Motorcycle Insurance Ontario | A Detailed Guide to Why You Need a Full Coverage

August 3, 2021 | Editorial Team

If you are looking for motorcycle insurance in Ontario, you have come to the right place. We have found a range of insurance quotes that offer competitive rates and coverage. We also have all the information you need to be able to pick the right insurance for you.

Similar to auto insurance, motorcycle insurance had different types of coverage. You can opt for basic accident protection or choose some additional coverage options to be more fully protected.

It can be difficult to find the right insurance, and it can be confusing or overwhelming trying to figure out what the best insurance is. Especially if you’re new to motorcycle insurance. We can help. We created this article to explain how motorcycle insurance works, what options they have and how they benefit you. We are also going to share with you the most competitive offers on the market right now.

The Importance of Motorcycle Insurance

Insurance packages vary widely. They should include protection against injury costs. But they can also cover motorcycle repairs to both your vehicle and any other party’s vehicles if you were responsible or not. Your insurance can even protect you if you were found to be responsible for an accident that resulted in injury or a fatality. But you need to have the right policy.

These are the main protections of the average insurance policy, but there are other options too. There are motorcycle insurance products that protect you from motorcycle theft or vandalism. You can have your vehicle replaced if damaged.

Motorcycle insurance in Ontario is mandatory for all riders in the province – of course, that includes Toronto, as well. Every rider must have coverage that includes accident benefits and liability coverage to be able to legally ride a motorcycle. It protects them and other road users. In addition, you can compare it with motorcycle insurances in other provinces, namely Alberta, British Columbia, Nova Scotia, and Quebec.

Although some of these are compulsory, if we could afford them, we would all want to be fully protected. Who wouldn’t want to be protected against having their motorcycle was stolen? Or having a policy cover damage to another vehicle? But life isn’t as simple as getting everything you want; sometimes, budget constraints mean we have to be selective. We’ll now talk through the different options so if you need to keep an eye on the rates, you know which options you make sure to have and what coverage you are willing to give up.

The Different Types Of Motorcycle Insurance In Ontario

Third-Party Liability

This type of motorcycle insurance policy covers any accident you may be involved in. It covers the whole spectrum of injury to other people. From minor accidents, minor injuries to fatalities.

Third-party liability also covers serious damage to your motorcycle.

It is compulsory for all Ontario riders to have liability coverage up to a minimum of $200,000. This ensures they are able to provide coverage and compensation for any scenario they might experience on the road.

Accident Benefits

Accident benefits relate directly to the insured rider and any harm they may experience on the road. In Ontario, this type of insurance covers the riders’ medical care and rehabilitation. It also covers 70% of their salary income in situations where they are unable to work.

Uninsured Automobile Insurance

This provides coverage options for any accidents caused by an uninsured driver. It includes hit-and-run drivers or uninsured motorcycle riders. In worst-case scenarios, families of riders who are killed in these incidents will also be compensated.

Direct Compensation – Property Damage

This form of insurance offers coverage for vehicle repair or replacement. There are two criteria that need to be met. The accident must be with someone who is also insured (in Ontario). Additionally, the accident must be the other riders’ fault. If both criteria are met, you will get compensated to be able to repair or replace your motorcycle.

If the other rider is not insured in Ontario, you will not be eligible for any compensation, even if the accident was not your fault. For that, you’ll need uninsured automobile insurance, as previously discussed. And it has to be insured in Ontario specifically. This type of insurance may not be suitable for motorcyclists who ride outside of their home in Ontario. and rates for coverage vary.

Contributing Factors and How Your Motorcycle Insurance is Calculated

Motorcycle insurance quotes in Ontario is very expensive. The price is dependent on a number of factors. They include age and gender, riders history, model and mileage of the motorcycle, home ocation, and type of motorcycle license.

Age and Gender

Insurance companies offer insurance quotes with expensive rates to new young male riders. Young males between the ages of 20-24 are quoted the most. This is due to people in this age group, proving to be more reckless drivers than individuals in older age categories. Comparably, riders who are 40 will have cheaper insurance.

Riders History

Some riders may have an accident-free history, which entitles them to cheaper insurance rates. New riders have no driving history, so insurance companies set higher insurance premiums. This is because they are less experienced and more likely to be involved in accidents.

A common policy of an insurance company is to make sure new riders have full coverage motorcycle insurance. Experienced riders can be asked to pay expensive premiums if they have a history of accidents or claims.

Model and Mileage of The Motorcycle

The higher the cost of a motorcycle, the higher the insurance rate.

An expensive motorcycle will require more money to be repaired if involved in a collision or accident. Therefore, the insurance company must ask for a higher insurance premium to ensure coverage. A cheaper motorcycle is unlikely to have the same power and speed as a new model. It reduces the risk of accidents occurring. Plus, it’s cheaper to fix.


Someone who is home based in the urban area of the province will require more expensive insurance compared to someone based in a rural area. One major reason is due to third party liability where there are likely to be more riders in a city. This increase in riders increases the risk of an accident with a third party.

Type of Motorcycle License

An M2 is the preferred form of license in Ontario, and this will lower the cost of motorcycle insurance for a rider. Unfortunately, if someone has an M or M1 license, this results in higher insurance rates. Many riders in Ontario will take the M2 test to be able to lower their insurance costs.

