It is required by law that all vehicles registered in Ontario must have car insurance. Car insurance rates can vary significantly based on a variety of factors. One of the biggest effects is the location you live in. Big cities, with higher volumes of traffic and more likelihood of accident claims, will have more expensive car insurance premiums. For example, in a city like Toronto, the average annual car insurance rate is estimated to be $2,071. That’s higher than the estimated Ontario average annual premium of $1,634.
The average cost of car insurance in Kingston is approximately $1,100 per year. That’s roughly $90 each month. Sitting halfway between Toronto and Montreal, Kingston’s car insurance rates are about 25% less than Ontario’s provincial average. With a small population and roads that are less busy, the likelihood of car accidents and insurance claims are much lower.
Car insurance rates can also vary slightly based on the specific area in Kingston that you live in. Yes, your home address and the area you live in have a very large and direct impact on your annual car insurance premiums. For example, residents who live in the heart of Kingston and near the schools where there is generally more foot and vehicle traffic will likely pay a higher premium for car insurance than residents that live in less congested neighborhoods.
If you also use your car as a commute vehicle, your car insurance premium will likely be higher. That’s because commuters are more likely to face traffic and accidents during rush hour. It’s also because people who commute will likely be using more mileage than non-commuters. As a result, commuters will have higher car insurance premiums than those non-commuters.
As Kingston is home to one of the most popular universities in Ontario, student and young drivers can mean higher insurance premiums. Student and young drivers are also more likely to be subjected to higher insurance premiums because of their lack of driving experience compared to older drivers. However, taking courses and maintaining a clean driving record will help you lower your premiums.
Understanding Car Insurance Costs in Kingston
To understand why car insurance premiums in Kingston are priced the way they are, you must first understand the factors that impact your car insurance rate.
Your geographical location is one of the biggest and most direct impacts in determining your car insurance premium. Kingston is an institutionally based economy with a population of just over 120,000. That’s a lot less than cities like London, Toronto, Brampton, Richmond Hill. Of course, if you live in a slightly busier area of Kingston, your car insurance premiums might be a little more expensive than someone who lives at the border of Kingston. Regardless, car insurance rates in Kingston are consistently low and drivers will be paying a lot less than if they were in the big cities.
There are other factors that impact car insurance as well and insurance companies generally apply the same types of information when determining the profile of a driver and the amount of risk they pose as potential customers. Common information insurance companies will look for include: age, gender, make and model of vehicle, and distance travelled each year.
Other factors insurance companies may also consider include: accident claims history, length of license, car insurance history, whether they are a new driver, and the type of car insurance needed. These factors determine how likely the customer will get into a car accident, how much the insurance company should charge, and whether they want to insure the driver at all.
