Kanetix Lists Ontario’s Most Expensive Cities for Auto Insurance

Kanetix Lists Ontario’s Most Expensive Cities for Auto Insurance
Residents in the GTA area pay about $500 to $1,000 more than the provincial average for car insurance premiums. (Photo: Kanetix.ca)

Kanetix.ca has released data that shows the most expensive cities in Ontario for auto insurance.

As per Kanetix’s InsureMap, cities in the Greater Toronto Area (GTA) pay more auto insurance than drivers in other parts of the province.

Estimates show that the average auto insurance in Ontario is approximately $1,473, and premium in the five most expensive cities exceed this amount by $500 to $1,000.

The most expensive cities for auto insurance in Ontario are:

  • Brampton: $2,494
  • Vaughan: $2,128
  • Mississauga: $2,086
  • Richmond Hill: $2,033
  • Toronto: $1,948

Drivers pay hundreds of dollars more than the provincial average in Markham, Pickering, Whitby, Hamilton, and Ajax too. As per the numbers in Ontario, the lowest insurance rate is $1,007. The difference between the highest and lowest insurance rates is therefore a whopping $1,487.

“Auto insurance rates in the GTA continue to be the highest in the province,” says Janine White, VP of Marketplaces and Strategy at Kanetix.ca. “Traffic density, congestion, collision frequency, and increased repair costs due to vehicle complexity have a significant impact on the premiums drivers pay in the region. In the first nine months of 2018 in Ontario, for example, insurers paid out $1.30 in repair and expenses for every dollar of physical damage insurance premium collected.”

Toronto auto insurance rates

Auto insurance premium rates in Toronto average at $1,948 per year. However, there is marked difference in the premium paid in different areas of the city. Residents of the northern areas are likely to pay more than the city average. Estimates show that premiums in these areas range from $2,250 to $2,590.

Traditionally, one’s place of residence in the province is a major deciding factor for insurance premium rates. However, there is possibility for this to change with Bill 42. With the passing of this legislation, postal codes will no longer factor into insurance premium calculations. Drivers are encouraged to shop around for best rates, in the meantime.

“No matter where you live, auto insurance rates can vary considerably from one area to the next,” says White. “The only way to know for certain that you’re getting the best price possible for your coverage is to shop around. It is the most effective way to ensure you’re not missing out on savings with another insurance provider.”

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