Getting a car insurance package will protect your investment against vehicle damages, medical expenses, and other costs resulting from car accidents, theft, and other events. Finding a car insurance provider in Canada can be challenging, as you have to compare the offers of several car insurance companies to find the one that is best suited to your needs. This article is meant to ease the task of finding the right car insurance offer by providing a review of the best 12 car insurance companies in Canada, in no particular order.
This company has been providing car and home insurance for over half a century. The basic Belairdirect insurance plan provides liability coverage, direct compensation, accident benefits, and uninsured motorist coverage. If you’re in need of additional coverage, options include collision insurance coverage, roadside assistance, and comprehensive insurance coverage, among others.
Belairdirect provides several discounts. For instance, if you insure two or more vehicles, your premium can go down by as much as 15%. Other saving opportunities include a bundle discount if you insure both your car and your home, a student discount if you are under 23 and a full-time student, a safe driving and low mileage discount, a group discount if you are part of a Group program, and a senior discount. Senior citizens with very good driving records are eligible for additional discounts.
Belairdirect offers car and home insurance in Alberta, Ontario, Quebec, New Brunswick, Nova Scotia, and Prince Edward Island.
One of the cheapest car insurance policies in Canada is offered by TD. If you live in Montreal, for example, TD Insurance will give you full coverage for just $56 per month. This company is one of the largest home and direct-response auto insurance groups in the country. It also has a long and storied history, having been founded in 1969.
Of course it is one of Canada's biggest banks. It offers all sorts of insurances, as well as credit cards with generous travel insurance and car rental insurance, like the TD First Class Travel® Visa Infinite* Card.
TD's options include travel, rental, life, specialty, credit, accident, and sickness protection, among others. This means that in case you need complex coverage, you can save money with a bundled package.
The company’s basic insurance policies include accident liability and direct compensation coverage. You can extend coverage to include specific perils, accident forgiveness, comprehensive coverage, and reimbursement in case you lose your vehicle.
TD also provides insurance options for motorcycles, motor homes, ATVs and snowmobiles. Each of these options includes third-party liability, accident forgiveness, and direct compensation. You can save on these coverage options by using a bundling package.
Like other insurance companies, TD does not provide car insurance options in Saskatchewan, British Columbia, or Manitoba, as residents in those provinces get auto and motorcycle insurance from the government under provincial legislation.
As one of the largest insurance companies in the country, Aviva provides options that smaller companies cannot afford. For instance, its auto insurance offerings include a disappearing deductible program.
In addition, the company has large financial resources. This lets them innovate new products and offer coverage options that you won’t find at other companies.
The car insurance coverage provided by Aviva’s basic plan includes 24/7 roadside assistance, discounts for bundling auto coverage with other insurance options, a discount of 20% when insuring several vehicles, a discount of 15% if your car has an automatic emergency brake system, a 15% discount if you drive without convictions for three consecutive years, and the chance to have your deductible dropped to $0 after five years of driving without an accident. The car insurance company’s additional coverage options include collision protection and comprehensive liability coverage in case of vandalism of other events.
Like other insurance companies, Aviva rewards customers who bundle their car and home insurance policies, as well as those who are retired, insure more than one vehicle, stay claims-free, and have no convictions.
Dejardins is one of the best car insurance companies for new car owners because it offers many discounts and optional coverage packages. Its basic car insurance package includes comprehensive, collision and upset, third-party liability, accident benefits, family protection, uninsured automobile coverage, and direct compensation for property damage.
If you are looking for additional coverage, your options include five-year new vehicle protection, a $0 deductible option, a trouble-free option, transportation replacement, accident-free protection, and liability for damage to non-owned automobiles.
Desjardins provide a wide range of discount options to its customers, including standard multi-line discounts and risk-averse driving discounts. Another feature that differentiates this company from others is Ajusto, a telematics technology used to track users’ driving habits and offer them instant discounts through multi-tiered pet insurance products.
Desjardins provides insurance services in Quebec, Alberta, and Ontario.
The Personal is a subsidiary of Desjardins General Insurance. The auto insurance standard package provided by The Personal includes third-party liability, accident benefits, collision, uninsured automobile, and comprehensive coverage for loss or damage caused in non-collision situations.
Like many car insurance companies, The Personal includes a variety of familiar optional coverage packages, including liability for damage to non-owned automobiles, new vehicle protection, a $0 deductible, accident-free protection, and transportation replacement coverage. Insurance options for recreational vehicles provides coverage for motorcycles, ATVs, snowmobiles, trailers, campers and motorhomes.
