Get a quote


Join Our Distribution List Today!

Need help managing your business risks during COVID-19? – CLICK HERE FOR INFO YOU CAN USE
ALIGNED Insurance

Call Toll Free

Why is our car insurance going up so much?

Why Is Our Car Insurance Going Up So Much?

Across Canada, auto premiums have been on the rise, and many people are asking the question why is our car insurance going up so much? Unfortunately there is no simple, short or easy answer to this, but hopefully this post provides some insight and answers.

So…Why Is Our Car Insurance Going Up So Much?

When trying to understand why car insurance rates are going up so much it’s important to remember that insurance companies are for profit business and like many organizations they are trying to provide a service and product while generating a profit. Ultimately when profitability of Canadian insurance companies is challenged insurers respond by increasing car insurance rates.

Reasons Impacting Insurer Profitability

  • Car insurance claims are becoming more frequent and more expensive. This results in an increase in the costs to repair a vehicle after an accident. Since the total cost of all claims is shared across all customers, this impacts how much everyone pays for insurance.
  • The increasing cost of claims due to increasing amounts of technology like sensors, cameras etc. in cars
  • Increasing claims due to people texting, doing emails, watching videos and generally using devices and phones while driving.
    • Studies have shown that people are 23 times more likely to get in a collision while texting
    • In Canada someone is injured every 30 minutes due to distracted driving
    • Distracted driving is the cause of 8 out of every 10 accidents in Canada
  • Increasing sever weather events which are causing damage to vehicles
  • Insurance fraud is estimated to cost insurers, and therefore Canadian policy holders nearly $2 Billion each year!

For More Information On Why Commercial Car Insurance Is Going Up So Much Or For Options Call An ALIGNED Insurance Broker Today at

It’s time to get insurance value and choice aligned. Want Canadian business insurance that aligns with your bottom line? We can help. 365. Call us toll-free at 1-866-287-0448 or click to Get a Quote!

We’re ALIGNED across Canada. The ALIGNED Insurance National Operations Centre in Cambridge, Ontario supports our Toronto, Calgary and Vancouver offices. Our industry peers consistently recognize us as one of Canada’s best insurance teams. 100% Canadian-owned, we are super proud to be one of the fastest-growing insurance brokerages in the country.

We deliver e-news you can use. Get practical business insurance insights in your inbox every month. 19,000+ people subscribe to our free ALIGNMENT Matters e-news. Just click the JOIN OUR DISTRIBUTION LIST button – at the bottom of our homepage – to get connected.

365 | Get ALIGNED. Every day, Canadian business leaders read our insurance insights. Find us on LinkedIn, TwitterFacebookInstagram and YouTube.

Sources and resources related to the above:

Leave a Reply

Your email address will not be published. Required fields are marked *