Cheap Alberta Car Insurance Quotes

All large cities have high insurance rates, and Alberta is home to two of the largest cities in Canada. The high premiums faced by drivers in Calgary and Edmonton drive up the provincial average. Recent spikes in vehicle theft, collisions and distracted driving convictions have also led to an increase in rates province wide.

Serious collisions in Alberta
According to the most recent study by the Government of Alberta, in 2018, following too closely and running off the road are the most frequent driver actions that cause fatalities in the province. This tragically translates to fatal collisions in Alberta being significantly higher than the national average.

Canada fatalities per 100,000 population = 5.2
Alberta fatalities per 100,000 population = 6.8
Canada fatalities per 100,000 licensed drivers = 7.2
Alberta fatalities per 100,000 licensed drivers = 9.0

This explains part of the reason Alberta premiums are higher than other parts of Canada.

Data source: Government of Canada - Canadian Motor Vehicle Traffic Collision Statistics.

In addition to any liability protection insurance providers must offer following a collision to cover medical expenses, they must also cover costs associated with repairing or replacing vehicles. This is especially expensive for newer cars which tend to have many electronic components and/or may be self-driving. Higher repair and replacement costs lead to more expensive premiums.

There is no one car insurance company that is the cheapest overall. Insurance companies assess drivers based on unique risk factors like your home address and personal claims history, which is why rates for the same coverage can vary substantially from one company to another. What is cheapest for you, might not be what’s cheapest for someone else.

To find the company that offers you the best rate and coverage, shop around and compare quotes. This savings technique is something that you should do annually whenever it's time to renew your policy.

Some provinces have a government-owned public auto insurance system. Alberta on the other hand, has a private auto insurance system. Proponents claim that this benefits drivers because market competition forces providers to compete on price, ultimately lowering premiums. In support of this argument, Alberta’s competitive auto industry has consistently been able to offer cheaper rates than publicly operated B.C.

However, things could soon change. Alberta’s previous government imposed a cap which limited auto insurance rate increases to a maximum of 5%. In 2019, the new Conservative provincial government decided not to renew this cap, meaning we can expect large rate increases in Alberta in 2020.

As of January 2022, Alberta put in place a Direct Compensation Property Damage (DCPD) system which means that following a collision each driver’s insurance provider pays out any compensation to their own client. The Insurance Bureau of Canada anticipated that for most Alberta drivers, DCPD would either reduce their premiums or they would see no change at all.

In Alberta, rate changes are regularly approved. Compare quotes before renewing your policy to find the cheapest option.

Save in the neighbourhood of 5 to 10% by increasing your deductible from $500 to $1,000.

Pay your premiums annually, in one lump sum, to avoid administrative fees that sometimes accompany monthly payments.

Save 5 to 15% when you bundle your home and auto insurance from the same company that covers your car.

If you have more than one vehicle, save 10 to 20% by insuring them on the same policy.

Each year, review your optional coverages to ensure they are still necessary. If not, getting rid of these excess coverages will lower your premiums.

Some insurers offer discounts to members of local organisations like the Alberta Motor Association, AUPE members, or university alumni. Ask your provider about the group discounts they offer and see if you qualify.

Let your insurer know if you have winter tires, as some providers offer a winter tire discount of about 5%.

Encourage young drivers to take driver’s training. Once the course is completed, the insurance savings will offset the initial cost.

Where you live and what you drive are two important factors in what you pay for coverage. If you move or buy a new vehicle, don’t assume your current provider will continue to offer you the best price. Shop around to be sure.