The so-called “city above Toronto” now boasts the highest car insurance premiums in Ontario.
Vaughan has knocked Brampton out of the top spot, even as the average provincial rate declined in 2021.
A new report generated by RATESDOTCA pegs Ontario’s average annual premium in 2021 at $1,555. That’s down by 3.8 per cent from the year before, when the average sat at $1,616.
The authors of the report believe the pandemic has played a key role in driving down premiums.
“Over the past two years, many Ontarians have been driving much less than they used to, due to pandemic-induced lifestyle changes such as remote work,” claims Chartered Insurance Professional Tanisha Kishan.
“There has been a corresponding drop in accidents and claims, which means fewer losses to be absorbed.”
Some of the steepest reductions have come in the Greater Toronto Area, with premiums falling by 27 per cent in Brampton, where residents typically pay among the highest rates in the province.
At the same time, Vaughan saw a much smaller decrease of 6.7 per cent. That city now holds the highest premiums in Ontario, with an average cost of $2,179, according to the report.
Toronto ranks seventh on the list, with an average premium of $1,953, down by more than 11 per cent year-over-year. (A full list of rankings can be found at the end of this article.)
Experts warn that the cost savings for drivers won’t last forever, particularly if the COVID-19 pandemic eases and the work-from-home trend comes to an end.
“When Ontarians begin driving more, it is likely we could see a corresponding rise in rates,” said Kishan.
The title of cheapest auto insurance rates in Ontario is shared by several cities. Cornwall, Elizabethtown, Amherstview, Gananoque, Martintown, Iroquois, Brockville, Kingston all boast an average premium of $1,132.
Most Expensive Auto Insurance Premiums in Ontario
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