Car Insurance for New Ontario Drivers
You’re a new driver in Ontario and you’re looking for car insurance.
You need to know that Ontario has some of the most expensive rates in the country when it comes to car insurance and you’re likely to be impacted as a new driver.
So, when you’re looking at insurance as a new driver, your car insurance expert will go over the different factors that can affect your premium. Let’s look at them.
Your age: Car insurance costs more if you are between the ages of 16 and 24 because you are considered a high-risk driver. Insurance company data suggests that a lack of driving experience increases the risk of an accident. Young men have been found to be involved in more car crash deaths, increasing their risk profile.
If you take a young driver training course and you obey the rules of the road to keep your driving record clean, those actions can help you lower your car insurance as a new driver.
If you are a parent and choose to add a young driver as an occasional driver to your policy, you will probably see an increase in your premium.
You’re a new driver but not a young driver: Are you wondering if you will pay the same rates for a driver between the ages of 16 and 24? Different insurers may evaluate risk differently and it’s best to do your research to compare rates for new drivers.
Remember that a number of factors affect your premium, such as where you live and the type of car you drive, not just your experience. But the more driving experience you get and keeping your driving record clean should help improve your rate over time.
Whether you are a first-time driver or new to Canada as a driver, most car insurance companies will treat you as a new and inexperienced driver.
Your location: Do you live in Pembroke, Richmond Hill, Brampton, or Parry Sound? Or are you in the bigger cites of Toronto or Mississauga?
Where you live will also affect your premium. If you are a new driver who lives and drives in a larger, urban area that is more congested or prone to traffic accidents, you will generally pay higher car insurance rates.
Type of vehicle: The make and year of your car can affect your car insurance. A used car with a high safety rating that is considered less likely as a target of theft usually means less expensive car insurance than a new luxury car. Cars that are more likely to be stolen, or cars that have parts that aren’t readily available cost more to insure.
The cost to replace the vehicle or the chances of it being stolen also will factor into your car insurance. The cost of maintenance of your car and replacement cost will also be taken into consideration.
How much driving you do: If you are only driving on weekends, you can expect to pay less for car insurance as a new driver. If you are working and driving to and from school or work daily, you can expect to pay more.
Do you have parking tickets: Parking tickets will not raise your insurance rates, but having your license suspended for not paying them will raise your rates and will likely end up on your driving record.
Discounts for new drivers:
As a new driver in Ontario, you may be able to get a discount if you are a home or condo owner, or if you are a post-secondary graduate.
Here are other potential discounts; ask your car insurance expert about them:
- You have recently progressed from a G1 to a G2 or a G2 to a G in Ontario’s graduated licensing program.
- Bundle your car insurance with either your parents, siblings, partner, or spouse.
- You own a hybrid or electric vehicle that is recognized by the Insurance Bureau of Canada (IBC).
- Your car has winter tires, and you keep them on from December 1 to March 30 every year.
- Your driving record is clean, and you have no convictions within a specified period of time.
How much does insurance cost for a new driver: There is no one size fits all when determining car insurance for a new driver in Ontario. All the above factors are taken into consideration. Remember to have a full conversation with your car insurance expert to understand how your rate will be determined.
April 29, 2022