Finding the best car indemnity company for young drivers is no easy job. The first thing you need to know is that indemnity companies see unseasoned men identical differently than young women. So we created 12 different fictional driver profiles, six men and six women, all 25 or younger, and ran quotes for them. As suspect, the story was a little different for men than it was for women .
For males aged 25 or under, we found that Intact Insurance has the best rates, on average, in the province. For females in the like age bracket, Aviva Canada offers the lowest average car policy premiums. But that just scratches the surface of what we learned .
- Aviva Canada has the best auto insurance rates, on average, for females 25 and under.
- Intact Insurance has the best average rates for male drivers 25 and under.
- Seven different insurance companies (Aviva, Intact, Pembridge, SGI, CAA, Coachman, Jevco) offer the best rate for at least one of the 12 driver profiles we created.
- Aviva appears to be the best insurer for young G2 drivers, regardless of gender.
Before we go on to share the details of our report, it ’ sulfur crucial to note that there ’ s much more to determining the best policy companies than just price. We focus on price here because it ’ s the one factor that decidedly varies by age. Check out our Best Insurers blog mail, where we talk about other factors like servicing and claims know, and share Google and JD Power ratings .
here is how our top car insurers stack up against each other when it comes to prices for young drivers .
|Regular market||High-risk 1|
|1. Intact||1. Coachman|
|2. Aviva||2. Jevco|
|3. Pembridge||3. Pafco|
|5. SGI Canada|
|8. Gore Mutual|
|Regular market||High-risk 1|
|1. Aviva||1. Jevco|
|2. SGI Canada||2. Pafco|
|3. CAA||3. Coachman|
|4. Intact||5. Gore Mutual|
|6. Gore Mutual|
In rate to be a utilitarian ranking, we had to generate separate lists for men and women, and for bad vs. regular market insurers .
bad insurers are ranked individually because the nature of the customers they take on ( drivers with a history of non-payment of premiums, at-fault claims, tickets etc. ) means that their premiums are naturally higher than those of regular market insurers .
Rankings for male and female drivers are break because youthful men are statistically much worse drivers than young women, and are viewed very differently by indemnity companies. This difference fades with age, and all but disappears by age 25 .
How we came up with the rankings
There are a issue of ways to evaluate insurance companies. You can base it on how easy it is to get a quote and buy a policy, reviews of their customer service, or the experience of policyholders who have had to make a claim. Because in this case we are talking about how insurance companies cater to a detail market, the lone way to reliably rank them is on price, as that is the only factor that is significantly unlike for young drivers .
so to determine how indemnity companies perform in terms of price, we created 12 fictional driver profiles, six men and six women, and ran quotes for each of them. Although the drivers are made up, the prices we generated accurately reflect what person with similar circumstances ( age, gender, location, driving read ) would pay in the real world .
merely to make sure we compared apples to apples, all of the quotes were based on the lapp coverages, policy limits, deductibles and discounts, as follows :
- With the exception of G2 drivers (Riley and Isa), everyone got their G1 the day they turned 16, G2 one year later, and G license one year after that
- Winter tire discount was included on all quotes
- No honour student discounts
- No multi-vehicle or home bundle discounts
- Coverage details:
- $1 million liability coverage
- Zero deductible for direct compensation claims
- $1,000 deductible for collision and comprehensive claims
- Accident forgiveness where available
- Replacement cost coverage where available (mostly for cars under three years old)
- $1,500 coverage for loss of use (rental car)
- $50,000 coverage for damage to unowned vehicle (rental, loaner, etc.)
- Family protection endorsement in case you or your family are injured by another driver who’s inadequately insured
Meet our young male drivers
We ran quotes for the follow young male drivers :
- Riley, Male, 17 (G2 license), single, Woodstock (N4T), clean record
Drives a 2017 GMC SIERRA 1500 CREW CAB 2WD
- Keegan, Male, 20, single, Cornwall (K6K), following too close in 2018
Drives a 2010 VW GOLF 2.0 TDI WAGON
- John-Paul, Male, 21, single, Burlington (L7P), clean record
Drives a 2010 TOYOTA MATRIX WAGON
- Hakim, Male, 23, common-law, Goderich (N7A), at-fault and speeding in 2017
Drives a 2014 NISSAN 370Z ROADSTER
- Jock, Male, 25, married, Lindsay (K9V), speeding in 2018
Drives a 2018 MINI COOPER COUNTRYMAN 4DR
- Zachary, Male, 24, divorced, Port Hope (L1A), speeding in 2019, 2020, impaired and at-fault in 2021
Drives a 2011 ACURA TSX SPORT WAGON
And here are the quotes. note that Zachary was not included when we calculated modal premiums, because his commemorate makes him a bad driver, and sol his best quotes are from bad insurers .
Rates provided by Mitchell & Whale ’ mho car indemnity quoter, with access to 40+ insurance companies in Ontario.
Note: If Zachary lived in Toronto, his best insurance company would be Pafco, and he ’ d be paying over $ 10,000 a year .
|Riley (17, G2)||Keegan (20)||John-Paul (21)||Hakim (23)||Jock (25)||Avg||Zachary (24)|
Intact is the clear winner with youthful male drivers in the regular market. They have the lowest average, offer the best quote for two drivers, and they are no worse than fourthly on any visibility. But if you ’ re Riley ( G2 driver ), Intact will cost you 28 % more than Aviva.
