Q4 auto insurance rates higher in Ontario; lower in Alberta and Quebec
According to online insurance quote provider Kanetix.ca, the fourth quarter of 2010 brought with it higher auto rates in Ontario (by 9.5 percent compared to the same quarter in 2009) and 4.9 percent and 0.4 percent lower in Quebec and Alberta, respectively.
In Ontario, the 9.5 percent increase may be due to the province’s auto insurance reforms that took effect in September. Kanetix believes that while many insurers decreased rates because of the reforms, increases implemented before September 1 could mean customers saw higher rates than what they paid at their previous year’s renewal.
Kanetix said in Quebec, which say an almost 5 percent decrease in premiums, more drivers took advantage of discounts this year; 3.5 per cent more indicated they participated in a roadside assistance program. As well, more drivers chose to opt out of optional coverages like collision and comprehensive.
Alberta’s decrease of 0.4 percent is consistent with the industry-wide reduction of premiums implemented on November 1, 2010. The review further observed an increase in younger drivers with limited driving experience visiting Kanetix to shop around, with the web site noting a 5 per cent growth in drivers under the age of 25 and a 6 per cent growth in drivers licensed less than 5 years visiting the site.
