Canada does not yet have full right-to-repair laws for vehicles. Current legislation removes digital-lock barriers but does not require automakers to share repair data or tools with independent repair shops.
Advanced Driver Assistance Systems (ADAS) are making repairs more complicated. Calibration is now needed in over 23% of claims, which adds about $500 or more to each repair.
How Right-to-Repair Impacts Your Wallet and Insurance
Independent repair shops can cost up to 30% less than dealerships for common repairs. As repairs become more complex and labour costs rise, insurance claim amounts are going up. In Canada, the average repairable claim now exceeds $5,000.
When repair shops have limited access to repair data, it leads to longer repair times, higher labour costs and more reliance on dealerships, especially for newer vehicles.
Because repair costs are higher and less predictable, auto insurance premiums can rise over time.
What Is Right-to-Repair, and Why Is It Important?
Right-to-repair legislation aims to give a consumer who buys a product multiple options to repair it at a reasonable price. This may include having repairs performed by the manufacturer or an authorized third party, paying an independent repairer, or completing repairs themselves. Right to repair can apply to many types of products, including farm equipment, electronics and more.
In the context of automobiles, the right to repair is becoming important as manufacturers add more proprietary technology to their increasingly digital products. There are many limitations to car repairs today, such as access to specific parts or tools, or digital barriers built into vehicle software. These make it more difficult for independent repair shops to perform repairs, which can force car owners into branded dealerships where the work is more expensive.
Are There Right-to-Repair Laws in Canada?
Canada has taken early legislative steps toward right to repair, but a comprehensive automotive right-to-repair framework does not yet exist at the federal level.
Bills C-244 and C-294 removed key legal barriers, such as restrictions around bypassing digital locks, but do not require manufacturers to provide repair data, tools or parts to independent shops. Bill C-59, a June 2024 amendment to the Competition Act, expanded “refusal to deal” provisions under the Competition Act, which may help address cases where manufacturers restrict access to repair inputs, though enforcement remains case-by-case.
In certain jurisdictions — Australia, the European Union and the state of Massachusetts, for example — car manufacturers are legally required to provide independent repair shops with similar information given to their dealers. Quebec also enacted provincial legislation in 2023 requiring manufacturers to provide access to repair and maintenance information at a fair and reasonable cost. However, no federal Canadian legislation makes this supply of information mandatory.
Independent vs. Dealership Repair Costs: An Analysis
An October 2025 study commissioned by the Automotive Industries Association of Canada (AIA Canada) and performed by MNP examined the cost of repairs at branded dealerships and independent shops.
Depending on the location within Canada, the vehicle model and the type of work, a repair performed at an independent shop saves between 10% and 25% on average versus the same work done at a dealership. In Quebec, the difference can be as much as 30%.
This becomes more pronounced as vehicles get older. According to AIA Canada’s data, repairs on vehicles that are 10 or more years old can be significantly cheaper at independent shops. This statistic is especially important as affordability pressures cause Canadians to keep their vehicles on the road for longer.
The added effort needed to source information from inconsistent sources is causing some repairs to take longer, from one to two hours to one to two days, which increases labour costs.
This impact is especially pronounced in rural areas where the nearest branded dealership may be several hours away. When a rural community’s independent shop can’t complete repairs, the vehicle owner may be forced to travel. This means lost work time and extra costs associated with the repairs for the consumer, and less paid work for the local shop.
How Could Right-to-Repair Affect Automotive Insurance Premiums in Canada?
As cars become more complex, factors such as proprietary parts and tools, locked-out software and increased labour are driving automotive repair inflation in Canada. These added expenses contribute to rising insurance claim costs, which insurers may pass on to consumers through higher premiums over time.
Competition in the aftermarket repair marketplace, therefore, benefits consumers in multiple ways. Fulsome right-to-repair legislation that requires manufacturers to provide independent repair shops with fair access to information could help moderate cost increases in repairs and insurance premiums alike.