Insuring an Imported Car in Canada: All You Need to Know

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Article Contents
By Aren Mirzaian
Updated on June 30, 2025

3 minute read

Article Contentstable-of-contents

If you’re planning to import your dream car from overseas, you need to be extra mindful of the unique insurance challenges that importing can present. Registering and insuring an imported car in Canada comes with its own set of steps, costs, and considerations.

Does insuring an imported car cost more? Can you import cars from anywhere? How do you lower auto insurance premiums for imported cars? Read on to learn all you need to know about insuring an imported car.

Insuring Imported Cars At a Glance

  • Not all insurers cover imports. Some companies are hesitant to cover vehicles that weren’t originally manufactured for the Canadian market.
  • Imported cars usually command higher insurance rates than domestic models. Factors such as part availability, repair costs, and theft risk influence premium pricing.
  • Cars coming from the U.S. and Mexico are far easier to import than cars from other countries. If you attempt to import an unapproved vehicle, it will be denied entry into Canada and detained.

Unique Insurance Hurdles for Imported Vehicles

Imported cars can be seen as a greater liability for insurers to cover. Here are a few challenges you might run into when looking to insure an imported vehicle:

Older imported vehicles often lack accessible accident or maintenance histories. Without reliable records, insurers treat them as higher-risk assets.

Vehicles imported from countries like Japan often have right-hand steering. Some provinces have safety concerns with RHD cars, and some insurers may charge extra or refuse coverage entirely.

Cars must meet Transport Canada’s safety and emission standards. If your import falls short, modifications will be necessary before registration and insurance can be processed.

Insurance Challenges for Imported Vehicles

How to Register & Insure an Imported Car Step-by-Step

The process of registering and insuring your imported vehicle depends a bit on where it’s coming from. Here’s a step-by-step guide to registering and insuring your newly imported car:

Confirm import eligibility:

Before you purchase a foreign car, check the Registrar of Imported Vehicles (RIV) program. Cars from the U.S. and Mexico are often easier to import due to similarities in safety and emissions standards. Cars from countries other than the U.S. and Mexico need to pass the safety standards set by the Motor Vehicle Safety Act before they can be cleared for import.

Complete RIV inspection:

Once you’ve imported your car, you’ll need to pass a mandatory RIV safety inspection. You’ll be issued an inspection form, and you need to have the inspection performed within 45 days of the import date.

Obtain provincial safety certification:

Each province requires its own safety certification before registration. For example, Ontario requires emission testing before your car can be properly registered.

Shop for insurance:

Look for an insurer with experience covering imported vehicles. You’ll need to provide detailed specs, photos, and in some cases, an appraisal.

Register the vehicle:

Bring all paperwork related to your imported vehicle to your provincial licensing office. This can include your customs documents, RIV inspection, safety certificate, and proof of insurance. You’ll be issued plates and a registration certificate.

Are Imported Cars More Expensive to Insure?

Yes, imported cars are typically more expensive to insure. Most imported vehicles fall into higher-risk categories, even if they’re in good condition. Here are some factors that play a part in the higher insurance premiums of imported cars:

  • Repairs may be delayed or cost more due to the limited availability of parts.
  • Some imports lack advanced safety features that lower premiums in domestic cars.
  • Imported cars may be more prone to theft.
  • If the model isn’t sold in Canada, insurers may not have sufficient actuarial data to estimate risks, resulting in a high-risk classification.

Advanced Tips to Lower Premiums on Imported Cars

Imported cars may typically cost more to insure, but there are a few ways to lower those premiums:

Bundle your insurance policies:

Combining auto, home, or tenant insurance with the same provider can net you serious discounts.

Install a recognized anti-theft device:

Some aftermarket GPS trackers, such as tag trackers, are approved by insurers and can lower your rate.

Increase your deductible:

If you’re confident in your driving record, a higher deductible can significantly cut your monthly premiums.

Limit your mileage:

If your imported car isn’t your daily driver, consider a policy based on reduced usage.

Key Advice from MyChoice

  • Compare insurance quotes using MyChoice’s online insurance comparison tool. Not every insurer is willing to cover imports, but those that do may offer vastly different quotes, so shop around for the best deal.
  • Disclose all information about your imported car upfront. Hidden modifications or missing paperwork can void your policy or cause a delay in processing a claim.
  • Keep all records related to your imported vehicle. Having a complete paper trail handy, from the bill of sale to RIV inspection results, can help you with registration and insurance approval.

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