Ontario Car Insurance, Made Simple

Ontario’s legal minimum includes $200,000 in Third-Party Liability, plus Accident Benefits, Direct Compensation–Property Damage (DC-PD), and Uninsured Automobile Coverage.

Recommended:
Most drivers choose $2 million in liability coverage. Given today’s vehicle values, medical costs, and lawsuit exposure—especially in the GTA—higher limits are strongly advised.

The provincial average is roughly $160–$180 per month ($1,900–$2,200 annually).

Important:
Rates vary significantly by postal code.
In the GTA, premiums commonly start around $200–$250 per month and can increase based on your vehicle, driving record, and local theft rates.

A new G2 driver with no prior insurance history can expect $300–$450+ per month.

• Completing an MTO-approved driver training course
• Providing a letter of experience if moving from another province or country
• Being added as a secondary driver on a parent’s policy (if appropriate)

Historically, the highest average premiums appear in:

• Brampton
• Scarborough
• Parts of North York and Mississauga

Ontario premiums are primarily driven by:

• Auto Theft Crisis
  Organized vehicle theft—particularly in the GTA—has pushed comprehensive claims to record highs.
• Expensive Repairs
  Modern vehicles use sensors and technology that make even minor collisions costly to repair.
• Insurance Fraud
  Staged accidents, false injury claims, and inflated repair invoices add hundreds of dollars to the average policy.

While no single vehicle is always the cheapest, cars with:

• Lower theft rates
• Strong safety ratings
• Affordable replacement parts
• A favourable claims history

…tend to have lower premiums.

Examples of commonly lower-cost models include:
Toyota Corolla, Hyundai Elantra, Subaru Outback, Mazda3, Chevrolet Equinox, and Ford Escape.

Yes. All licensed household members must be declared, even if they rarely drive.

Exception:
If a licensed driver in the household will never operate the insured vehicle, an Excluded Driver Endorsement (OEF 28A) may be added to the policy. This removes coverage for that person while driving the insured vehicle — they cannot operate it under any circumstances. In some situations, a household driver who has their own separate auto policy may not need to be listed on your policy, but this depends entirely on the insurance company’s underwriting rules. Each insurer treats these situations differently, so it’s important to confirm with your broker before making any assumptions.

A single theft claim usually does not increase your insurance premium by itself, especially if it’s your first comprehensive claim. However, multiple theft or comprehensive claims within a short period—typically three to five years—can affect your options. Many insurers have underwriting rules that limit or remove comprehensive coverage after a certain number of theft-related claims, even if you are not at fault.

Additionally, vehicle theft risk is often rated at the vehicle level, not the driver level. This means premiums may increase due to theft trends affecting specific models or postal codes, rather than because of your personal claim history. In some cases, repeated theft exposure may require moving to a different insurer or result in higher premiums due to limited market availability.