Auto Insurance

REPORT: In Canada, men pay more than women for car insurance across all age groups

By: LowestRates.ca Staff on May 20, 2020

Auto insurance premiums are determined using a variety of factors, including a person’s driving record, years of driving experience, insurance history, vehicle make and model, type of usage, type of coverage, deductible, and so on. But one of the many factors that also has an impact on what we pay for auto insurance is our gender.

It’s generally understood that men pay more than women for auto insurance, particularly when they’re young and signing on to their first policy. But how do men fare over time?

We used our car insurance quoter to collect test data for male and female drivers across different age groups (17 to 60) from three major Canadian cities (Toronto, Montreal, and Calgary) and found that by and large, men play slightly more for auto insurance than women across all age groups. 

The gap in premiums is highest among teenage drivers and reduces gradually with age. 

Browse the data below to understand the correlation between age, gender, and auto insurance premiums. Note that these are averages, and you as a driver may be eligible for higher or lower prices depending on your own circumstances. Always regularly compare your auto insurance rates to make sure you’re getting the best deal. 

Downtown Toronto

Ages 17-19

Men pay 27% more than women.

Ages 20-24

Men pay 11% more than women.

Ages 25-30

Men pay 3% more than women.

Ages 31-40

Men pay 5% more than women.

Ages 40-50

From the age of 40 onwards, men and women pay equally for car insurance in downtown Toronto. 

Downtown Montreal

Ages 17-19

Men pay 16% more than women.

Ages 20-24

Men pay 14% more than women.

Ages 25-30

Men pay 19% more than women.

Ages 31-40

Men pay 14% more than women.

Ages 40-50

Men pay 11% more than women.

Ages 50-60

Men pay 11% more than women.

Downtown Calgary

Ages 17-19

Men pay 12% more than women.

Ages 20-24

Men pay 2% more than women.

Ages 25-30

Men pay 2% more than women.

Ages 31-40

Men pay 3% more than women.

Ages 40-50

Men pay 5% more than women.

Ages 50-60

Men pay 4% more than women.

Why do men pay more?

Insurance companies use historical data to identify patterns and predict the nature of claims in the future. That means your auto insurance premiums are, in part, determined by the past driving records of men and women in your neighbourhood. 

One of the biggest reasons why men are charged more for auto insurance in Canada is because men are more prone to being involved in road accidents. According to data from Statistics Canada, there were 1,851 deaths reported due to transport-related accidents in 2018, which includes 1,313 males and 538 females.   

Men are also more likely to drive under the influence of alcohol and drugs compared to women.  According to 2017-2018 data from StatCan, 20,056 males have been found guilty of impaired compared to only 5,550 females. Men are also more likely than women to commit traffic infractions, such as dangerous driving and driving while prohibited.

While gender and age do play a role in determining auto insurance premiums, these factors don’t supersede other important parameters like a clean driving record, no insurance gap, claims history, etc. Irrespective of gender, anyone who drives safely, follows traffic rules, and has no insurance gap for a significant amount of time can reduce their insurance premiums.   

Methodology

Test Quote Parameters:

  • Age: 17 to 60 years
  • Gender: Male, Female
  • Single, employed
  • Living in downtown of major city
  • Driving a 2018 Mazda CX-5 GS 4DR AWD (not leased)
  • Purchased vehicle in March 2019
  • Winter tires
  • Street parking
  • G licence (or provincial equivalent)
  • Insured consistently without any gap
  • With current insurance company for two years
  • Drives 10km daily to and from work
  • Drives 30,000 km in a year
  • Wants comprehensive and collision coverage
  • Policy to start ASAP (June 2020)
  • No cancellations; no time without insurance coverage (clean driving record)
  • No discounts, no authorized credit check

 

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