Average Cost For Home Insurance In Ontario

The average home insurance cost in Ontario is approximately $1,250 per year. This averages out to just over $104 per month. However, depending on your home value and location, you can expect to pay anywhere from $700 to $2,000 or more annually. Your rates are determined based on your individual situation. Your coverage selection, plan limits, added endorsements and other customized coverage will influence your price.

Not sure how much the average costs in your area? Contact our team to find out how much it will be to insure your home.

No two homes are the same. The size, the way they are constructed, age, and your contents insurance all affect the average policy cost in Ontario.

• Location : Your city, postal code, and neighbourhood. Your proximity to a hydrant, fire hall, and emergency services. Claims and crime in your area.
• Home value : The greater your home value, the higher your average premiums. For example, it will cost more to insure a property worth $1 million than one that is worth $500,000. If you have a luxury home, you should consider high-value home insurance.
• Replacement value : This is one of the most important factors used to determine pricing. Replacement cost factors in materials and labour required to rebuild your home, not the real estate value.
• Coverage limits and add-on : The type and amount of coverage you add to your policy affects cost. Adding policy endorsements such as water damage insurance or sewer backup insurance can increase your rates.
• Construction : The type of electrical wiring, piping, frame, building materials, house and roof age, and recent renovations all affect costs.
• Deductible amount : A higher deductible lowers costs and a lower one increases costs.
• Endorsements : Adding insurance endorsements increase your level of protection, but they will also increase your average costs.

The price of Ontario house policies is increasing because of many economic, environmental, and societal factors. Here is a look at a few of them :

• Prevalence of insurance fraud : Fraud hurts us all and it increases costs for policyholders. When people make false claims or claim more damage than present, it drives up insurance prices for everyone.
• Weather : There have been a series of catastrophic loss events across Canada in the past few years. Weather damage claims are on the rise, especially from overland flooding and water related damages. They are a significant cost to insurers and this contributes to increasing home insurance costs.
• Increased risk : Higher instances of crime, vandalism, break-ins, and more home insurance claims being filed.
• Economic factors : The cost of rebuilding homes is on the rise. This is largely due to higher inflation and supply chain issues stemming from the pandemic. Lumber and other building materials have gone up in price, and this is reflected in the overall value of homes and the cost to insure them.
• Real estate : Housing prices are increasing. People are building larger and more expensive homes. This increases the cost to insure the property.