Canadian motorists have faced a 5% increase in auto insurance premiums over the past year, outpacing both overall inflation and price increases for vehicle parts, maintenance and repairs.
In September’s consumer price data, released Oct. 19 by Statistics Canada, passenger vehicle insurance premiums were 5% higher than a year earlier. Premiums increased 0.1% from August.
Prices for passenger vehicle parts, maintenance and repairs rose 2.2% over the same period. That category was unchanged from August.
The annual increase in insurance premiums was more than twice the increase in the broader repair category. The repair figures cover passenger vehicle parts and services beyond collision repair.
Overall consumer prices increased 3.1% year over year in September, up from 3% in August. Excluding gasoline, annual inflation was 2.2%.
The increases add to a longer rise in vehicle ownership costs. In an April 2025 analysis, Statistics Canada researchers calculated that passenger vehicle parts, maintenance and repair prices were 22.3% higher in December 2024 than in December 2019.
September’s figures measure consumer prices. They do not measure the labour rates insurers pay collision repair facilities or changes in bodyshop operating costs.