The company’s discounts offerings include a 15% discount if you have not had any convictions on your driving record for the past three years, home and auto insurance bundles, coverage for more than one vehicle, and hybrid or electric vehicles. In case you are looking for bundles, you should know that The Personal also provides coverage for home, pets and travel.
The Personal provides car insurance services in Quebec, Alberta, New Brunswick, Newfoundland and Labrador, Northwest Territories, Nova Scotia, Nunavut, Prince Edward Island, Yukon, and Ontario.
This is the largest private sector provider of P&C insurance in Canada. It has options for those looking to insure their cars, motorcycles, ATVs, RVs, boats and snowmobiles. One of the company’s key features is offering less common coverage types, such as auto insurance based on use.
Two discount programs offered by the company are My Driving Discount and My Lifestyle Advantage. My Driving Discount provides a 5% discount to customers who sign up for the program and an additional 25% discount after a proven track record. My Lifestyle Advantage gives discounts to those who maintain their home safer through different measures.
Vehicles that can be insured with Intact include cars, trucks, vans, motorcycles, boats, snowmobiles, RVs and ATVs. It is worth mentioning that you can use Intact for both personal and commercial insurance, and that the company has a reputation for providing products such as surety bonds for businesses.
Intact offers car insurance in all Canadian provinces and territories, including those with mandatory public insurance, making the company a good option for those who want optional coverage not provided by the public insurance program in their province.
In most parts of Canada, you will have to access the car insurance options offered by this company through an insurance broker. Economical Insurance provides coverage options for cars, trucks, vans, SUVs, ATVs, snowmobiles, mopeds, campers, motorhomes and motorcycles. Besides auto insurance solutions, the company also provides personal, business and farm solutions.
With Economical Insurance, you get coverage for damage to other vehicles, legal fees in case of being sued, accident repair, medical expenses, theft and vandalism, rental costs and cracked windshields.
This company also provides home insurance, meaning you can save money by pairing your auto insurance with home insurance. Other discount offerings include multi-vehicle discount, safe driver discount, conviction-free discount and renewal discounts.
Economical Insurance serves residents across Canada. Residents located in British Columbia, Saskatchewan, or Manitoba, may be eligible for additional coverage through Economical Insurance.
If you are looking for a public insurance company that must adhere to the rules of the Canadian government, SGI Canada might be for you. The company’s auto insurance options include collision or upset coverage, all peril, comprehensive liability protection, family liability protection, 14-day coverage, uninsured motorist, and liability coverage.
If you decide to insure your car with this company, you can choose between three main packages: comprehensive coverage, collision or upset coverage, and all perils coverage. You may qualify for one or more discounts, including keeping a policy for three or more years, not having any conviction for three consecutive years, insured multiple vehicles with SGI, being retired, having a good driving record, having farming as your main source of income, having both your home and vehicle insured with SGI, and others.
If you are a business and don’t fit in other packages offered by SGI, you can take advantage of its commercial pak, which is customizable business insurance that covers a wide range of needs.
SGI Canada provides insurance services to residents in British Columbia, Saskatchewan, Alberta, Ontario, and Manitoba.
RSA Group has a long history of providing insurance services in several European countries and Canada. The company was acquired by Intact Financial Corporation on June 1, 2021. With the company’s claim protection plan and lifetime repair guarantee, your premium will not increase after your first at-fault accident.
Besides car insurance, you can also use RSA for home insurance, condo insurance, property and casualty for small-to-medium sized business insurance, individually rated commercial auto insurance, and for several mid- and large-market commercial insurance needs.
Finally, one of the things that make this company notable in the insurance market is its Air Miles Program. If you are an RSA client, you will get 1 mile for every $20 you spend on insurance. Those who travel regularly will find this feature particularly attractive.
RSA provides car insurance to residents in Alberta, Ontario, and the Atlantic provinces.
Insurance products offered by Echelon include personal and commercial auto insurance, business insurance, motorcycle insurance and commercial property insurance. If you are looking for a car insurance company that is particularly open to customers that have difficulties acquiring or affording insurance, Echelon is one option to consider.
One of the reasons you might struggle with finding a suitable insurance company for your car is because you have a bad driving record, you have an exotic car or a collective, you have lapses in coverage, or you are a business in construction or other high-risk industries. Because Echelon does not employ in-house agents, it can offer lower premiums through a few insurance brokers.
