Data exposes a $1,678 difference between the least to the most-costly premiums province-wide
If you live in Brampton, Mississauga, Vaughan, Richmond Hill or Markham, you paid more for auto insurance than your fellow drivers from other parts of the province, according to RATESDOTCA.
In December 2020, the most expensive cities for car insurance in Ontario were:
According to RATESDOTCA’s data, the average Ontario auto insurance premium in December 2020 is estimated at $1,616, a 9.7 per cent increase from December 2018.
Cities including Toronto ($2,201), Ajax ($2,141), Pickering ($1,961), Whitby ($1,777), Hamilton ($1,755) and Oshawa ($1,636) are above the provincial average.
The difference between the most and least expensive rates in the province was $1,678 per year.
At $1,103, Kingston, Brockville, Napanee and 10 other cities are among the municipalities with the cheapest premiums.
Ontario drivers can discover the average cost of auto insurance in their postal code by visiting Insuramap, a unique interactive online map offered by RATESDOTCA.
“Despite insurance companies offering $1 billion in premium relief to Ontario drivers to soften the impact of the COVID-19 pandemic in 2020, the cost of car insurance in the GTA remains the highest in the province,” says Liam Lahey, editor, RATESDOTCA. “The premiums GTA drivers pay can be attributed to many factors such as the number distracted driving fines and car accidents in the region, as well as the escalating costs to repair technologically advanced vehicles.”
Toronto car insurance rates are “all over the map”
As the sixth most expensive city in Ontario, the average Toronto auto insurance premium was $2,201 in December 2020, up by 12.9 per cent from $1,948 in December 2018. However, drivers who live in the northern areas of the city may have paid more for coverage with premiums in these parts of Toronto ranging from $2,202 to $3,000 per year.
Toronto by the numbers:
- The cheapest rates in Toronto in 2020 are estimated to be $1,695 in the North York ward of Don Valley West, this is up from $1,533 in 2018.
- The difference between the highest and lowest rates in Toronto was $1,305.
“Car insurance rates vary considerably from one municipality to another and between different insurance companies,” Lahey adds. “The only way to know if the premium you’re paying is the best and right one for the type of coverage you need, is to shop around by comparing policies and quotes online. By taking a few minutes to compare rates and using Insuramap, you may be able to discover a lower premium.”
How to lower your Ontario auto insurance rate no matter where you live
From large urban centres to smaller towns, there are many ways Ontario’s drivers can save money on their insurance premiums, including:
- Maintain a clean driving record. Tickets and collisions can affect your premiums for years.
- Bundle your policies. If you buy your car and home insurance policies from the same provider, you can typically save between 5% to 15%.
- Install winter tires. All Ontario insurers have to offer a discount to drivers who change their tires seasonally that could save you as much as 5%.
- Increase your policy deductibles. Upping your coverage deductibles can lower your annual premium. However, be sure to set your deductibles to an amount you can comfortably afford as this is the portion of a claim that you’ll have to pay.
- Sign up for usage-based insurance. There are two types of usage-based insurance programs available in Canada, commonly known as pay-as-you-go and pay-how-you-drive, respectively. Each offers drivers the opportunity to pay less for insurance, and both types provide an enrollment discount ranging from 5% to 10%.
