Quote data from MyChoice.ca, November 2025
How Does Car Insurance Work in Calgary?
Car insurance is mandatory in Alberta, and if you live in Calgary, it’s important to understand how your premium is calculated and what types of coverage make up a standard policy.
Below is a breakdown of what’s typically included when you get a car insurance quote in Calgary through MyChoice, divided into mandatory and highly recommended coverages. Together, these form the full picture of what drivers in Calgary pay on average for insurance.
| Coverage Type | What’s Included | Average Annual Car Insurance Premium |
|---|---|---|
| Mandatory | – Third-Party Liability (minimum $204,523) – Accident Benefits – Direct Compensation: Property Damage (DCPD) | $1,263 |
| Highly Recommended | – Collision – Comprehensive – Uninsured Automobile – SEF 20 (Loss of Use) – SEF 27 (Legal Liability for Non-Owned Vehicles) – SEF 44 (Family Protection) – SEF 39 (Accident Forgiveness) – SEF 43R (Limited Waiver of Depreciation) | $1,377 |
| Coverage Total: | $2,640 |
Quote data from MyChoice.ca, November 2025
Mandatory Coverages:
These coverages are required by Alberta law and will always appear in your quote.
| Coverage Type | Coverage Details | Average Annual Car Insurance Premium |
|---|---|---|
| Third-Party Liability | Protects you if you injure someone or damage their property while driving. Also covers legal expenses if you’re sued. | $708 |
| Accident Benefits | Covers medical costs, rehabilitation, and income replacement for you and your passengers, regardless of who caused the accident. | $194 |
| – Direct Compensation: Property Damage (DCPD) | Covers damage to your vehicle and its contents when you’re not at fault in a collision with another insured Alberta driver. | $361 |
| Coverage Total: | $1,263 |
Quote data from MyChoice.ca, November 2025
Highly Recommended Coverages:
These coverages are optional, but most Alberta drivers add them for better financial protection.
| Coverage Type | Coverage Details | Average Annual Car Insurance Premium |
|---|---|---|
| Collision | Pays for repairs if your vehicle collides with another car, object, or rolls over — even when you’re at fault. | $529 |
| Comprehensive | Covers non-collision damage such as theft, fire, hail, windstorms, vandalism, or fallen objects. | $695 |
| Uninsured Automobile | Protects you if you’re hit by an uninsured or hit-and-run driver. Covers injuries, death benefits, and damage when the at-fault driver has no valid insurance. | $20 |
| SEF 20: Loss of Use | Covers transportation costs (rental car, rideshare, transit) while your vehicle is being repaired after a covered loss. | $33 |
| SEF 27: Legal Liability for Non-Owned Automobile | Extends your coverage to rental or borrowed vehicles, protecting you if they’re damaged while under your care. | $40 |
| SEF 44: Family Protection | Protects you and your family if you’re hit by an underinsured, uninsured, or hit-and-run driver — up to your own liability limits. | $24 |
| SEF 39: Accident Forgiveness | Prevents your rates from increasing after your first at fault accident (as long as you stay with the same insurer). | $33 |
| SEF 43R: Limited Waiver of Depreciation | Ensures you get the original purchase price of your new vehicle if it’s written off within the policy-specified period. | $3 |
| Coverage Total: | $1,377 |
Quote data from MyChoice.ca, November 2025
Most Expensive Postal Codes in Calgary
Compared to other cities in Alberta, Calgary has higher auto insurance rates, especially in T1Y (Northeast Calgary, Sunridge Temple, Pineridge), which has the highest rates. The three most expensive postal codes are listed below:
| Postal Code | Average Annual Car Insurance Premium |
|---|---|
| T1Y | $2,703 |
| T3Z | $2,697 |
| T2A, T2B | $2,674 |
Quote data from MyChoice.ca, November 2025
Least Expensive Postal Codes in Calgary
Calgary’s least expensive postal code is T3Z (Northwest Calgary, Southeast Calgary, Southwest Calgary). The cheapest postal codes for auto insurance premiums include the following:
| Postal Code | Average Annual Car Insurance Premium |
|---|---|
| T3Z (Northwest Calgary, Southeast Calgary, Southwest Calgary) | $2,595 |
| T3S | $2,589 |
| T2C, T2E, T2G, T2H, T2J, T2K | $2,554 |
Quote data from MyChoice.ca, November 2025
How Calgary Car Insurance Rates Compare to Nearby Cities
Calgary has some of the highest car insurance rates in southern Alberta, especially when compared to nearby smaller cities and mountain towns. Here’s how Calgary stacks up against surrounding areas.