Non-standard auto insurance offerings from this company provide coverage for automobiles, RVs, motorcycles, travel trailers, collector vehicles and trail bikes. Commercial insurance offerings include commercial pak, commercial liability, commercial auto, business owner’s value pack, creditor protection, and warranty programs.
Echelon’s non-standard automobile insurance is available in Quebec, Ontario, New Brunswick, Prince Edward Island and Nova Scotia.
Sonnet is owned by Economical Insurance. It provides a basic package that includes accident benefits, collision, and liability insurance. Optional coverage includes ticket forgiveness, rental vehicle coverage, roadside assistance, vehicle replacement coverage, and a hit-and-run deductible waiver. You can also use Sonnet to insure your home or condo, and for tenant and landlord insurance.
One of the company’s key features is its guarantee of precise premium calculations. Sonnet makes use of client data to calculate insurance premiums, including crime levels, claim numbers, and recent claim amounts in the neighborhood. This can be an advantage or a disadvantage, depending on where you live.
Sonnet operates exclusively online. As a result, it has lower expenses than many brick-and-mortar businesses, which should allow it to pass on savings to you. Furthermore, the initial quote for your premium is exactly what you will pay, which is not always the case with initial estimates provided by other car insurance companies.
Sonnet insurance is available to residents in Alberta, New Brunswick, Nova Scotia, Ontario, Prince Edward Iceland and Quebec.
Last but not least, Co-operators provides one of the best customer experiences, discount options, and optional coverages to those who need to insure their. One of the reasons this company is so popular is that it provides financial consulting services along with insurance services.
Auto insurance offerings include coverage for liability, accidents, uninsured motorists, and direct compensation for property damage resulting from an accident in which you are found partly responsible.
An interesting feature of the company is the program en-route, which provides a discount of up to 25% off the premium based on data collected through a wireless device in the vehicle. You will get a 5% discount just for signing up for the program.
Besides car insurance, Co-operators also provides life insurance, property and casualty insurance, brokerage services, and institutional asset management. Co-operators is also an option for those who need business insurance, farm insurance and travel insurance.
Co-operators does not provide car insurance in Manitoba or British Columbia. In Saskatchewan, it provides extended coverage to supplement the public insurance plan required by law. In Quebec, the company writes only the portion of the car insurance plan that is not covered by the public injury liability plan.
Bottom line: the best car insurance company is the one that meets your needs
There are many insurance companies in Canada that offer car insurance packages. Choosing between one and the others can be overwhelming, especially if you are not sure about your insurance needs. One mistake that many people make is choosing the cheapest insurance they can get. In some cases, this can end up costing the most in the long-run, as not having enough coverage, or having the wrong coverage, will leave you exposed financially in the case of an accident or other event involving your car.
Buying the right insurance policy depends on your location, financial situation, and particular needs. When in doubt, it’s best to talk to an expert who can help you choose the right car insurance company and policy.
Frequently asked questions about car insurance companies
In general, a company decides to write off a car when the estimated repair cost and salvage value of the damaged vehicle exceed the cash value of the vehicle before the accident.
Yes, car insurance companies check mileage so that they calculate whether you are at a high risk of an accident or not. Insurance providers differ in how they check mileage. While some companies will rely on the information you provide by asking you for an annual mileage estimation, others will require you to attach a computer to the vehicle in exchange of lower premiums.
The cash value of a vehicle, when totaled, is calculated according to several factors. These include vehicle type, customization, number of km driven, condition and the average sale price of the car in your location.
Yes, in Canada, you can change your car insurance company whenever you want. If you change your insurance provider mid-term, you will most likely have to pay a cancellation fee.
You could save thousands of dollars by comparing prices before you buy permanent or term life insurance
About The Author: Arthur Dubois
Passionate about personal finance and financial technology, Arthur Dubois is a writer and SEO specialist at Hardbacon. Since his arrival in Canada, he’s built his credit score from nothing.
Arthur invests in the stock market but doesn’t pay any fees because he uses National Bank Direct Brokerage online broker and Wealthsimple’s robo-advisor. He pays for his subscriptions online with his KOHO prepaid card, and uses his Tangerine credit card for most of his in-store purchases. When he buys bitcoins, it’s with the BitBuy online platform. Of course it goes without saying that he uses the Hardbacon app so that he can manage all of his finances from one convenient place.
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