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Car insurance Niagara Falls, ON

Part of a series on car insurance rates in Ontario.

Fast facts about auto insurance in Niagara Falls

Average annual car insurance rate

Regular drivers in the city

Collisions per year (approximately)

%

Collision rate for the city

Average age

Average household income

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Unemployment rate

Population

Understanding car insurance in Niagara Falls, Ontario

Niagara Falls has been a tourist attraction for Ontario and the world at large for more than a century, and that makes it a bit of a special case compared to other cities.

Being a major tourist destination, the city needs to prioritize maintenance on the roads within and around Clifton Hill (where the horse shoe falls and tourist attractions reside). Unfortunately that can leave many other roads with pot holes that can seriously damage your car—seven of the Niagara Region’s worst roads are in Niagara Falls itself. Be careful not to damage your car out there!

Two other factors put Niagara Falls’ average car insnurance rate on the higher end of the spectrum.

First, it has an above-average collision rate. Whereas other cities tend to hover around 2.9%-3.3%, Niagara Falls’ collision rate sits at 3.91%. That’s a lot of collisions for a relatively small city, even if it is a tourist destination.

Second, 24.24% of those collisions result in personal injuries. That costs a lot more than just replacing a car. For comparison, only 19.41% of collisions result in personal injuries in St Catharines.

Get your bundle on & save!

Want even cheaper insurance? Save up to 50% on home and up to 18% on car insurance when you bundle them.

Get your bundle on & save!

Want even cheaper insurance? Save up to 50% on home and up to 18% on car insurance when you bundle them.

Busting myths about driving and insurance in Niagara Falls

Myth: Commuting from Niagara Falls isn’t realistic.

There are modest options for workplace commuting destinations, like Grimsby, Niagara-on-the-lake, and Stoney Creek. Even better, Niagara Falls is getting its own GO Train station in the next several years. This could very well change how people pick their homes and jobs in the future.

Myth: Niagara Falls has infrastructure problems.

This depends on where you’re living and driving in the city. Being a major tourist destination for at least a century, it’s no surprise that some roads are well kept. Despite that, residents do voice concerns over road maintenance and dangerous potholes that can certainly damage your car if you aren’t careful.

Myth: Commuting from Niagara Falls isn’t realistic.

There are modest options for workplace commuting destinations, like Grimsby, Niagara-on-the-lake, and Stoney Creek. Even better, Niagara Falls is getting its own GO Train station in the next several years. This could very well change how people pick their homes and jobs in the future.

Myth: There aren’t a lot of drivers in Niagara Falls, which lowers rates.

False, unfortnuately. Car insurance rates are calculated by mixing in your personal driving record, the number of collisions and claims in your area, the financial amount paid out in claims nearby—as well as the number of claims made around you. Niagara’s collisions happen often enough and result in enough personal injuries to raise rates up to a point.

How Niagara Falls’ rates compare to other cities in Ontario

  • North York: $4,261
  • Etobicoke: $4,199
  • Brampton: $4,071
  • Scarborough: $3,825
  • East York: $3,605
  • Woodbridge: $3,603
  • Richmond Hill: $3,579
  • Mississauga: $3,473
  • Markham: $3,389
  • Niagara Falls: $3,321
  • Bowmanville: $3,308
  • Peterborough: $3,259
  • Pickering: $ 3,245
  • Newmarket: $ 3,216
  • Hamilton: $3,201
  • Brantford: $ 3,158
  • Maple: $3,150
  • Whitby: $3,087
  • Ajax: $3,053
  • York: $2,999
  • Toronto: $2,983
  • Barrie: $2,924
  • Thornhill: $2,871
  • Waterloo: $2,867
  • Caledon: $2,780
  • London: $2,765
  • Fort Erie: $2,720
  • Oakville: $2,720
  • Sault Ste Marie: $ 2,713
  • Kitchener: $2,705
  • Milton: $2,680
  • St Catharines: $ 2,550
  • Windsor: $2,536
  • Woodstock: $2,513
  • Innisfil: $2,505
  • Burlington: $2,476
  • Kingston: $ 2,360
  • Cambridge: $2,297
  • Oshawa: $2,295
  • Guelph: $2,268
  • Gloucester: $2,256
  • Stoney Creek: $2,222
  • Nepean: $2,196
  • Ottawa: $2,195
  • Sudbury: $2,005
  • Kanata: $2,002
  • Thunder Bay: $1,973
  • Wasaga Beach: $1,958

Quick tips on driving in Niagara Falls

Move away from the downtown core.

