Toronto, Ontario – The price of car insurance has dropped by 2.4 per cent in Ontario in the second quarter of 2009 when compared to the same period in 2008, according to a study by online insurance marketplace Kanetix. The study is designed to highlight the pricing trends of car insurance in the province and focused on the average of the lowest rates quoted.
The company said that while the findings appear to run counter to industry trends that suggest car insurance is on the rise, the study is a reflection of changes in rates, and also changes in the purchasing behaviours and demographics of insurance shoppers. On average, both vehicles and drivers were older this year over last.
According to the study, drivers appear to be keeping their current cars longer. On average, vehicles quoted on Kanetix were three months older in the second quarter of 2009 than in 2008. As cars age, drivers looking to save money often drop optional coverages such as comprehensive and collision.
Kanetix also said that consumers are increasingly taking advantage of money-saving options such as the winter tire and multi-line discounts offered by insurers, which has contributed to the lower average auto insurance rates.