How I Saved $840/Year on Insurance (And How You Can Too)
Insurance premiums are rising across Canada in 2026. Whether it’s auto, home, or life coverage, we’re all paying more. But here’s the thing—most people never shop around, and insurers count on that.
Last year, I spent 2 hours comparing quotes and saved $840 annually. That’s $70/month for roughly the same coverage. Here’s exactly how I did it.
The State of Insurance in Canada (2026)
According to recent industry reports:
- Auto insurance premiums increased 8-15% across most provinces in 2025-2026
- Home insurance rose 5-12% due to extreme weather claims
- Ontario introduced new usage-based insurance programs offering up to 30% discounts for safe drivers
The insurance industry is competitive—meaning there are deals if you’re willing to look.
5 Concrete Ways to Lower Your Insurance Today
1. Bundle and Save (15-25% off)
This is the easiest win. Combining auto and home insurance with one provider typically saves 15-25%. I bundled my car and tenant insurance and saved $340/year immediately.
Action: Call your current provider and ask “What discount do you offer for bundling?” Then call 2 competitors with that bundle.
2. Shop Around Every 2-3 Years
Insurance companies lure new customers with low rates, then gradually increase premiums. The “loyalty penalty” is real—staying with one insurer 5+ years often costs you 10-20% more than if you’d switched.
Action: Use comparison sites like InsuranceHotline.com or Ratehub.ca to get quotes from 10+ insurers in 10 minutes.
3. Ask for a Discount (Yes, Really)
insurers have obscure discounts they don’t advertise:
- Winter tire discount (5-10%): Required in Quebec, optional elsewhere
- Alumni discounts (5-10%): Many insurers partner with universities
- Security system discount (5-15%): Even a basic alarm system helps
- Payment history discount (5%): Never missed a payment? Ask.
Action: Call your insurer and say “I’m looking to lower my premiums. What discounts am I eligible for that I might not be using?”
4. Increase Your Deductible
Raising your deductible from $500 to $1,000 can save 10-15% on premiums. For comprehensive coverage, going from $500 to $2,000 might save 20%+.
Action: Calculate whether the premium savings outweighs the higher out-of-pocket risk. If you have emergency savings, this is usually worth it.
5. Take Advantage of Usage-Based Insurance (Ontario)
Ontario insurers now offer telematics programs tracking:
- Hard braking events
- Speeding
- Time of day driven
- Kilometers driven
Safe drivers can save up to 30%. I’ve been driving with a plug-in device for 6 months and my rate dropped 12%.
Action: If you’re in Ontario, ask your insurer about their UBI program. Or look at providers like Onlia that specialize in it.
The Numbers Don’t Lie
Here’s a real breakdown of my savings:
| Strategy | Annual Savings |
|---|---|
| Bundling (auto + home) | $340 |
| Shopping around | $280 |
| Increased deductible | $150 |
| UBI program | $70 |
| Total | $840 |
My Take
I used to think “loyalty” meant something in insurance. It doesn’t. These companies are for-profit, and the best customer service is a low price. The time investment to compare quotes ($50-100/year of value per hour spent) is one of the best ROI activities you can do.
Don’t be the person who pays $2,400/year for auto insurance when they could be paying $1,600.
This weekend, spend 30 minutes getting quotes. Set a calendar reminder to do it again in 2 years.
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