location, location, location; This is something you tend to hear when looking for a home or starting a small business in Ontario. But did you know that the town or city you live in affects your car insurance rates?
It’s true: While it’s far from the only factor, your auto insurance provider will consider your location when it comes time to determine your auto insurance rates.
In this article, we’ll give you the scoop on which city has the cheapest car insurance in Ontario (as of December 2020), along with other important information you can use the next time you need to renew your car insurance policy.
*contact a surex insurance advisor for up-to-date information on prices, rates, claims, etc.*
what towns and cities have the lowest insurance rates in ontario?
As of December 2020, the towns and cities with the lowest auto insurance rates were as follows:
- kingston, napanee, port hope, coburg, and brockville: $1,103 average annual rate
- petawawa, cornwall, and russell: average $1,107 annual fee
- st.thomas: $1,124 average annual fee
- sarnia: $1,159 average annual fee
- sudbury: $1,165 average annual rate
As you can see, there is no single winner; The cheapest car insurance in Ontario area title is divided between Kingston, Napanee, Port Hope and Brockville. considering that the provincial average for auto insurance is $1,300 to $1,800, it’s clear that drivers in this area (generally) pay less. however, these savings are not guaranteed (more on this below).
what towns and cities have below average auto insurance rates in ontario?
Although they may not be at the top of the list, the following areas have reasonably priced insurance rates (on average):
- ottawa: $1,213 average annual rate
- kitchen: $1,341 average annual rate
- windsor: $1,412 average annual rate
- london: $1,509 average annual rate
Although these rates are not set in stone, it is helpful to know that the cities listed above have lower annual rates than the provincial average.
what towns and cities have the highest auto insurance rates in ontario?
As of December 2020, the towns and cities with the most expensive car insurance rates were as follows:
- brampton: $2,698 average annual rate
- mississauga: $2,372 average annual rate
- vaughan — $2,334 average annual rate
- richmond hill — $2,286 average annual rate
- markham — $2,222 average annual rate
- toronto: $2,201 average annual rate
- ajax: $2,141 average annual rate
- pickering: $1,961 average annual rate
- whitby: $1,777 average annual rate
- hamilton : average annual rate of $1,755
On average, drivers in the areas listed above pay more for car insurance than drivers in the locations listed above. For example, drivers in Brampton, whose rates (on average) are around $2,698, pay more than double for auto insurance than drivers in areas like Kingston, whose rates (on average) are around $1,103.
Why does your location affect your car insurance rates?
The area you live in can affect your car insurance rates due to the fact that it can increase or decrease the chance of an event occurring that could damage your vehicle.
For example, if you live in a town or city with a high accident rate, you are more likely to have a collision than a driver who lives in a place with a low accident rate.
Similarly, if you live in a town or city with a high rate of auto thefts, your vehicle is more likely to be targeted by thieves (compared to a driver who lives in an area with a low rate of auto thefts). Of automobiles).
auto insurance companies in ontario (and the rest of canada) take this information into account when determining their rates. therefore, if you live in a town or city with a high rate of accidents or theft, your auto insurance provider will need to charge you more to offset the potential costs you will incur if an event occurs in the future.
Is your location the main factor insurance providers use to determine their rates?
No, your location is not the most important (or only) factor considered when determining your auto insurance rates.
Some of the other factors auto insurance companies use to determine their rates include the following:
- type of coverage you have (including add-ons)
- driving history
- claims history
- vehicle make and model
- personal information (age, gender, etc.)
- marital status
Contact your insurance provider or advisor for more information on how the above factors influence your auto insurance rates.
do auto insurance rates change in ontario?
yes! auto insurance rates change all the time. therefore, we do not suggest moving to a town or city just because it is mentioned in one of our lists. our lists are simply meant to inform you, not to persuade you.
Instead, we recommend that you contact a licensed advisor the next time you need to renew your policy or have questions about auto insurance in Ontario. speaking of which…
Want to save up to 25% on car insurance in Ontario?
As you know, auto insurance can be quite expensive in Ontario. In fact, the province is usually near the top of the list when it comes to average car insurance prices in Canada.
Fortunately, when you choose the expert advice of a surex insurance advisor, you know we’ve got you covered. At Surex, we make searching for auto insurance a fast and frictionless experience.
After a ten minute conversation, we can provide you with up to ten personalized auto insurance quotes. Whether you live in an area with above-average rates or the cheapest city for auto insurance in Ontario, we’re always happy to help.
Contact one of our team members today to find out how we can help you save up to 25% when you bundle your policies with one of our insurance partners.
what if you lie about your location?
Lying about your location is considered insurance fraud. The consequences of lying to your insurance provider depend on the severity, but it is generally considered a criminal offence. drivers who are caught lying to their insurance providers can face between two and 14 years in prison. therefore, we urge you not to take risks.