What’s the average cost of high-risk auto insurance in Ontario?

The average cost of high-risk auto insurance in Ontario varies depending on the driver/drivers and the high-risk auto insurance company insuring the policy. 

Although an average cost for high-risk car insurance could be technically formulated with statistics, it wouldn’t be a fair or an accurate reflection of what you might have to pay. To calculate an average cost for high risk auto insurance, the variables need to be the same. For example, pooling someone living in Hawkesbury Ontario with someone from downtown Toronto wouldn’t give you an accurate reflection of price, since the cost to insure a vehicle driven in Toronto is way more expensive.

High-risk auto insurance policies can cost as little as $1,000 to over $10,000!  However, a good rule of thumb is to expect your car insurance premium to double in cost.

Auto insurance companies take into consideration the following when pricing your premiums:

• Assessing the high-risk driver, i.e. traffic tickets, at-fault accidents, driving experience, and driver’s license moving violations.

• Vehicle Type – the type of vehicle you choose to insure may affect your premiums differently.  For example, an older vehicle may be more to insure compared to a newer one due to advancement in vehicle safety.

• How you use the vehicle: i.e. business or personal use, commuting, kilometers driven

• Territory (Postal Code)

• Regulatory change – the auto insurance industry in Ontario is heavily regulated. Regulatory change could increase or decrease the cost of high risk auto insurance.

• Changing economic and market forces – high risk auto insurance companies deal with economic changes by adjusting the price of their products and services, accordingly. For example inflation for the cost of automobile parts might cause an increase in auto insurance premiums.

High risk auto insurance companies calculate your premium the same way that regular car insurance companies would, but the difference is that surcharges of 25%, 50%, and 100% are applied to convictions, at-fault accidents or driving violations, making high-risk auto insurance premiums very high!

The best thing is to contact a high risk insurance broker directly for a high risk auto insurance quote.