Condo insurance premiums are continuing to rise in Canada, sustaining a years-long increase that experts believe will last through the first two quarters of 2022, at least.
Your questions about calculating home insurance premiums, answered.
How to use our Ontario house insurance calculator to get the cheapest rate and save money.
You already know that a home insurance calculator won’t give you an accurate estimate. But, here’s how our quoting tool will. Home insurance is influenced by a number of different factors, including the value of your home, its contents and where your property is located. In addition, there are many risks specific to Ontario that you may want to cover in the form of add-ons to your policy. Our quoting tool takes this all into account before delivering the best home insurance rates from real Ontario providers. Taking this route will give you a better idea of how much money you can save on home insurance.
A calculator may provide a rough estimator your home insurance costs in Ontario, but it probably won’t be as accurate as one that takes into account all these details. And, it certainly won’t provide the option to secure the rate you receive with a real broker or agent.
To get started, simply fill out the form above and click the pink ‘Get Started’ button. Once you do that, you’ll be taken to a window where you’ll be asked to input some of the details we listed above. This portion will mostly revolve around you and the other occupants of the home as well as how you use it. Then, you’ll be taken to a selection of home insurance quotes from multiple brokers and agents serving Ontario. Just like that.
How to calculate the cost of home insurance in Ontario:
Finding an accurate homeowners insurance calculator for Ontario online can be a challenge because there are so many variables to consider. For instance, your monthly payments will be based primarily on how much insurance you purchase. Your payments will total the cost of your policy and any additional fees that you might have to pay.
How much home insurance you purchase: This will be the main factor in determining your home insurance payments. How much coverage you purchase can depend on whether you want a bare bones or more comprehensive policy or whether you require any additional coverage for high-value items, extreme weather events, etc.
The cost of rebuilding your home: One of the main reasons homeowners purchase insurance is to repair or replace your home in the event of an accident or weather-related event. This is why the cost of replacing your home will factor into the cost of your home insurance policy. However, with the costs of home ownership going up across Canada (particularly certain cities in Ontario), many homeowners choose to add a guaranteed replacement cost to their policy, which will bump up their insurance premiums.
How much your valuables are worth: The contents of your home also play a part in how much you’ll pay for home insurance. It’s important to note that there is often a limit on how much coverage is available for valuables, such as jewelry or art. If the limit given by your provider is lower than the value of these items, you may want to consider purchasing additional coverage.
In addition, the items below may also influence the cost of home insurance.
Mortgage lender: Your rate may also vary depending on which lender you decide to go with. Some lenders may require you to buy additional coverage, which means you’ll have to pay higher premiums. This is why it’s important to compare the market using rate comparison websites like LowestRates.ca
Additional fees: If you don’t pay your premiums on time, you may be charged additional fees. For instance, if the credit card you use to make your payments expires before you provide the insurer a new method of payment, you may be charged a late fee.
Remember to factor in the monthly interest when estimating your home insurance costs. Once you’re through with our calculator, your home insurance premiums in Ontario can be calculated down to the dollar.
What other factors influence your home insurance premiums in Ontario?
By now, you know that there are a number of factors that go into calculating your home insurance rates, which is why calculating your potential savings can be tricky. We’ve listed some common factors below, but there are even more things that come into play Our property insurance calculator for Ontario will evaluate all these factors — and more — to figure out how much money you may be able to save on your home insurance payments.
Next, you’ll be shown the most competitive rates from real home insurance providers serving Ontario. For now though, let’s get into some of the factors that might influence your home insurance rates.
Location: The location of your home can make a difference to your home insurance rates. For instance, if your neighbourhood has a high rate of theft or crime, your rates might be higher than if you lived in a safer neighbourhood. As the value of your home can also impact how much home insurance you need, if you live in a neighbourhood with higher house prices, this may also impact your rates. To help you navigate these discrepancies, our home insurance calculator for Ontario residents will show you rates from lenders serving your area.
Fire hydrant/station proximity: Living close to a fire station might mean occasionally being woken up in the middle of the night, but it could also lead to lower premiums because there’s a reduced chance of substantial property damage. In urban areas, this isn’t much of an issue. However, this can mean you have to pay higher premiums if your home is in a rural or remote area.
