How much does it cost to insure everything I have?
By looking at a few average prices for different types of insurance coverages, we’ll arrive at how much it might cost you per year and per month to protect all of your possessions from damage or loss.
We shall investigate auto insurance and a few different types of property insurances in this post, so let's get started!
Auto
The price of auto insurance can vary considerably, as with all insurance types. Variables include the age of the driver, their driving history, the type of car, its main purpose, and a handful of other specs related to you and your location.
Since we have data from a previous HUB Insurance Hunter study on the average auto insurance rates based on province, we’ll create an average out of the thirteen provinces and territories to land at an average Canadian auto insurance rate.
$968 annual policy / 12 months = $80.72 per month.
Property
There are a few types of property insurances, including protection for condo owners, renters and homeowners.
Again, there are many factors that go into estimating the cost of your property insurance, including what type of building you’re insuring, what types of security features are in place, if people smoke, and your proximity to emergency services.
RateLab.ca collected the averages of Canadian homeowners policies and arrived at a price of $850 per year, with British Columbia topping the list as most expensive for homeowners insurance.
$850 annual policy / 12 months = $70.84 per month.
Renters or condo owners
Just to add an average for any renters or condo owners out there, we looked at average renters insurance quotes from four corners of Toronto earlier this year.
Combining all the neighbourhood prices will give us an average we can use in the final calculation. Landlords and condo corporations have no responsibility to replace damaged or stolen property inside your unit. Renters and condo insurance prices are usually affordable and competitive with each other.
$396 annual policy / 12 months = $33 per month.
Insuring all of your things
Now we get to the part where you can identify with the profiles we create below. The text in bold is the combined cost.
Cost of homeowners + auto
If you’re a Canadian wishing to insure the home that you own with auto, how much would you be paying per month and per year?
Average homeowners premium: $850 annual policy / 12 months = $70.84 per month.
Average auto insurance premium: $968 annual policy / 12 months = $80.72 per month.
$1,818 annual cost for the two policies / 12 months = $151.56 per month.
Cost of renters or condo + auto
How about if you're living in a building?
Average renters or condo premium: $396 annual policy / 12 months = $33 per month.
Average auto insurance premium: $968 annual policy / 12 months = $80.72 per month.
$1,364 annual cost for the two policies / 12 months = $113.66 per month.
Bundling and saving money
Now, the way to make this monthly total cheaper is by bundling your separate policies with the same insurance provider.
Bundling can save you around $15 to $25 per month, but when you make that an annual savings on your premiums, that’s $180 to $300 in savings per year. Plus, bundling your insurance policies together means you only have to pay one bill come payment time!
Further, there are several ways to get discounts on auto insurance coverage and property insurance coverage, so make sure you're doing all you can to make yourself less risky in the eyes of your provider.
Budget accordingly
Obviously, your insurance bills are going to be cheaper if you’re renting instead of owning the place you call home.
There are also mortgages and condo fees to consider depending on your type of dwelling, plus all those constant grocery, hydro, phone and internet bills we have gotten so used to paying.
If you’re looking for how much these combined (and more or less mandatory) insurance policies will cost you, the range is between $100 and $150 per month to have all your essentials protected. But remember, bundle all of them together and save hundreds per year, just talk to your insurance broker.