Young woman driving in a car.

May 6, 2024

The best car insurance companies for young drivers in Ontario (2024) 

6 min read


Interested in learning who the best car insurance company is for younger drivers in Ontario?

Saving money where possible is crucial in today’s economic landscape, where a week of groceries for a person in their young twenties and living alone costs twice or three times as much as it used to. Car insurance, though a mandatory purchase, can be costly for young drivers, so it helps to save money where possible!

Here’s our list of the best car insurance companies for young drivers in 2024.

Key findings

Before we get into the individual findings and examples, we’ve compiled our key findings below for those who want to cut to the chase.

  • Commonwell has the best car insurance rates for women 25 and under
  • Intact has the best average rates for men 25 and under
  • Travelers offered the best rates for our male G2 driver, where Intact offered the best rates for our female G2 driver.

Keep in mind that the “best” car insurance company is more than just price. While we highlight some companies based on the lower price profile they offer, there’s so much more that goes into an insurer than their premiums. Check out our list of best Ontario auto insurers of 2024 for pointers on what makes a good insurance company and Google and J.D. Power reviews.

Final rankings

Based purely on price, here is how our top insurance companies stack up against each other:

Table 1. Best insurers for young men in Ontario
Regular marketHigh-risk
Intact1. Pafco
Zenith2. JEVCO
SGI Canada3. Coachman
Aviva4. Echelon
Table 2. Best insurers for young women in Ontario
Regular market High-risk 
Commonwell 1. Coachman 
Intact 2. Echelon 
Aviva 3. JEVCO 
SGI 4. Pafco 
10.  Pembridge  

Creating a list and comparing based on rates without separating between men and women and high-risk markets might not give as clear an indication of how insurance companies price each demographic differently. Most insurance companies price their rates for men higher because men 25 and under are statistically worse drivers.  

High-risk is also a separate category because these drivers have a certain history that makes them statistically likelier to make claims again in the future (usually because they’ve been in multiple at-fault accidents, had speeding tickets, distracted driving convictions, etc.) and so they’ll pay more for their insurance than the regular market. 

How did we create our driver profiles for quotes?

Every driver we created on our list of quotes is fictional, so no real people were used to generate these price points. As we’ve mentioned previously, insurance companies have many different qualities to judge beyond simply price, but because we’re comparing between (fictitious) driver profiles that only differ slightly we figured the best way to rank them was on price, since that’s really the only thing that’s changing when comparing companies. 

To determine precisely how insurers compare against one another regarding pricing, we crafted 12 different fictious driving profiles (6 male and 6 female) and pulled quotes for all of them. These drivers are not real; however, their rates do reflect what someone of similar characteristics may expect to pay for their auto insurance.  

We used the same coverages, policy limits, discounts and deductibles for our quotes, used the following guidelines: 

  • Applied no bundle or multi-vehicle discounts 
  • Included a winter tire discount on all quotes 
  • Assumed all drivers (apart from G2 drivers) received their G1 when they turned 16, then their G2 a year later, and their G license the year after 
  • Applied no honour student discounts 
  • Used the following coverage details: 
    • $1 million liability coverage 
    • 0 deductible for DC-PD coverage 
    • $1,000 deductible for collision/comprehensive 
    • Replacement cost coverage (where available) 
    • $1,500 coverage for loss of use/rental car 
    • $50,000 coverage for damaged to unowned vehicles 

The profiles for our young male drivers

To create this list, we ran quotes for the following (fictional!) profiles for young male drivers: 

  • Ahmed, male, 17 (G2 license), single, Barrie (L4M), clean record 
  • Drives a 2019 MAZDA CX-5 GS AWD 
  • Francois, male, 24 (G license), single, Kingston (K7K), “following too close” in 2021 
  • James, male, 21 (G license), single, Brampton (L6W), clean record 
    • Drives a 2020 HONDA CIVIC LX COUPE FWD 
  • Sampson, male, 25 (G license), married, Ottawa (K1N), speeding in 2022 
    • Drives a 2015 DODGE GRAND CARAVAN FWD 
  • Logan, male, 22 (G license), single, Ajax (L1T), two speeding tickets (2022 and 2023), at-fault accident in 2023 
    • Drives a 2024 KIA SELTOS LX FWD 
  • Miguel, single, 19 (G license), single, Goderich (N7A), at-fault accident in 2024, two speeding tickets (2021 and 2022) 
    • Drives a 2019 BMW 8 SERIES M850i xDRIVE CONVERTIBLE AWD 

For the individuals above, here are our auto insurance quotes: 

Table 3. Ontario insurance rates for young male drivers
Insurer Ahmed (17, G2) Francois(24) James (21) Sampson (25) Reg. Avg. Logan (22) Miguel (19) High-risk Avg
Aviva $9,172 $2,175 $7,084 $2,928 $5,339
CAA $12,280 $2,263 $11,236 $2,282 $7,015
Economical $16,758 $1,917 $8,047 $3,842 $7,641
Intact $9,364 $1,385 $5,404 $2,778 $4,732
Zenith $9,786 $1,771 $5,017 $2,638 $4,803
Pembridge $11,907 $1,828 $7,260 $4,488 $6,370
SGI $9,690 $1,419 $6,227 $3,282 $5,154
Commonwell $11,006 $2,382 $6,969 $3,174 $5,882
Travelers $8,640 $2,760 $11,676 $4,848 $6,981
Wawanesa $14,127 $1,313 $7,811 $3,713 $6,741
Echelon $8,049 $19,547 $13,798
Coachman $8,971 $9,980 $9,475
Pafco $6,139 $7,996 $7,067
JEVCO $10,434 $6,595 $8,514
1Data source: Mitch auto insurance quoter