The age and condition of your home: A home is more susceptible to wear and tear as it ages. Old pipes can leak or the roof may begin to deteriorate. Renovating and repairing your home to avoid age-related repairs can lead to lower premiums. This is another instance where location comes into play. Neighbourhoods tend to contain homes that were built around the same time, which means they have the same original fixtures and building standards. Newer neighbourhoods, therefore, will contain newer homes, which may mean lower insurance rates. Buying a new-build may also qualify you for a home insurance discount.
Whether you work from home or rent out your home: If you work from home or operate a home business, you may pay higher home insurance premiums. This is because there may be additional items related to your work or business that need to be insured. Furthermore, as a landlord you don’t need coverage to protect your tenant’s personal belongings, but you do need enhanced liability insurance in the event someone is injured on your property. This can push up your premiums.
How many claims you’ve made in the past: Making multiple home insurance claims can increase your premiums as well. Before making a claim, consider whether you can pay for it out-of-pocket. If you can afford to, paying for repairs or replacement will ensure that your rates won’t go up at renewal.
Your age: As you get older, it may become more difficult to maintain your home. If this results in accidents inside or on the property, your home insurance premiums may increase.
Your home’s heating system: Generally, a home with an oil heating system has a higher risk profile than those with a gas furnace or electric heating system. This is due to the change of a leaky oil tank with the former. Furthermore, other elements such as a wood stove could increase the risk of a fire or carbon monoxide poisoning. As a result, if your home has either of these, you may need to pay higher premiums.
Other things that can influence your home insurance rates might include:
- Renovations or home improvements which are likely to increase the value of your home.
- Pets that are considered more high risk (exotic animals and some dogs) may result in an increase in home insurance premiums.
- The size of your deductible.
Does home insurance in Ontario differ greatly from other provinces?
No, your home insurance coverage won’t differ significantly from one province to the next. This is because of the lack of provincial regulation around home insurance in Canada. The exception to this rule is for “endorsements” or “add-ons” to your policy that may protect you from location-specific risks. For instance, it might be less expensive to purchase additional earthquake coverage in Ontario as opposed to British Columbia or Quebec because of the reduced risk of earthquakes in this region.
Areas with higher home values may also be susceptible to higher home insurance premiums because the value of your policy is partially determined by the replacement cost of your home. Residents of Ontario regions with higher home prices, such as the Greater Toronto Area, may find that they pay slightly higher home insurance premiums.
What kinds of home insurance are there?
The type of policy you choose will factor greatly into the cost of your homeowners insurance in Ontario. Our calculator lets you select what type of policy you want when entering your information into the form. This way, we can give you a more accurate estimate for your Ontario homeowners insurance premiums. There are typically four different kinds of home insurance policies:
With a comprehensive policy, you’ll receive the most coverage. This type of policy is also sometimes referred to as a “special” or “all-perils” policy. A comprehensive policy covers all perils except those which the insurance company has specifically excluded. If your policy names overland flooding and earthquakes as exclusions, then you won’t have coverage for these risks. However, if fire isn’t named as an exclusion, then you are covered for this risk. Excluded risks can vary depending on which insurance company you go with. Choosing this type of policy may mean higher monthly home insurance costs in Ontario. Our calculator will give you a more exact estimate.
Basic coverage/named perils
This type of policy, also referred to as a “standard” policy, will offer less coverage than a comprehensive policy. It will only cover you against the perils specifically named in the policy. Nothing more.
This type of policy falls somewhere between a basic and a comprehensive policy. Like a comprehensive policy, a broad coverage policy will include all perils except those that are specifically excluded. However, like a basic policy, this type of policy will cover the contents of the home for perils that are specifically named.
No frills coverage
If the home you’re trying to insure doesn’t meet the insurance company’s standards, you’ll require a “no-frills” policy. This type of policy offers basic coverage for homes with structural damage or other types of issues. This coverage might include common risks, such as fire damage, until the home is repaired and qualifies for other types of coverage.