Meet our young female drivers
We ran quotes for the surveil young female drivers :
- Isa, Female, 18 (G2 license), single, Kanata (K2L), clean record
Drives a 2017 FORD FOCUS ELECTRIC 5DR
- Wren, Female, 19, single, Scarborough (M1G), speeding ticket in 2019
Drives a 2016 CHRYSLER 300 S 4DR
- Akilah, Female, 22, single, Kenora (P9N), clean record
Drives a 2015 CHEVY IMPALA LS 4DR
- Karlee, Female, 23, married, Whitby (L1N), at-fault claim in 2018
Drives a 2019 BMW 330i Xdrive 4DR AWD
- Grey, Non-binary2, 25, common-law, Georgetown (L7G), speeding ticket in 2019
Drives a 2020 HYUNDAI TUCSON URBAN EDITION 4DR AWD
- Dalilah, Female, 20, married, Strathroy (N7G), impaired driving and speeding in 2020
Drives a 2008 MAZDA MX5 MIATA GT CONVERTIBLE
2 Non-binary or gender X drivers are rated as males, then as females, and are given the lower of the two rates. For unseasoned drivers, this efficaciously means they are rated as females .
And here are the quotes. Dalilah was not included when we calculated average premiums because the best quotes are from bad insurers .
|Isa (18, G2)||Wren (19)||Akilah (22)||Karlee (23)||Grey (25)||Avg||Dalilah (20)|
For young women drivers, Aviva is the overpowering winner, with the lowest average quotation, and offering the best price for three out of six profiles. But if you happen to be Grey or Akilah, you don ’ metric ton care that Aviva loves young female drivers, because their quotation for you is 20-25 % higher than the lowest rate offered by another insurance company. The moral of the narrative is that insurance pricing is identical specific to the individual, and the entirely way to know you ’ re getting the best rate is to get quotes from as many companies as you can .
Will these rankings change over time?
Rankings based on rates are accurate at the meter the quotes are run. history shows that some companies remain competitive over years in certain market segments, but demand rates often vary every few months and surely over a class or more .
The rankings in this piece are based on rates that indemnity companies file every quarter with the Financial Services Regulatory Authority of Ontario ( FSRA ). not every company changes their rates every quarter, but many do, and they have to justify their modern rates with attest of how much money they ’ ve spend in paying claims. When a ship’s company has a quarter with lower claims costs for a particular market segment, say young drivers, they may reduce their rates for that segment. If their claims go up, well, obviously they will have to collect more premium to cover those costs, and rates will increase .
So the car indemnity market is constantly fluctuate, with some companies lowering rates to attract more of a especial type of customer, and others increasing rates for that like group, good to stay profitable. It ’ s not likely that one insurance company will be the cheapest in a given section for very long. If they are, and they can make a profit, finally others will lower their rates to try to mimic their success .
How can young drivers save on auto insurance?
1. Get insured under your parents
All of the quotes included in this nibble are for standalone policies, meaning that the person in question is the primary driver on the vehicle. By far the most low-cost direction for young drivers, specially those under 20, to gain experience is to be listed as an occasional driver on their parents ’ policy .
Take Keegan, for example. He ’ randomness 20, lives in Cornwall, and had a conviction for following besides close in 2018. On his own, his best rate would be $ 2,195 with intact Insurance. But assuming he ’ sulfur even living with his parents, he could be listed as an periodic driver on the lapp car for only $ 917 more than his parents are already paying with CAA ( only $ 339 if he was a female child ). This can make an even bigger deviation in the GTA, where rates are much higher for young drivers .
2. Prove you’re a good driver (telematics)
even if you ’ re a conscientious, safety-oriented individual, you are paying for the sins of every young driver that came before you, because you haven ’ thymine had a prospect even to build a 10 or 20-year record of clean drive. This can seem fabulously unfair, specially for youthful men, who flush with a clean phonograph record, can sometimes pay three or four times the provincial modal for indemnity .
The only means for young drivers to mitigate this effect is to opt for a telematics device that measures how you drive and can save you big bucks if you drive safely. To illustrate, we ran quotes for a G1 driver, Erik, whose best rate would normally be $ 5,051 with Aviva, but if he opted to go with telematics, he would mechanically get a 10 % discount for signing up with Intact ’ sulfur “ my Drive ” program. So his base rate would be $ 4,672, and could go deoxyadenosine monophosphate low as $ 3,884 by the end of the policy terminus if he drove like a saint 3 .
3. Avoid tickets and accidents
If you ’ re 50 and you ’ ve been driving for 30 years, having one speeding slate or even an at-fault on your record won ’ triiodothyronine inevitably affect your premium that much. If you ’ re under 25, tickets and at-faults will cost you dearly.
In the quote examples above, Wren ’ s best rate, with Aviva, is $ 7,432. If she didn ’ t have a speed ticket on her record, Aviva would still be her best choice, but the premium would be $ 5,467. That ’ s an supernumerary 36 % she ’ south paying, for one speed ticket .
Your best insurer is here
We want all Ontario drivers to end up with the policy company that is effective suited to their individual needs. Depending on who you are, how erstwhile you are, where you live and how cleanse your record is, your best indemnity company could be any one of seven or more. There ’ sulfur truly merely one way to always hit the bullseye. shop with a license policy brokerage like Mitchell & Whale. With 40+ insurance company partners, we ’ ve got the best insurance company for you, careless of your circumstances. We ’ ra waiting for your call .