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Insurance rates going up drastically.

I think that with predictions of $200 a barrel for crude oil ($20 US a gallon) maybe the reason for the increase. Less cars to insure in a few years, when the recession will over over and the oil prices start to skyrocket. Less cars would mean less revenue, so they are increasing the premiums now in anticipation. Get the flack now, while they can still get the revenue, instead of later when people start to abandon cars with the fuel price increases. They will be banking the surplus revenue now.
 
What is a low cost insurance option for car insurance in Ontario? I heard one person tell me they couldn't get a policy for less than $100/month, but that seems a bit expensive for a minimal coverage plan.
 
What is a low cost insurance option for car insurance in Ontario? I heard one person tell me they couldn't get a policy for less than $100/month, but that seems a bit expensive for a minimal coverage plan.
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If you've got 6+ year at-fault free driving and you don't want physical damage coverage than you should be able to get $1200/year. When I was 19 and living in Mississauga I paid $1500/year for coverage on my 1989 mercury topaz lol. Some vehicles have drastically higher accident benefit payouts than others though. That's almost always the deciding factor in whether or not you have high rates.
 
I've had a major misunderstanding about auto insurance in Canada, I was told it was less expensive on average than US providers, but I have liability insurance (which is minimal) and have my insurance down to $31/month here in Pennsylvania. Although they require 5 installments for a 6 month policy, so technically its $35 or so per month, but its same difference for a 6 month period. Even though its a minimal policy I still have up to $250,000 worth of property damage liability protection, however. So its not a bad deal. I have a policy with Geico (love their commercials).

Of course I have no speeding tickets on my record for 5+ years now and a perfect record to help, and PA allows for limited tort policies that reduce costs beyond the national average. $100/month for a minimal policy sounds a bit expensive.
 
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Sound like some great rates through Geico... but what if you end up in a wheelchair, unable to work and in need of lots of expensive medical treatments and medications?

That expensive Ontario policy will help cover much of your lost income and your medical bills... Things like rehab costs won't be a concern. Most US states have embarrasingly low limits and poor minimum coverage requirements that would leave you in a world of trouble...

I'd really think twice before taking any auto insurance policy that was only $31/month, especially in a country that doesn't believe in providing access to quality healthcare to all of its citizens.
 
Medical expenses are covered, property damage is covered, but nothing else is covered and I'm okay with that. My car isn't worth enough to carry full insurance, but if I did it would be roughly $90/month because that is what I had before.
 
wonderboy416 said:
Most US states have embarrasingly low limits and poor minimum coverage requirements that would leave you in a world of trouble...
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Which begs the question, can one be insured by another company from another province or another country?
 
Medical expenses are covered, property damage is covered, but nothing else is covered and I'm okay with that.
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They'll be covered in the same way your HMO would cover you, there's a million and one loopholes to deny coverage (and still painfully low policy limits compared to Ontario). You can of course buy up on those coverages in the US but then you can say goodbye to that $31/month policy. If you injure a third party they'll be covered up to your own policy limits (usually $1,000,000), but that's liability. If you're injured you're subjected to the wordings and limits of your own policy. Also in Ontario most policies have endorsement 44 which means that if you're hit by someone without insurance or from out of province (aimed at low limit American policies) that your insurance will respond with YOUR limits and not the limits of the third party that hit you.

Which begs the question, can one be insured by another company from another province or another country?
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While you can, it is only on a temporary basis. An Ontario vehicle that spends more than 6 months outside of Ontario must be insured in that state or province. Every province has such a rule. There is usually a grace period for out of province vehicles that enter Ontario as well. Every Ontario plated vehicle though must have a valid Ontario insurance policy.
 
I can't tell you the details or differences of the policy I have vs. what is standard fare in Ontario other than I'm aware the limitations of my policy, but my policy is limited purely in the fact that its liability only and has property damage limits of $250,000 which is in fact considered fairly good. There are policies out there that only cover $20k of property damage with maybe a few thousand paid out for medical expenses, and those are truly poor policies. Companies like Safe Auto are the ones that come to mind that sell these super limited policies. Geico has a better reputation for its lower priced customized policies, so I have a considerably good medical and property damage protection (even if it doesn't cover my own property, but considering what kind of automobile I have its not a big deal for me).

Ontario still seems to have relatively high insurance rates, if I bumped my policy up to full coverage without limited tort, it would be just at $100, and that would be fairly good coverage with very high limits, not the minimal policy.
 
I know those in Quebec who pay alittle bit more per year than what i pay per month here in Ontario.

In the United States where car insurance isn't mandatory, the rates are much lower as well.

Insurance is tricky business and I'm sure making a profit in the industry is hard. But seriously.
 
In the US its based on state law, and most states require auto owners to carry insurance. Is it federal law in Canada that people must carry auto insurance?

http://www.carinsurance.com/kb/content20009.aspx

According to that, every state requires liability auto insurance except for New Hampshire and Wisconsin.
 
I just reviewed my policy and its what I thought it was... I have 80% of my income reimbursed, after 5 working days if still not at work after an accident, and my policy is still only $31/month.... I have up to $250,000 in property damage protection and up to $200,000 medical coverage for myself, and $100,000 per person medical coverage ($200,000 medical max overall) for other passengers or the other driver.

I don't have a bad policy and its extremely low cost.. Insurance in the states is certainly cheaper, if I were to add comprehensive and collision insurance coverage for my own vehicle and bump up my rates, it would still only be $90/month for total coverage and from what I'm understanding a 'minimal' policy in Ontario starts around $100 CAD...

Insurance does seem to be a bit expensive in Ontario, seems like the industry might be a cash cow that needs some more regulation.
 
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insurance is a rip off here. Why do good drivers subsidize the bad ones? For more profit. If car insurance is risky, then increase rates more for bad drivers.
 
^ By bad drivers, do you mean people with demonstrably bad driving, or stereotyping young males who drive Honda Civics and charging them $3500 a year even with five-year flawless driving records?
 
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