1. Mandatory Coverage + Financial Protection
Car insurance is mandatory across all Canadian provinces. At a minimum, drivers must have liability insurance, which covers third-party damage — including medical costs and property damage.
Without it, drivers risk hefty fines and full financial responsibility for any incident.
By adding comprehensive and collision coverage, you're protected from a much wider range of risks: theft, vandalism, weather-related damage, and accidents — even if you're at fault.
2. Rising Risks, Rising Repair Costs
From 2019 to 2024, average insurance premiums in Canada increased by 22.3%. In provinces like Ontario and Alberta, the jump was especially noticeable.
Why?
Repair costs have skyrocketed — up 22% — as vehicle parts and labour become more expensive.
New vehicle prices are up 61.5%, used vehicles 82%, since 2019.
In 2023 alone, auto theft claims exceeded $1.5 billion CAD, with insurers paying out $1.90 for every $1 earned.
Severe weather events — floods, hailstorms, wildfires — caused $8.6 billion CAD in insured losses in 2024.
All of this means car insurance is not just necessary — it’s a critical financial shield.
3. Without Insurance, You're Fully Exposed
Without comprehensive coverage, you are not protected from:
Theft or attempted theft
Natural damage (hail, falling branches)
Vandalism, flooding, or fire
If something happens, you pay entirely out-of-pocket. For many, that could mean thousands — or even the full value of the car.
5. Why Buy Car Insurance Now?
Inflation and repair costs are up — waiting can cost more later.
Accidents and extreme weather are more frequent — you need reliable protection.
Modern insurance options offer flexibility — usage-based and digital-first policies may fit your lifestyle better.
Being proactive saves you money — switching providers or updating your plan can reduce your premium today.