Tips on How You Can Reduce the Cost of Your Policy

Rider Training Course

This course will make you a safer rider, making you less likely to be involved in accidents. The cleaner your riding history is, the lower the price of your motorcycle insurance policy.

The majority of insurance companies will not feel confident in offering coverage unless you have passed one of these courses.

These courses allow you to upgrade your motorcycle license. For example, you may be eligible for an M1 license after finishing a course. An upgraded license should lead to more affordable motorcycle insurance.

Don’t Purchase a Powerful Motorcycle

For an insurance company, a young rider with a fast motorcycle is a terrible combination. This is due to there being more accidents involving powerful bikes with 500CC engine or above. There are also more accidents involving younger drivers. Regardless of your age, expect to be quoted more expensive insurance if you have a bigger bike.

The obvious solution is to purchase a less powerful motorcycle. The insurance company will feel more confident that the rider will not be involved in an accident. They will offer much cheaper motorcycle insurance. At least do this until you are able to show a history of no-claims. It’s often why bikers start with smaller motorcycles and progressively upgrade. They move up the bikes as their no-claims history builds.

Maintaining Insurance on your Motorcycle

If you don’t break your insurance coverage, you will be rewarded with better rates. Cancelling your insurance will lead to higher rates when you eventually return to ride on the road. Therefore, it might not be worth cancelling your insurance for the winter. If not in the short term, in the long run, it certainly could be.

Driving Safely = Cheaper Motorcycle Insurance

As we mentioned previously, avoiding accidents and collisions is one of the best ways of reducing the cost of your insurance. This proves to insurers that you are a safe rider and they do not need to worry about future coverage for any cases of accident liability.


Why Does it Cost $3000-$4000 a Year for First Time Insurance Despite Buying a Very Cheap Motorcycle?

The data is very clear. As a new rider, there is a higher likelihood you may be involved in some sort of accident or collision. Therefore, the high insurance rate is there to ensure coverage of any medical costs or damage to your motorcycle.

Should I Cancel my Insurance for the Winter?

You should not cancel your auto insurance unless you do not intend to drive on the roads again. Stopping your insurance for 3-4 months can result in a major rate increase when you decide to return to riding in spring or the summer. Motorcycle insurance companies are aware that riding is not popular in winter. But they still raise their prices in the summer if you don’t continue with your insurance.

I Drive a Car as Well as a Motorcycle, Do I Need Separate Insurance for Each?

Yes, you need insurance for each vehicle if you want to alternate between driving them on the road. These are completely different vehicles that come with their own set of risks and, therefore, their own insurance.

Why is Motorcycle Insurance so Much More Expensive than Car Insurance?

This is simply because there is a higher risk of having a fatal accident on a motorcycle compared to a car. Motorcycle insurance companies are in the business of making money. They need to factor in the increased chances of an accident and that the accident is more likely to be serious.

Will my Motorcycle Insurance be Cheaper after Driving a Car for Several Years Before this?

Having more experience on the road does lower the insurance rate. However, driving a car is not comparable to handling a motorcycle. Ultimately, motorcycle insurance companies will only consider your experience on a motorcycle. You might be a fantastic car driver who has never received so much as a ticket. Or never had an accident. However, this doesn’t mean you will automatically be a brilliant motorcycle rider. Statistically, there are a lot more accidents with motorcycles compared to cars. More accidents and, sadly, more deaths from collisions.

What is the average yearly cost of motorcycle insurance in Ontario according to each age group?

  • 40 and above: $1,172
  • 35-39: $1,316
  • 30-34: $1,454
  • 25-29: $1,853
  • 20-24: $2,262

What are Some Examples of Bikes that Have Cheaper Motorcycle Insurance?

The Honda CBR300R or Honda Rebel 300 are perfect motorcycles for new riders. They tend to come with cheaper insurances for newer drivers too.

Do Insurance Firms Offer Coverage Bundles Where I Can Use the Same Insurance to Cover my Home as Well as my motorcycle?

In fact, many insurance firms are more likely to offer insurance to you if you ask them to insure more than one of your assets. A perfect example could include your home, motorcycle, and car, all being insured by the same insurance firm. Using the same insurance to cover everything is likely to lead to significant discounts on your motorcycle insurance.

The Bottom Line

Motorcycle insurance in Ontario can be very expensive. But it is obligatory.

As a new rider, it will be expensive to insure yourself on the road fully. However, as we have previously mentioned, there are a lot of options. It is important you shop around for the best deals. One way is to look for packages where discounts are offered if you have your home, life and motorcycle insurance with the same insurance company.

You could do the leg work. You could try to find estimators and insurance for your motorcycle online. Search for “Ontario insurance motorcycle” or “insurance motorcycle Ontario.” Then trawl through the results.

But if you are looking for a site that will compare Ontario motorcycle insurance, we have you covered. Pick one of the solutions we’ve found for you, and you won’t be disappointed.

But it’s important to remember. Apart from choosing the insurance that suits you, the best way to save money is by being a sensible and safe rider. All riders in this province require insurance. Additionally, riders who undertake courses will pay less for their insurance.