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Infographic: Insurance Premiums Across Canada – who’s cashing in and who’s forking out?

18 June 2012

Insurance rates across Canada are in part dependent on where exactly you live – right down to the postal code. While a Torontonian is likely to pay higher insurance premiums than if they lived in rural Ontario, the differences on a provincial scale are even more significant.

Insurance premiums are higher in Ontario than any other province in Canada, followed by Alberta, New Brunswick, and British Columbia. It’s no myth that your insurance is largely dependent on where you live- with a difference totaling more than $1000 in average premiums from Ontario to PEI.

No matter where you live, auto insurance is the law in Canada but there’s no reason to pay more for it than necessary. Here are just a few tips to help you keep you car insurance costs down:

  • Drive carefully; a clean driving record is an affordable driving record
  • Drive within the law to avoid tickets; this should be common sense for anyone and everyone behind the wheel
  • Drive a car that costs less to insure; that ride that costs more than you make in a decade may be a poor choice
  • Compare your car insurance costs with a free online quoting service; free, easy to use, and will give you a look at what’s available from competing insurers

Of course, prices within any given province can vary wildly depending on location; for example, average auto insurance premiums in Oshawa, Ontario are higher than those in Ottawa by more than $600. Similarly, motorists in Quebec City pay an average of $737 annually, while their Montreal neighbors face an average of $928. Differences even within a city can vary significantly; anyone who has moved from one neighbourhood to another can attest to it.

The following infographic – with provincial data provided by the Fraser Institute  – breaks down the average car insurance premiums by province, a number of cities within these provinces, and, of course, how that translates to medium-sized Tim Horton’s coffees (you know, for some tangible context).

How much does insurance differ from province to province?

 average car insurance premiums in canada Infographic: Insurance Premiums Across Canada – who’s cashing in and who’s forking out?

Top 3 Most Expensive Auto Insurance Premiums by Province:

  1. Ontario
  2. Alberta
  3. New Brunswick

Average Insurance Premiums from 3 Canadian cities (broken down by Tim Horton’s coffees!)

  1. Oshawa, Ontario – 1563 medium coffees ($2189)
  2. Edmonton, Alberta – 1109 medium coffees ($1552)
  3. Charlottetown, Prince Edward Island – 631 medium coffees ($884)

There you have it folks! No matter where you live, auto insurance is the law in Canada but there’s no reason to pay more for it than necessary. While a clean driving record is an essential component to getting the best priced auto insurance, where you live is a factor many might not consider – which they should start doing next time they’re considering changing insurers, moving residences, or purchasing a new vehicle.


About the Author

lucas taylor

A graduate of York University, Lucas has worked for a number of financial institutions before joining as a contributing editor in 2009. Lucas' background in business provides him with a unique perspective on insurance, mortgage, and financial industry news. Outside of his writing gig, he can be found biking across his native Toronto – yes, even in the snow.

Comments (6 )

Mike Wrote:

I live between Oshawa & Toronto and frankly I am no where near this insurance price for our 2 cars combined. One is a 2010 Lexus and the other a 2004 Accura TL. I question the pricing model used to get these rates since my two cars combined should be an average 2-3 year car used in comparitive pricing.

Why would Oshawa be more expensive then Toronto is questionable considering the traffic volumes & risk of being in an accident at an intersection in the big city. Did you actually run an online quote tool? The output report is much different then data provided in your article.

betsy Wrote:

Interesting. $1,491 gets me a transit pass in Ottawa plus about 13 cab rides which is really all I need to getting around town.

Merchison Burke Wrote:

How does the cost of insurance by province relate to the number of accidents and the severity of the damage by province.

Maybe the most expensive provinces have the worst drivers.

Jeff McPhee Wrote:

Where is the discussion about the fraud that the insurance providers do very little about, but pass the cost on to the consumer.
Having the highest cost does not surprise me as this government does nothing to find ways the help the people of this province. They let the insurance companies do what they want through the Superintendent of Finances another useless government agency.

Car insurance is a rip off. I for one refuse to pay fully comp any more due to the insurance being worth more than the car. I stick to third party insurance only.

BD Williams Wrote:

They should mention that every province has different coverages in their policies. Its not really apples to apples.

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