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There are several reasons why a driver’s license can be suspended. The effect on your insurance premiums will depend on the reason your driver’s license was suspended. 

Types of Driver’s License Suspensions


Every reason your driver’s license is suspended is serious as it directly affects your driving record and history. Types of driver’s license suspensions are:

  • A court-ordered suspension
  • A roadside suspension
  • A Ministry of Transportation suspension

Reasons For Driver’s License Suspensions

  • A driver’s license suspension can occur if you fail to or are convicted of:
  • Failure to obtain insurance for your vehicle
  • Failure to provide a breathalyzer test when asked by police
  • Have alcohol in your blood
  • Break the graduated licensing rules
  • Fail to pay traffic fines
  • Accumulate too many demerit points
  • Fail to attend a demerit point interview
  • Receive an unsatisfactory demerit point interview
  • Fail to pay court-ordered child or spousal support
  • Fail to stop for police
  • Fail to pay claim/court judgment
  • Are convicted of driving-related offenses
  • Fail to provide a vision report
  • Have a medical condition that prevents you from driving safely

The Most Common Reasons Ontario Driver’s Receive License Suspensions

Reason Why

Driver’s license suspensions are a guaranteed way to be recognized as a high-risk driver by insurance providers. The most common reason for driver’s license suspensions include: 

  • Impaired driving
  • Distracted driving
  • Unpaid fines
  • Driving without insurance
  • Accumulation of too many demerit points
  • Breaking graduated licensing laws

About Driver’s Licence Suspensions

  • Owing Child Support

A court can order a license suspension when someone does not pay their child or spousal support payments. Many people are unaware of this, so it is important to always stay current on child and spousal support payments. 

  • Unpaid Fines

When a driver in Ontario fails to pay fines, the driver will receive a letter from the Ministry of Transportation notifying them that their driver’s license has been suspended due to unpaid fines. 

  • Driving With a Suspended Licence

It is crucial that you abide by your suspension. If you are caught driving under suspension you will face heavy fines and possible jail time. 

  • Reinstatement Fees

In order to have your driver’s license reinstated after a suspension, you will be required to pay a fee of approximately $275. However,  you will not be required to pay a reinstatement fee if your license was suspended due to medical reasons.

The Difference Between a High-Risk Insurance Broker and a High-Risk Insurance Company

insurance companies

Many people are not aware that there are several differences between an insurance broker and a high-risk insurance company. The basic differences are:

  • A high-risk insurance company does not sell auto insurance directly to the public as they are not licensed, they use high-risk insurance brokers to market and sell their products
  • In most cases, insurance brokers are independent of insurance companies
  • Insurance brokers in most cases do not administer and services claims, the insurance company has the final say regarding claims
  • High-risk auto insurance companies use insurance brokerages as their distribution channel
  • Direct writer companies such as RBC and TD will represent the interest of the company, whereas a brokerage will represent the client’s interest

How To Obtain High-Risk Auto Insurance For A Suspended Licence

It is well known that not all high-risk insurance agencies are created equal in Ontario. However, the Financial Services Regulatory Authority does establish auto insurance rate standards that must be followed by auto insurers. Even though you can obtain several high-risk auto insurance quotes from various insurance providers several quotes will be the same, this falls especially true if you are using a brokerage to find the best quotes. The FSRA must approve the cost of the high risk through the authorized rules for accepting or rejecting high-risk clients. Choosing an insurance broker that has access to all insurance companies will be your best option for obtaining high-risk auto insurance due to license suspension. 

High-risk brokers have the professionalism, knowledge, and experience to deal with the complexity of high-risk auto insurance. Ontario has a small high-risk auto insurance market. 

How Much Does a Suspended License Affect Insurance?

A suspended license can increase your insurance premiums by 25%.

How Long Will a Suspended License Affect my Car Insurance Rates?

A suspended license can affect your car insurance for up to 6 years. 

Who Has The Lowest Car Insurance Rates For Suspended License?

There is no one company in particular that offers the lowest car insurance rates for suspended license drivers. 

Does a Medical Suspension Affect Insurance?

Insurance providers cannot increase insurance rates in suspension cases where the suspension lasts less than a year and there are no criminal convictions.

Does Administrative Suspension Affect Insurance?

No, administrative suspensions do not affect your car insurance rate. 

Does a 3-Day Suspension Affect Insurance?

A 3-day driver’s license suspension should not affect your insurance if there were no charges or convictions. 

Driver’s Licence Suspensions Can Have A Major Impact On Car Insurance

factors affecting car insurance

The best way to protect your car insurance is to avoid having your driver’s license from getting suspended. Once you have a suspended driver’s license it can be very difficult and extremely expensive to obtain car insurance. Your existing insurance policy may be canceled or not renewed once you have a suspension, even when your suspension has been lifted. This means you will have to seek a high-risk insurance specialist to help you get high-risk car insurance. High-risk car insurance can cost you approximately 25% more than your standard car insurance. A suspension on your driving record can affect your car insurance for as long as 6 years. It is highly recommended that you contact a high-risk insurance broker as soon as your driver’s license has been suspended. 

Repairing Your Driving Record

If you have had a suspension, there are ways you can help to repair your driving record to remove yourself from the high-risk category. If you maintain and practice good and safe driving habits for several years, eventually you will be removed from the high-risk classification. This means you could obtain lower car insurance rates when going back to a standard car insurance policy.

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