| City | Average Annual Car Insurance Premium |
|---|---|
| Calgary, AB | $2,640 |
| Airdrie, AB | $2,598 |
| Canmore, AB | $2,296 |
| Banff, AB | $2,099 |
| Red Deer, AB | $2,335 |
| Lethbridge, AB | $2,205 |
| Medicine Hat, AB | $1,830 |
Quote data from MyChoice.ca, November 2025
Car Insurance Cost in Calgary by Age
In Calgary, rates can rise and fall depending on how old or young you are. Car insurance is the most expensive for new drivers without prior experience. While these rates drop for drivers aged 50-65, they rise again after 65.
Here is a closer look at how Calgary insurance rates change according to age:
| Age Group | Average Annual Car Insurance Premium | Annual Savings with MyChoice |
|---|---|---|
| 18–20 | $7,472 | $1,486 |
| 21–24 | $3,829 | $762 |
| 25–34 | $3,063 | $609 |
| 35–44 | $2,640 | $526 |
| 45–54 | $2,138 | $425 |
| 55–64 | $2,060 | $410 |
| 65+ | $2,191 | $436 |
Quote data from MyChoice.ca, November 2025
Car Insurance Cost in Calgary by Driving History
If you have several traffic convictions or have recently experienced an accident, securing lower rates can be challenging. Drivers who have previously had their licenses revoked might have an even harder time.
While some insurance companies offer decent coverage for high-risk drivers, it isn’t common. Consider how your driving habits can affect your premiums:
| Driving Violation | Average Annual Car Insurance Premium |
|---|---|
| Clean driving record | $2,640 |
| Insurance cancellation (CNP) | $3,775 |
| DUI / licence suspension | $3,142 |
| One at-fault accident | $4,858 |
| Speeding ticket | $3,301 |
Quote data from MyChoice.ca, November 2025
Car Insurance Cost in Calgary by Vehicle Model
The type of vehicle you drive has a significant impact on your insurance costs in Calgary. Premiums vary widely by make and model based on repair costs, theft rates, safety features, and the cost to replace each vehicle.
| Car Model | Average Annual Car Insurance Premium |
|---|---|
| Honda | $2,423 |
| Volvo | $2,642 |
| Tesla | $2,593 |
| Toyota | $2,779 |
| Chevrolet | $2,483 |
| Ford | $2,416 |
| Audi | $3,283 |
| BMW | $3,073 |
| GMC | $2,373 |
| Subaru | $2,292 |
Quote data from MyChoice.ca, November 2025
The Best Car Insurance Brokerages in Calgary
Gathering and comparing car insurance quotes by yourself can be challenging, so enlisting the help of an experienced broker can be the shortcut you need. Auto insurance brokers are equipped to compare deals from various insurers and provide recommendations for the best deals.
