How Much Does High-Risk Car Insurance Cost In Ontario

The cost of high-risk car insurance in Ontario differs and depends on multiple factors, including the type of driver and the high-risk auto insurance company and their policies. You can technically calculate the average cost for high-risk car insurance using statistics; however, that would not be the exact value you will have to pay. Insurance for high risk drivers in Ontario can cost $1000 to $10,000. However, you should expect your car insurance premium cost to double.

What do auto insurance companies look at while pricing premiums?

While pricing your premiums, auto insurance companies tend to consider the following:

  • High-risk driver’s history and assessment, including traffic tickets, driving experience, at-fault accidents, driver’s license moving violations. High-risk drivers that have two or fewer violations in the previous three years will have to pay 25% more on insurance premiums than someone who has never violated any traffic law and has a clear record.

Drivers that have more than two violations in the previous three years or have had their license suspended within the last six years will have to pay 70% more than someone who has a clean record. In some cases, the costs may be double or triple.

  • The type of vehicle the high-risk driver chooses to insure affects the premiums. An old vehicle may be harder to insure as compared to a new vehicle because it contains advanced vehicle safety.
  • How the vehicle is used. It is used for business purposes or personal use.
  • The territory it is driven in
  • The auto insurance companies in Ontario are always undergoing regulatory changes which can impact the cost of high-risk auto insurance.
  • High-risk auto insurance companies adjust the process of their premiums, services, and products according to changes in economy and market trends. If there is an increase in the cost of automobile parts, then insurance companies will have to increase auto insurance premiums accordingly.
  • Car insurance rates also depend on your age. If you are younger than 25 years, you will have to pay around $233 per month, even if you have a clean record. And if you have had more than two violations in the previous three years, you might have to pay 70% more which makes the cost of high-risk car insurance rise up to $400 per month.

If you have been convicted, or violated driving rules and laws, or have been in accidents that were your fault, then you are most likely to receive a surcharge of 25%, 50%, or even 100%, which makes the cost of high-risk auto insurance very high. The best thing to do in such a situation is to contact a high-risk insurance broker and get an auto insurance quote.

In a nutshell

The average cost of high-risk car insurance premiums varies between $233 per month to $400 per month or even higher depending on multiple factors such as your age, the type of vehicle your drive, the use of the vehicle, and your previous records. Instead of trying to calculate the cost of high-risk car insurance on your own, you should contact a high-risk insurance broker.

Adam Hansen