Auto Insurance Quotes For Canadians

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Rachel Bodine graduated from college with a BA in English. She works as an associate editor and writer for for over a year and enjoys creating content that offers expert advice on car insurance topics.

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Leslie Kasperowicz holds a BA in Social Sciences from the University of Winnipeg. She spent several years as a Farmers Insurance CSR, gaining a solid understanding of insurance products including home, life, auto, and commercial and working directly with insurance customers to understand their needs...

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Reviewed byLeslie Kasperowicz
Former Farmers Insurance CSR

UPDATED: Apr 8, 2020

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Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We partner with top insurance providers. This doesn't influence our content. Our opinions are our own.

Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts. is an American car insurance quote provider.  Every now and then, however, our friends north of the border happen to stumble upon our site.  If you are a Canadian customer, fear not.  We haven’t forgotten about you!  Although we cater mainly to our American clientele, please continue reading below for information about how you, as a Canadian, can find low cost auto insurance.canadian auto insurance

All About Canadian Auto Insurance

Driving a vehicle comes with a risk. Everyone has a chance of causing a car accident, and these collisions can result in serious injuries and extreme damage to property. In Canada, the person who causes these crashes is the one who will need to pay any medical bills that the injured receive. They will also need to replace or repair any property that they damage.

Government-Run and Private Car Insurance Companies

Most people are not prepared to meet all of the expenses they will be required to pay, so they will want to take advantage of car insurance in Canada. Every province has private insurance companies that can accommodate this need, but the government also runs car insurance companies where people in British Columbia, Saskatchewan and Manitoba may purchase their insurance if they so desire. For car insurance quotes in Ontario, residents will want to shop around for insurance because there are no Government-Run companies.

Liability Coverage

All drivers are required by law to purchase car insurance because it may not be possible for at-fault drivers to be able to afford to pay everyone’s bills. The first part of mandatory coverage that people need is called liability. The liability coverage is what will be used to pay for all third-party injuries and damages to property. Third parties may be the at-fault driver’s passengers, drivers in other cars and their passengers and pedestrians. Drivers in every province and territory will need to purchase liability coverage.

Accident Benefits/Bodily Injury

Liability coverage is limited to the damages caused to the third parties. This means that the at-fault drivers will not have any help if they experience bodily injuries and their property is damaged. For this purpose, the provinces and the territories also require that their drivers purchase car insurance in Canada that can cover these medical expenses.

The type of coverage that pays an at-fault driver’s medical bills is called Accident Benefits/Bodily Injury (AB/BI). This part of an insurance policy pays the medical bills as well as for the salary that people lose when they are unable to return to work due to their injuries, and it doesn’t matter who caused the collision. AB/BI is also known by the name of Section B.

Optional Collision Coverage

Drivers can also purchase car insurance in Canada that is optional. The optional coverage is what drivers can use to have their own vehicles repaired if they are the cause of the collision. Remember that required liability coverage will only pay for the damages to third-party vehicles. Collision coverage is the portion of a policy that pays the policy holders’ repair bills, and it will be necessary if the policy holder causes the collision.

Optional Comprehensive Coverage

Another type of optional car insurance in Canada is called comprehensive coverage. Sometimes, cars are not damaged in a collision, but they need repairs just the same. After these damages have occurred, they may be prohibitively expensive to repair. Policy holders will be able to complete their repairs with their comprehensive coverage in the event that the car is damaged by:

• Fire
• Vandalism
• Flood
• Windstorm
• Theft

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The Basic Car Insurance Policy In Canada

The car insurance companies that the government runs sell the coverage that the government requires all drivers have. These policies are called basic policies, and they allow people to purchase their car insurance in Canada in minimum amounts. Private insurance companies are where Canadians will need to turn to purchase the optional coverages.

Government Car Insurance Companies Have Set Rates

The government-run car insurance companies have set rates for their clients, so those who are looking only for the minimum amounts of the required coverage can purchase a policy from this source for a predictable price. A lot of people decide that this could possibly not be enough coverage if the injuries and damages require payment in an amount that far surpasses the minimum amounts set by the government.

How Private Companies Set Rates

If people need to purchase more than the minimum amounts of car insurance coverage, they will purchase it from private car insurance companies in Canada that will set the rates based on several criteria:

• The driver’s age
• Where the driver lives
• What type of car the driver owns
• The person’s driving record
• How the vehicle is used
• Gender

Ways to Decrease Car Insurance Rates In Canada

If people find that their car insurance in Canada is a little high, they can help to lower the rates they will pay to keep their policies active. One thing they can do is take a driver’s training course. If they are male, they will be charged a higher rate, but taking a driver’s training course will benefit this demographic the most with lower rates. Another thing they can do is set a high deductible that has the affect of decreasing their insurance rates.

One tactic that helps people lower their rates in Canada is to perform a comparison search. These searches can be done easily online, and they will be able to do it for free. They will receive insurance quotes from as many as 30 car insurance companies, and they may be able to lower their rates by hundreds of dollars.

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