Being inexperienced behind the wheel often leads to high car insurance costs for young drivers. However, there are several steps inexperienced drivers can take to reduce Ontario car insurance costs. The seven tips below focus on the most important checks.
Sources reviewed include FSRA’s current young-driver and savings guidance, Ontario’s graduated-licensing rules and the province’s approved-school requirements. We also checked standardized MyChoice quote data.
Tips For Young Drivers To Save On Car Insurance
1. Protect Your Record First
For a new or early career driver, convictions and at-fault accidents can lead to increased costs. Based on 50,000 comparable Ontario car insurance quotes collected by MyChoice since the beginning of 2026, the average quote for a driver with a clean driving record was $2,345. With a speeding ticket for going slightly over the limit, the comparable average was $3,244 with a minor speeding ticket and $2,969 with one at-fault accident.
2. Complete An Approved Beginner Driver Education Course
Completing a Beginner Driver Education course, approved by the province, can reduce your G1 holding time from 12 months to 8 and may result in lower insurance rates. Insurers are able to offer discounts to drivers who have taken the course, but are not obligated to do so. According to guidelines from the Financial Services Regulatory Authority of Ontario (FSRA):
- Once you’ve completed the G1 stage of your licence with no accidents or violations, you are eligible for a 10% discount on all portions of your premium, not just Third Party Liability coverage, for one year once you reach the G2 level
- A similar 10% discount is available when you obtain your full licence with a clean driving record at the G2 level.
3. Make Sure The Household Rating Is Accurate
The person paying the bill for an Ontario car insurance policy needs to make sure all licensed drivers in the home and the usage of all vehicles are disclosed to the insurer. Insurance companies determine who is considered to be a primary driver and who is an occasional user of a vehicle.
For example, it isn’t correct to have a parent as the primary driver if the vehicle is mainly driven by a new driver in the family. Misrepresenting material facts on an insurance contract can affect an insurance company’s willingness to pay out on a claim.
Read More: Is it Cheaper to Be on Your Parent’s Policy or Have Your Own?
4. Quote The Vehicle Before You Buy It
Auto insurance companies consider many factors when pricing Ontario car insurance, including repair costs, theft statistics and the value and safety features of a vehicle. Some cars cost more to insure because they have a surcharge applied due to high theft rates unless they have approved anti-theft devices installed. Get a quote for the car you’re thinking of buying.
You can walk away from the purchase if the vehicle does not fit your insurance budget.
Read More: Cheapest Cars to Insure in Ontario
5. Report Mileage And Use Accurately
Ontario car insurance premiums are affected by the number of kilometres you drive annually. Let your insurer know if you start or stop commuting to work. Some companies offer discounts for lower mileages while others offer telematics or usage-based insurance.
Be sure to find out how much you’ll actually save with these kinds of insurance programmes before enrolling, as savings vary widely based on the criteria used to track driving, the information shared with insurers and cancellation policies.
6. Choose The Deductible You Could Pay Tomorrow
Increasing the amount you agree to pay before the insurer covers losses could reduce your insurance premium. But the trade-off for choosing a high deductible is paying more out of pocket when you make an Ontario car insurance claim. Choose a deductible you can afford to pay on top of repair costs in case of an accident. Compare otherwise identical quotes at $500 and $1,000, calculate the annual saving and make sure the higher amount is available after a claim.
Read More: See How Car Insurance Deductibles Work
7. Compare Like-For-Like Quotes
Ontario drivers can reduce their auto insurance premium by completing driver’s education, insuring cars that aren’t expensive to repair and shopping around for insurance. Always compare Ontario car insurance quotes on a like-for-like basis to ensure you’re looking at identical limits of Third Party Liability, accident benefits, Collision, Comprehensive, deductibles and other coverage.
Read More: What Makes Up the Ontario Premium?
Get a requote whenever your licence, driving record or primary vehicle changes, when your annual mileage significantly increases and when your policy comes up for renewal to make sure you have an accurate rate.
Read More: See When Car Insurance Usually Goes Down