High Risk Insurance FAQs

Tuesday June 12, 2018

If your insurance provider has cancelled or non-renewed your policy, you are now a high risk driver.

Why am I a High Risk Driver?

While the definition of a High Risk Driver can vary slightly by insurance provider, in general, a High Risk driver has had accidents, tickets or even a major driving conviction. You can even be labelled a High Risk driver if you’ve missed insurance payments.

Top 4 Reasons for Becoming a High Risk Driver:

Speeding Tickets

At-fault Accidents

Missed Payments

Impaired Driving Convictions

Why was my insurance policy cancelled?

Statistically, drivers with missed payments, infractions and suspensions indicate are more likely to make a claim on their insurance policy. Therefore, they are more costly to insure. If your insurer cancels or non-renews your policy, you will need to obtain a new policy with a non-standard insurance provider before you can get back behind the wheel.

Driving without insurance is illegal. If convicted of driving without insurance, it is considered a serious offence and comes with a hefty fine of $5,000.00, plus a surcharge of approximately 20%.

How much is High Risk Insurance in Ontario?

You can expect to pay up to 25% more for High Risk Insurance in Ontario. However, this amount can vary by provider. Calling an broker with expertise in high risk insurance can help you get the best price and coverage as a high risk driver.

How long will I be a High Risk driver?

While it can be discouraging, being a High Risk driver doesn’t mean you will always be High Risk. On average, infractions affect your insurance premiums for 3 years from the date of your conviction. More serious convictions may affect your insurance for up to 6 years. So, if you continually practice good driving habits, you can eventually return to a standard insurance policy.

How do tickets and high risk driving affect my insurance?

It’s important to remember, only convictions can affect your premium. In Ontario, payment of a ticket is an admission of guilt and the infraction will appear on your driving record. So, if you choose to fight a traffic ticket in court and win, your insurance rate will remain the same.

However, if you fail to fight the charge, here’s how your conviction can impact your insurance:

Tickets: Up to 3 years
Missed Payments: Up to 3 years
At-fault Accidents: Up to 6 years
Suspensions: Up to 6 years

Do demerit points affect my insurance?

Many drivers wrongly assume that demerit points affect their insurance. In truth, individual demerit points do not affect your insurance. However, the infractions that caused those demerit points or a license suspension due to an accumulation of too many demerit points can impact your insurance.