Car Insurance in Ontario

Driving in Ontario may mean that you are headed down the 401 during an icy snowstorm, or sitting in traffic on the Gardiner Expressway, gazing at the summer sunset over the Toronto skyline. When driving your car, feel confident your auto insurance coverage fits your needs.

Lifetime warranty on auto repairs

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Save 10% when you quote and buy car insurance online.2

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How Does Car Insurance Work?

Whether you lease, finance, or own your car, it is mandatory to have car insurance. However, in order to be eligible for car insurance, certain conditions and restrictions apply.

To begin with, you (and all drivers you wish to include in the policy) must have a valid driver's license and be a resident of Canada. Next, insurance companies will look at your prior driving record to determine eligibility and rates. However, rates will vary depending on whether you are looking for a new insurance policy altogether or if you wish to renew an existing one. Other eligibility restrictions may arise from past convictions. This too, will vary depending on when your last conviction occurred and the nature of the conviction.

Other Eligibility Considerations:

Other insurance conditions may arise depending on the type of vehicle, its use, and any customizations or modifications made to the vehicle. For example, if you have altered your vehicle to enhance its performance or appearance, most insurance companies would need to assess the vehicle to determine if they could insure it. If you plan on modifying your vehicle, call us first! We will let you know if the changes you plan on making could have an impact on your policy.

Other factors that may also prevent an insurer from issuing you a policy:

  • Your vehicle has substantial unrepaired damage or is deemed unsafe
  • Your vehicle is rented or leased to others
  • Your vehicle is used for racing or competition

Learn more about Car Insurance Eligibility and Restrictions

How Much Does Car Insurance Cost?

There are a number of factors that determine how much your car insurance will cost. Here are 7 of the key factors that insurance companies take into consideration when calculating your car insurance premium:

Your car: The make, model, and year of your car can affect your insurance premium. This determines the cost and value of the car, safety features, and repair costs.

How often you drive: The number of kilometers you drive your car per year will affect your insurance premium.

If you use your car for commercial purposes: If you use your car for work purposes (other than commuting), you may need to get commercial car insurance. Your business may require a higher liability limit.

Your driving record (and the records of all drivers who use your vehicle), which includes: The number of years you’ve all been licensed for. Convictions due to driving infractions (which includes speeding tickets). Accidents.

Where you live: Premiums are usually higher in and around large urban areas

The coverage you choose: The more adequate the coverage, the more it will cost to insure your vehicle

Special discounts: Belonging to a preferred group for professionals and alumni. With TD Insurance you can select up to three eligible groups!

Learn more about how car insurance premiums are calculated

Mandatory Car Insurance Coverages Include

Whether you lease, finance or own your car, there is a minimum amount of required coverage you need to have by law to protect yourself and your loved ones. This minimum varies by province and can include coverage like:

Liability Coverage

If you injure someone or damage property, payments are made on your behalf.

Direct Compensation

Damages to your car are covered to the extent at which you are not at fault in a collision.

Uninsured & Unidentified Automobile Coverage

Medical costs and damage are covered if an uninsured driver is at fault.

Accident Benefits Coverage

Regardless of who is at fault, medical and other expenses you are entitled to receive are covered.

Learn more about Car Insurance

Enhanced and Special Coverage

Where available, choose one of these options for beyond-the-minimum protection for your car.

Specified Perils

Protects your vehicle from specified perils such as losses caused by fire, floods, hail or theft.


All other insured damage caused to your vehicle (except collision or upset).

Collision or Upset

Damage to your vehicle caused by a traffic collision with another vehicle or object.

All Perils

The broadest level of coverage — combines Collision or Upset and Comprehensive coverage along with increased theft protection.

Accident Forgiveness

With Accident Forgiveness, your car insurance rates won’t go up if you have an at-fault or partially-at-fault accident.**

Learn More

Uninterrupted Driving Coverage

With Grand Touring, travel worry free within Canada and the U.S. because you’re covered for rental car insurance, a temporary rental car, and even towing.

Learn More

Limited Waiver of Depreciation

In the event of a total loss, you could get the purchase price of your vehicle as your settlement value1.

Ways you can save

Bundle car and home insurance

Insure two or more vehicles

Drive a hybrid or electric vehicle.

How Do I Save On Car Insurance in Ontario?

Here are a few simple tips to save on car insurance in Ontario:

  • Insure both your car and home with us so that you qualify for a multi-line discount.
  • Increase your deductible – insurance is really meant to cover you for damages you could never afford on your own. If you can afford a $1,000 repair job, then raise your deductible to $1,000 and pay less for your insurance.
  • Maintain a great driving record – the safer you drive, the more you could save. By downloading and using the TD MyAdvantage app, which collects and analyzes your driving data, you could save up to an additional 25% on your premium!
  • Think about removing collision coverage if you drive an older car. This means weighing the cost of collision coverage with the value of your car and chosen deductibles.
  • Consider driving a "low-risk" vehicle. Insurance premiums are based on previous claim history, so the more likely the vehicle is to be stolen or in an accident, the more you'll pay for insurance.
  • If you’re a new driver, take a driver's training course.
  • Insure all your cars with us so you can make the most of our multi-vehicle discount.
  • Quote and buy car insurance online for extra savings.

Learn more about how you can save on Car Insurance.


You could save up to 25% on your car insurance premium with TD MyAdvantage

Introducing TD MyAdvantage, a usage-based insurance savings program that is 100% voluntary and free. The safer you drive, the more you could save!

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