driving school |
5-10% |
| Maintain good grades |
5-15% |
| Drive an older, cheaper car |
Significant |
| Graduate licensing quickly |
Lower rates at G |
| Build clean record |
Rates drop at 25+ |
Tips by Situation
Just Got Your G2
| Tip |
Why |
| Stay on parent’s policy |
Much cheaper |
| Drive a safe, older car |
Lower premiums |
| Take accredited course |
Discount applies |
| Avoid tickets/accidents |
Build clean record |
New to Ontario
| Tip |
Why |
| Get driving history letter |
Proves experience |
| Contact current insurer |
May have Canadian affiliate |
| Shop multiple quotes |
Varies by company |
| Expect higher initial rates |
Lack of Canadian record |
After an At-Fault Accident
| Timeline |
Rate Impact |
| Year 1 |
+25-100% |
| Year 3 |
+10-50% |
| Year 6 |
Returns to normal |
Tip: Accident forgiveness add-on prevents first hike.
When to Shop for Insurance
| Timing |
Why |
| 30 days before renewal |
Best rates |
| After major life change |
May qualify for new discounts |
| After moving |
Rates vary by postal code |
| After paying off car |
Can drop collision |
| Every 2-3 years |
Loyalty doesn’t always pay |