Top 10 Ontario cities with the highest car insurance rates

New research from KANETIX.ca shows the majority of Ontario cities with the most expensive car insurance premiums are in the Greater Toronto Area (GTA), with Brampton topping the list.

Ontario has the highest auto insurance rates in the country, notes a statement Tuesday from KANETIX.ca, Canada’s first online insurance marketplace that currently provides a million-plus quotes annually to consumers looking for insurance and comparisons for mortgage rates and credit cards.

The research demonstrates, however, that not only do premiums vary significantly across Ontario, the Top 10 are often considerably higher than the provincial average, which is $1,538.

Those Top 10 cities, their premiums and the difference with the provincial average are as follows:

• Brampton – $2,393, +44%;

• Woodbridge – $2,342, +41%

• Vaughan – $2,342, + 41%

• Toronto – $2,017, +27%

• Mississauga – $1,998, +26%

• Hamilton – $1,987, +26%

• Thornhill – $1,884, +20%

• Markham – $1,829, +17%

• Richmond Hill – $1,755, +13%

• Ajax – $1,718, +11%

KANETIX.ca reports the data was aggregated using the company’s free online tool – available across Ontario, Alberta, Quebec, New Brunswick, Nova Scotia and Prince Edward Island – that, in this case, allowed Ontario users to compare auto insurance rates across the province by postal code. All averages are based on a 35-year-old driver with a clean driving record.

Compare that to Ontario’s cheapest cities for car insurance. These were Belleville, Kingston and the towns of Cobourg and Napanee, the latter two averaging premiums of $1,014 annually.

Where a driver lives is one of a number of factors that go into determining that person’s auto insurance premium, KANETIX.ca reports. Others include congestion, vehicle type, likelihood of theft, and personal driving record.

“Urban areas tend to have higher insurance rates because there are more cars on the road, higher frequency of accidents and greater severity,” explains Janine White, vice president of marketplaces for KANETIX.ca.

“Insurers set their premiums based on claims and actuarial data from a given region. These areas had the highest incidence of claims so this is reflected in the premiums,” White continues.

KANETIX.ca offers the following tips to help lower insurance premiums, regardless of the city in which a driver resides:

• maintain a clean driving record;

• combine auto and home insurance policies to see savings of 5% to 15%;

• install winter tires and save as much as 5%;

• increase the deductible (ensure this amount can be covered should a claim occur) and save up to 10%; and

• consider a usage-based insurance program, which can save 5% up front and as much as 25% overall.