Car Insurance by Province

As a resident of Canada, you probably already know that it is mandatory to have car insurance if you plan to drive on public roads. The internet is a good resource to help you find out the different car insurance rates based on provincial rates.

Insurance quotes differ based on the province and other factors,  including the type of car in question. A luxurious car would normally attract higher rates due to the theft risk involved and the cost of replacement.

Car insurance prices vary, depending on whether the province has a private or public insurance program. Saskatchewan, British Columbia, and Manitoba rely on insurance coverage run by the province. The other areas in Canada have privately-owned insurance organizations. Studies have shown that privately run insurance coverage is more affordable than the public ones because of the competition in the industry. Below is a list showing the average car insurance rates in the different provinces of Canada, from the cheapest to the most expensive.

QUEBEC

Here is where you get the cheapest car insurance premiums in Canada with an average annual premium of $642 . The province consists of public and private insurance, allowing individuals to get additional coverage plus the standard insurance packages. Another common feature in the insurance packages in Quebec is that a no-fault system exists for accidents, thus, limiting liability and subsequently reducing the cost of insurance in general.

PRINCE EDWARD ISLAND

With an average of just below $700 per annum, the private insurance systems here are considered one of the most effective in Canada. The increase in competition coupled with a decline in car insurance claims has led to the reduction in car insurance rates.

NEW BRUNSWICK

This province has an average $728 car insurance premium per annum.

NOVA SCOTIA

Similar to what is available in Prince Edward Island, the rates in Nova Scotia are also affordable and seem to be reducing yearly. An average premium of $735 makes Nova Scotia one of the most affordable provinces for car insurance.

NEWFOUNDLAND & LABRADOR

The rates in NFLD seem to be on the rise, which is attributed to an increase in the number of accident claims coupled with an increase in vehicle-related cases in courts over the last five years. The average per annum car insurance rate is $750.

ALBERTA

If considered from the perspective that this province’s insurance expense takes 2.7% of disposable income, it is right to say that the rates in Alberta are among the higher rates in Canada. Average car insurance here goes for $1,004 annually.

MANITOBA

Manitoba is one of the provinces that has the government running the car insurance program, alongside Saskatchewan and British Columbia. It ranks as the fourth most expensive province as far as car insurance is concerned, with an average annual premium of $1,027.

SASKATCHEWAN

Rates here fluctuate due to changes in the public insurance system. However, this does not take away the fact that it is a very expensive province with an average premium just above that of Manitoba’s $1,027.

BRITISH COLUMBIA

With an average of over $1,100 annual insurance premium, the insurance providers in BC are run publicly and rank as the most expensive of their peers in Canada.

ONTARIO

Ontario is the most expensive province with the average premium over $1,200, annually. This could be attributed to the high number and frequency of vehicle-related court cases and accidents.