The profiles for our young female drivers

To create this list, we ran quotes for the following (fictional!) profiles for young female drivers: 

  • Fatima, female, 18 (G2 license), single, Greater Sudbury (P3B), clean record 
    • Drives a 2016 FORD ESCAPE SE AWD 
  • Aubrey, female, 25 (G license), single, Morrisburg (K0C), speeding in 2023 
  • Ayah, female, 23 (G license), married, Aurora (L4G), at-fault accident in 2021 
    • Drives a 2017 MAZDA MX-5 GS RWD 
  • Jenna, female, 19 (G license), single, Peterborough (K9H), clean record 
    • Drives a 2019 KIA SORENTO LX AWD 
  • Maxine, female, 24 (G license), married, Carp (K0A), speeding in 2022, careless driving in 2023 
    • Drives a 2013 ACURA ILX 2.0L FWD 
  • Caitlyn, female, 20 (G license), single, Orangeville (L9W), at-fault accident in 2021, speeding in 2022 and 2023 
    • Drives a 2012 NISSAN MAXIMA S 

For the individuals above, here are our auto insurance quotes: 

Table 4. Ontario insurance rates for young female drivers
Insurer Fatima (18, G2) Aubrey (25) Ayah (23) Jenna (19) Reg. Avg. Maxine (24) Caitlyn (20) High-risk Avg
Aviva $4,495 $2,933 $3,089 $4,705 $3,805
CAA $5,417 $2,617 $2,669 $5,624 $4,081
Economical $5,508 $3,097 $2,482 $7,534 $4,655
Intact $4,464 $3,141 $2,197 $4,978 $3,695
Zenith $6,817 $2,509 $2,508 $4,913 $4,186
Pembridge $6,058 $3,553 $3,352 $7,648 $5,152
SGI $4,925 $2,772 $2,514 $5,816 $4,006
Commonwell $4,848 $2,202 $2,241 $4,643 $3,483
Travelers $5,532 $4,932 $3,660 $6,132 $5,064
Wawanesa $6,858 $2,686 $2,283 $6,465 $4,573
Echelon $4,528 $8,430 $6,344
Coachman $5,000 $6,452 $5,726
Pafco $8,133 $11,459 $9,796
JEVCO $4,487 $8,896 $6,691
1Data source: Mitch auto insurance quoter

Will auto insurance costs for these profiles change over time?

Yes, as drivers age and gain more experience behind the wheel, their insurance will typically become more affordable. At the times these quotes were run, they’re accurate, but given a few years – or even just a few months- they can vary. Most insurers adjust their rates quarterly, and every insurance company must justify their rate changes by providing evidence with how much they’ve paid out in claims. The rates we’ve used in this article are based on the rates that the companies file per quarter with the Financial Services Regulatory Authority of Ontario, or FSRA. 

Rates can fluctuate if a particular market segment, such as young drivers, has lower claim costs for a certain quarter. In response to this, companies may lower their costs, but keep in mind that the opposite of this is also true.  

Given the ever-changing nature of the market and all the possible ups and downs, it’s unlikely that one auto insurance company will always remain the cheapest option for a specific demographic, and even if one company is cheaper for that demographic for an extended period, oftentimes other companies will reduce their rates to remain competitive.  

Tips for saving on auto insurance for young drivers

Try usage-based insurance 

Decent drivers, even young drivers, can prove that they’re safety-oriented by opting into their insurance company’s telematics programs. Most insurance companies offer incentives for enrolling in telematics, where good driving can increase those potential savings even more. Telematics are plug-in programs or phone apps that you can install, which then track certain driving behaviours and reward the driver by lowering their insurance premiums. 

Drive responsibly  

This goes without saying, but practicing safe driving behaviours, avoiding tickets and convictions, and generally being an all-around good driver can save you huge. As a young driver, your rates are already high enough, and being high-risk could double or even triple those already expensive rates. A single speeding ticket at a young age could be detrimental for your auto insurance rates. Play it safe – drive responsibly!  

Get insured under a parent’s policy (if possible) 

While all the quotes that we pulled in our tables above were standalone policies, we often recommend young drivers, particularly those under the age of 20, gain experience whilst being listed as an occasional driver on their parent’s insurance policy. 

Even a driver with a speeding conviction whose best option is $3k+/year could benefit from being listed on their parent’s policy, which might only increase the cost of their parent’s insurance by $500-$1,000/year – a much more affordable alternative to being insured standalone. This is also highly recommended for those in the GTA.  

Enroll in a driver’s education course 

Driver’s education courses are imperative to any new driver as it helps to teach critical skills. Taking a course again later in life can also help to refresh these skills. But beyond the skills that these courses teach, many of them qualify drivers for insurance discounts. Talk with a broker about which driver’s education courses may qualify you for a discount.  

Your partner in affordable car insurance is here 

Helping drivers in Ontario find the insurance company that’s most suited to their individual needs is our game here at Mitch Insurance. Depending on where you live, who you are, your age and driving record, your “ideal” insurance company could be any one of 6+ companies. 

Working with a licensed brokerage like Mitch is a surefire way to find great coverage. We work with over 70 insurance companies in Canada, meaning we’re sure to find one that’s right for you and offers great prices, unparalleled service, and excellent support. Give us a call and get a free, no-obligation quote today.  

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