Niagara Falls locals tend to love their town, but they’re also selective about where to live and where not to live. There’s a solid consensus to live outside of the downtown area or the Falls View neighbourhood. Doing that should take you out of a areas with the highest density of reported crimes, helping out both your home and auto rates.

Take advantage of low real estate costs and plenty of commuting options.

Niagara Falls has an advantage over many other communities around it in the form of lower real estate prices. You can take advantage of those prices by living in Niagara Falls to work in St Catharines, Niagara-on-the-lake, Thorold, Grimsby, Fort Erie, or Stoney Creek. The additional exposure to risk through commuting will probably pay off with lower real estate prices.

Avoid roads that could damage your car.

There are some roads that you should just avoid in general, such as:

  • McLeoad Road
  • Drummand Road
  • Portage Road
  • Garner Road
  • Lundy’s Lane
  • Kalar Road
  • Willoughby Drive

Self-employed? Work from home and save big on your car insurance rates.

Did you know that 8.9% of Niagara Falls’ workforce is self-employed? If you fall into that category or plan to work for yourself in the future, then you could save a lot of money on your car insurance rates.

If you work from home then you can reduce your annual commuting distance to a very, very low number. That reduces your roadside risk, which in turn lowers your car insurance premium.

Niagara Falls Insurance FAQs

Does my car insurance cover me if I drive in New York state? 

While it’s wise to get your insurance advisor’s advice about cross-border trips to ensure you have enough coverage, Ontario auto insurance policies travel with you to the United States.  

Ontario has a no-fault insurance system which means your insurance company will pay your entitled claim regardless of whether you are found at fault for an accident. Having no-fault insurance makes it easier to settle claims without seeking compensation from another driver’s insurance company, especially when travelling outside of Canada.  

Remember that the direct compensation – property damage portion of your insurance policy probably won’t apply when driving in the U.S. because it only covers collisions between at least two drivers covered by Ontario insurance.  

Unlike the insurance coverage Ontario drivers must have, New York state mandatory auto insurance only includes third-party liability coverage with a maximum payout of $100,000 versus Ontario’s minimum liability limit of $200,000.  

We recommend increasing your third-party liability insurance limit to at least $1 million because medical and legal claims made against an at-fault driver after an accident can quickly add up, especially if you were involved in a collision with an underinsured American driver.  

Increasing your limits for statutory accident benefits is an excellent idea to ensure that you and your border crossing companions have enough compensation for medical expenses if an accident occurs. Accident benefits insurance is especially crucial if you were in a collision with an American driver who had the minimum legal auto insurance coverage required by U.S. state laws.  

You may also consider purchasing optional collision coverage to insure your vehicle for repairs if you hit another car or object. In addition, adding comprehensive coverage to your policy will insure your vehicle from many other potential threats like fire, theft, vandalism, falling objects and natural disasters.  

Learn more about what you need to know when driving outside of Canada.  

How do Niagara Falls' rates compare to other cities in Ontario? 

The average car insurance premium in Niagara falls is higher than the average rate for the 10 least expensive cities in Ontario, which belong to smaller municipalities like Port Hope and Cornwall.  

However, all other factors being equal, insurance in Niagara Falls is more affordable than the 10 Ontario cities with the most expensive average insurance rates in 2021. Car insurance tends to be the most costly for Ontario cities located in the Greater Toronto Area with high concentrations of daily commuters, such as Vaughn, Ajax and Richmond Hill.  

Unfortunately, Niagara Falls is among the top quarter of major Ontario cities with the highest insurance rates due to factors like accident frequency and collision injury rates. This is due to the tourist popularity of Niagara Falls and the high number of residents commuting to the GTA. Being strategic about where you live and regularly drive can help you save on car insurance when paired with safe driving.  

Find out how you can lower what you pay for car insurance in Ontario.  

How much does car insurance cost in Niagara Falls? 

Like every city in Ontario, car insurance for Niagara Falls residents will cost different amounts depending on several factors, including your neighbourhood, driving record and the type of vehicle/s you own.  

The average annual Ontario car insurance rate in 2021 was $1,505. While according to LowestRates.ca, the average Niagara Falls resident pays around $2,619 for coverage. Those living in Northern St. Catherines can expect to save more on auto insurance due to their address than those closer to downtown Niagara Falls, especially in the L2G postal code region.  

Sources for fast facts about Niagara Falls:

  • Statistics Canada, Niagara Falls 2016 Census Profile
  • Ministry of Transportation, 2016 Road Safety Report
  • City News, “Province announces major GO train expansion”
  • St Catharines Standard, “Seven of Niagara’s 10 worst roads in Falls: CAA survey”

Source for average insurance rates by city:

  • Survey of 2,800 auto insurance policy holders in Ontario

Google Rating: 4.8

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