Where can I get home insurance?
There are a number of ways to purchase home insurance in Ontario, such as an insurance broker, an insurance agent or company, or by going online. One option is to compare homeowners insurance rates in Ontario with the calculator provided by LowestRates.ca. This tool is also known as a “quoter” because it will provide the best home insurance quotes from real Ontario home insurance providers. After inputting some information about your home, the quoter provides a number of competitive rates from the top home insurance providers in the area. If you select one, a broker or agent will be in touch to secure this rate for you.
How can I reduce my home insurance premiums?
One of the primary things you can do to save money on your home insurance premiums is to reduce the risk of damage to your home. Here are some options for doing just that:
Install security and safety measures to prevent fire damage and theft: Having a security or fire alarm system can reduce your risk of theft and of fire, which can in turn reduce your premiums.
Install preventative measures against water damage: Having a backflow valve, or a sump pump installed in your home can reduce your premiums.
Use weather-resistant materials to build your roof: Upgrading your roof is another way to prevent weather-related damage and reduce your home insurance premiums. Be sure to use class four asphalt shingles or slate tiles to help your roof withstand intense Canadian weather.
Bundle your home and auto insurance policies: One of the most common ways to get a discount on your home insurance premiums is to bundle your home and auto insurance policies. We also inform car insurance shoppers of this loophole and encourage them to contact their insurance providers to find out how much they can save.
Increase your deductible: A higher deductible means you will have to pay more when you make a claim and the insurance company won’t have to pay as much. However, your premiums will be lower.
Don’t switch insurance companies before the end of your term: While this won’t increase your insurance premiums, you may be forced to pay fees for breaking your policy.
Ask about discounts: This is another great way to save money on your home insurance premiums. There may be discounts specific to your insurance provider that you might not know about. Be sure to ask your broker or agent if there are any additional discounts you might qualify for.
Don’t become a high-risk customer: Having multiple claims, not paying your premiums on time, or owning a vacant property are just some of the reasons why an insurer may consider you to be a high-risk customer.
What if I own a condo or rent? Can I still calculate my property insurance payments online?
LowestRates.ca can compare renters and condo insurance. If you’re in the market for either of these policies, just indicate whether you’re looking for renters or condo insurance. Our quoting tool will take your selection into account and will pull your rates accordingly.
What are premiums?
An insurance premium, also known as a rate, is the amount you pay for an insurance policy. This can be paid on a monthly or annual basis. When you fill out a form to compare Ontario house insurance rates with our calculator tool, this is what you’ll be shown.
Premium payments can be made on a number of different schedules, depending on your provider. You can pay annually, biweekly or even monthly. Our Ontario home insurance calculator will show you your monthly payments as well as your annual costs. Regardless, a broker or agent will be in touch with you shortly after you complete the form to secure your rate. They’d be happy to answer any questions you have about payment frequency.
What are actual cash values?
An actual cash values policy means the claims payment is based on the current value of the product in a similar condition that needs to be replaced. For instance, if a 10-year-old dryer is damaged, the payment is based on the current value and not the cost of buying a new dryer. Premiums for this type of policy are lower than a replacement cost value policy.
What is the replacement cost value?
A replacement cost value policy means that the claims payment is based on the value of replacing the product with a brand new one that’s a similar make or model. Premiums for this type of policy are higher than an actual cash values policy.
What are endorsements?
Endorsements are additional types of coverage (such as sewer backup endorsement) that can be added to your insurance policy.
What is a deductible?
This is the amount you have to pay towards damages before the insurer will pay. If, for example, there’s $5,000 in damage to your home and you have a $500 deductible, you will pay the first $500 in damage and the insurance company will pay the rest. A higher deductible will lead to lower premiums.
What is depreciation?
Depreciation refers to the decline in value of an item over time.
What are perils?
Perils are unexpected or accidental events.
About the Author
Jessica is the former Associate Editor for LowestRates.ca. Before joining the team, Jessica worked as a National Online Journalist with Globalnews.ca and previously spearheaded the launch of the Business Section at one of Canada's largest technology websites, MobileSyrup.