Below are a few of the best car insurance brokerages you’ll find in Calgary:
| Brokerage | Address | Phone number |
|---|---|---|
| Sharp Insurance | 1331 Macleod Trail Southeast Suite 300, Calgary | (403) 590-2008 |
| Westland Insurance | 1111 Olympic Way Southeast #300, Calgary | (403) 508-1111 |
| Leibel Insurance Group | 2186 11 Street Northeast #101, Calgary | (403) 910-1848 |
Driving in Calgary
Calgary is a large urban center home to over 1 million drivers. If you’re new to driving in this area, here are a few key facts to keep in mind:
- Major highways in Calgary: Deerfoot Trail, Glenmore Trail, Crowchild Trail
- Public transit options: CTrain (light rail transit), Access Calgary (door-to-door transportation for handicapped individuals)
- Ridesharing services: Uber, Lyft, Didi, Ola
- Parking space providers: Advanced parking, private lots
- Top tourist attractions: Calgary Zoo, Heritage Park, Calgary Tower, Prince’s Island Park, Calgary Stampede Monument
- Busy intersections: Macleod Trail on 25th Avenue, St. George’s Drive on 12th St NE, 16th Avenue NW to 14th Street NW
Airports: Calgary International Airport, Airdrie Aerodrome
Main Mode of Commuting in Calgary
Almost 380,000 Calgarians take personal vehicles to work every day, with 350,000 of them in the driver’s seat. Meanwhile, public transit is the second-most popular mode of commuting, with nearly 40,000 users. Here’s a detailed look at the main modes of commuting in Calgary:
| Main mode of commuting | Counts | Rates |
|---|---|---|
| Total – 25% sample data | 454,170 | 100.0 |
| Car, truck or van | 378,085 | 83.2% |
| Car, truck or van – as a driver | 350,765 | 77.2% |
| Car, truck or van – as a passenger | 27,315 | 6.0% |
| Public transit | 39,905 | 8.8% |
| Walked | 19,195 | 4.2% |
| Bicycle | 3,955 | 0.9% |
| Other method | 13,035 | 2.9% |
Commuting Duration in Calgary
Nearly half of Calgarians spend 15 to 29 minutes on their commute. This is to be expected, considering Calgary is one of the most congested areas in the country. Here’s a closer look at commuting durations in Calgary:
| Commuting duration | Counts | Rates |
|---|---|---|
| Total – 25% sample data | 454,170 | 100.0 |
| Less than 15 minutes | 97,610 | 21.5% |
| 15 to 29 minutes | 213,150 | 46.9% |
| 30 to 44 minutes | 99,695 | 22.0% |
| 45 to 59 minutes | 20,845 | 4.6% |
| 60 minutes and over | 22,870 | 5.0% |
Driving Conditions in Calgary
Calgary driving conditions can influence your insurance premiums, especially if you spend more time on the road. Here are a few must-knows about driving in Calgary:
- Average daily commute time: 53 minutes round trip
- Average annual rainfall: 425 mm/16.7 in per year
- Average annual snowfall: 629 mm/24.76 in per year
- Rainy days per year: 94.1 days
- Rainiest month in Calgary: June
- Driest month in Calgary: January, February, November, December
- Snow days per year: 88 days
- Snowfall months in Calgary: October to May
Traffic in Calgary
Calgary roads are notoriously congested because of how many drivers are always on the road. In Canada, Calgary is among the top five most congested areas, following Toronto, Montreal, Vancouver, and Ottawa. Here are a few facts that might give you an accurate picture of what driving in Calgary is like:
- Population: 1.33 million
- City area: 318.6 sq. mi
- Average commute distance: 1.8 km
- Time spent in traffic annually: 322 hours
- Busiest highways: Highway Trail, Macleod Trail SE, Alberta Highway 1, Highway 201, Crowchild Trail SW
The Most Common Questions About Car Insurance in Calgary
How much is car insurance in Calgary?
On average, car insurance in Calgary typically costs $2,582 annually. Factors like driver demographics, postal code, car model, and mileage can affect your final premiums.
Is car insurance in Calgary cheaper for new vehicles?
Car insurance in Calgary is not necessarily more affordable for new vehicles. Unless your new car boasts impeccable safety features and an excellent CLEAR score, it may cost you more. On average, insurance premiums drop by 3.4% for every year your car ages.
Can I add another driver to my car insurance in Calgary?
You can add another driver to your car insurance policy, especially if they drive it regularly. However, having more than one primary driver can increase your rates, depending on your co-policyholder’s driving record.
Does car insurance in Calgary include collision coverage?
Mandatory car insurance in Calgary does not include collision coverage. However, you can apply for collision coverage optionally.
Who sets car insurance rates in Calgary?
The Automobile Insurance Rate Board (AIRB) is responsible for setting car insurance rates in Calgary and managing the grid rating system.
Is car insurance mandatory in Calgary?
Yes, car insurance is mandatory for all Calgary drivers with a license. If you drive a vehicle, you’ll need third-party liability (TPL) and accident benefits coverage.
What is the grid rating in Calgary?
The grid rating program in Calgary establishes the maximum rate an insurer can charge for basic coverage. Only 10% of drivers in Alberta pay grid rates.
Does Calgary auto insurance also work in the US?
Yes, your Calgary auto insurance will apply in the U.S. because of similar laws and regulations. However, depending on where you visit, you may have to pay additional travel insurance.