Affordable Car & Auto Insurance For Toronto Drivers
All drivers require car insurance. It’s compulsory to have car insurance in Toronto, as in all cities in Canada. There are mandatory car insurance requirements for drivers in Toronto, including third party liability and accident benefits coverage. See our section on this page on Mandatory Car Insurance in Toronto to get more information.
Technically, you can be denied insurance by the industry but there must be a reason. However, there are general rules that says an insurance company can’t use any reason to deny coverage, such as credit history or a disability. If you’re denied coverage for any reason (excessive traffic violations) you can contact the Facility Association, which handles high-risk auto insurance in Toronto.
Toronto, like all cities in Ontario, has a no-fault system. The no-fault system means that regardless of who is at-fault in an accident, all parties must go to their respective insurance company in the event of an accident.
No, if your personal items are stolen from your car you won’t be covered. To have proper coverage for belongings such as a laptop, GPS or a phone left in your car (even temporarily) it will fall under your home insurance policy. If your car is damaged and the items inside were stolen, you must file two separate insurance claims, each with a separate deductible.
No, photo radar tickets will not impact your car insurance rates in Toronto because there is no way to confirm who was driving. If you are issued a photo radar ticket, you’re still required to pay it. If you’re pulled over by a police officer for a speeding ticket, on the other hand, you’ll likely get a large increase in your car insurance rates.
Yes, speeding tickets will increase your auto insurance rates.
Yes, if you’re a driver with a ride-sharing company, such as Uber, Lyft, and ecoRides, you need specific insurance. If you use carsharing, for example Outdoorsy or Turo, you also require additional coverage. In both examples, you need to inform your insurance company that you’re renting a vehicle or transporting other people for funds. Once you have an individual carsharing or ride-sharing policy, read it over carefully. In 2016, Financial Services Company of Ontario approved a commercial auto insurance policy for ride-sharing drives and passengers. Make sure you let your insurance company know if you have a separate commercial auto policy in addition to your personal policy.
Ontario is a private insurance system for car insurance, which means there is more competition in the province’s insurance industry. What does that mean for you? It means there is more competition in the market and your insurance rate will depend on which insurance company you choose.
By law, you must have mandatory minimum third-party liability– for property damage, liability, or death due to an accident. We highly recommend that you go with a standard liability of $1 million, so you’re adequately covered.
No, men and women are on par for car insurance rates in Toronto. This is also the case for most cities in Ontario. On average, the cost of insurance for a male is $2,010 and $1,961 for women.
The frequency that you pay your rates depends on what insurance company you have a policy with. Ontario is a private system, so that gives customers the ability to shop around and find the best rates that suit their needs.
After a car accident, your insurer will decide if your vehicle is a total loss or if it’s worth repairing. Your insurance company will assess the value of your car: if your car costs more money to repair than the actual cash value of the car, it will be deemed a total loss. If the cost of repairs is less than the actual cash value, the insurance company will likely decide to repair your car.
Actual cash value, also known as market value, is the amount your insurance company will pay you for its worth at the time of the claim. Your insurance rates tend to be lower if you choose to be reimbursed by the actual cash value. Replacement cost is the value of an asset that you receive from your insurance company that matches the item at the time of loss. The difference between replacement cost and actual cash value is depreciation of an item. You can determine which method you’d like to use when you first set up your auto insurance policy.
No, if you purchase a new car and have an existing insurance policy, you can simply transfer your policy over to the new vehicle. Depending on the year, model and other factors – you may want to change your coverage options. It’s always best to contact your insurance company when you make the switch in case something needs to be changed.
Your auto insurance policy may cover you during your travel outside of Ontario. It depends on your auto insurance company. If you’re in an accident in your own vehicle while in another province, city, or country – call your insurer immediately, even if it’s a minor accident. You’ll have to follow a similar procedure to what you do in your own city, or province but you won’t have the preferred vendors to choose from.
Yes, your car needs to be registered in Ontario to get insurance in Toronto.