Auto insurers need our approval to change the rates they use to calculate premiums. Our role as the auto insurance rate regulator is to ensure that a company’s proposed rates are just and reasonable and not excessive. An insurance company also needs to charge enough to cover its operating expenses, pay future claims obligations and earn a reasonable profit.

We review applications in detail and ensure the assumptions used by the insurer are reasonable. For example, we use its benchmarks to review and evaluate insurers’ applications. We can reject part of or the entire application if, due to the regulator’s review, a company is misstating its forecasted rate need.

You can review rate changes as they are approved for every auto insurer in Ontario. 

Your average premium

Average premium information gives consumers a convenient provincial average to compare with their premium. We update this information regularly.

The average annual premium is for all Ontario private passenger vehicles insured in Ontario over the past 12 months.

A customer’s premium can change because of an insurer’s approved rate change overall. A premium change can also result from changes in the customer’s circumstances or risk characteristics, such as a speeding ticket.

Impact on auto insurance during COVID-19

FSRA continues to protect the interests of consumers by monitoring auto insurance rates and changes in driving behavior.

In March 2021, the largest auto insurers comprising more than 95 percent of the Ontario market voluntarily committed to additional rate reductions for their customers.

We expect most reductions to be in the market by July 1, 2021. We approved 83 rate applications between March 17, 2020, and December 31, 2020. 81 were approved for an average change of 0 percent or less.