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Yes. In order to drive a car in Canada you are required by law to have insurance. Each province has its own minimum standard for mandatory vehicle insurance. Not sure what you need to have on your policy? Learn more about what each province requires.

TIP: Looking for auto insurance in Toronto? Review the basics of how car insurance works in Toronto.

We consider a number of rating factors when we calculate your car insurance premium. These factors help us estimate how likely it is that you'll make a claim, and how much it could cost. Some are within your control, while others aren’t.

Here’s a breakdown of some of the key factors we look at to get your price:

• Your vehicle: Your car’s year, make, and model will impact your rate. Some cars are more likely to get stolen, and some are more expensive to repair.
• Your postal code: Where you live plays a big part in how much your car insurance costs. It’s usually pricier in urban areas, where there’s a higher risk of car theft and vandalism. Plus, busy roads mean it’s more likely you’ll get into an accident.
• How much you drive: All insurers ask how much you drive, and if you have a daily commute. That’s because the more kilometres you’re clocking, the higher the risk of an accident – and accidents can impact your premium.
• Your claims history: It pays to be a claims-free driver! Zero claims means a more affordable premium, but have an at-fault accident and you could see a rate hike.
• Your driving record: Generally, the better your driving record, the lower your premium will be. Both major and minor traffic convictions will⁠ hike up your car insurance rate (which is why it pays to drive safe).

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• Your age: More driving experience usually means you’ve refined your safe driving skills – something every insurer likes to see. If you’re a younger driver you can expect to see higher premiums. Once you hit 30, you’ll generally see your rates take a dip – as long as you stay claims and conviction-free.

Other factors are simply out of your hands, including changes to government regulations, inflation, and the rising costs associated with injuries and car repairs.

Have questions about your policy? Contact us – we’re here to help.

During home insurance calculation, insurance companies look at a complex set of factors. These will determine the likelihood of you making a claim – and how much a claim could cost. The higher the likelihood is, the higher your premium will be.

Factors that can affect your home insurance premium include:

• Where your home is located 
  Based on your postal code, an insurer can find out how many claims are made in that area – and why they happen. For example, if your area has frequent windstorms, there could be more frequent claims for damage. This could cause your home premium to be higher than that of a house in an area that doesn’t have windstorms very often.
• Home age and condition 
  The older the building, the higher the likelihood of a claim. That’s because things like old wiring (fuses, for example) are a bigger risk for fire. And, old plumbing increases your risk of claims due to sudden leaks or burst pipes. 
• Heating equipment
  If your home is heated with oil (like it is in many rural areas), your premium could be higher. Oil tank leaks increase risk of damage and environmental hazards. Wood stoves are also a common source of house fires, so they could raise your payments, too. 
• Proximity to fire support 
  If your home is close to a fire station and fire hydrants – like in an urban area – your premium could be lower than a home in a rural location, where travel distance is longer. 
• Number of past claims 
  The longer you’ve been claims free, the lower your premium will be. If you’ve had a claim in the last year, you can expect your premium to go up at renewal. 
• Your age and other information about you 
  As you get older, your premium will tend to decrease. The fact is, many insurance providers consider homeowners with more experience as less risky to insure. Some insurers could also look at your credit score. 
• How you use your home 
  Do you rent out rooms or a basement unit in your house? Factors like this may also impact your premium since they can increase damage and liability risks.