If you drive long distances every day, finding a car insurance policy that fits your unique needs can be challenging. High-mileage drivers face higher risks of accidents and vehicle wear and tear, making their insurance premiums more expensive than average. In Canada, where commuting between cities and provinces is common, choosing the right insurer is essential for affordability and peace of mind.
This article lists the 12 best long-term car insurance companies for high-mileage drivers in Canada. Each company is reviewed based on its coverage options, discount programs, customer service, and suitability for drivers who put many kilometers on their vehicles every year.
By the end of this guide, you’ll understand:
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What long-term car insurance means and why it benefits high-mileage drivers
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How insurance companies in Canada calculate premiums for high-mileage drivers
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The top insurers offering competitive rates and comprehensive coverage
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Ways to reduce your car insurance premiums even if you drive a lot
Why Long-Term Car Insurance Matters for High-Mileage Drivers in Canada
What is long-term car insurance?
Long-term car insurance is a policy that extends beyond the typical one-year renewal cycle, often lasting two or three years. These policies lock in your premium rate for the full policy term, protecting you from annual price increases.
Why is it important for high-mileage drivers?
High-mileage drivers spend more time on the road, increasing their chances of accidents, collisions with wildlife, and weather-related incidents. Long-term policies can offer:
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Rate stability: Protects against rate hikes during the policy term.
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Convenience: Less paperwork since you do not need to renew every year.
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Discount opportunities: Some companies offer lower rates for committing to multi-year policies.
How Mileage Affects Car Insurance in Canada
Insurance companies view mileage as a key factor in risk assessment. The more kilometers you drive each year, the greater the likelihood of a claim.
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Low mileage: Below 10,000 km/year. Premiums are generally lower.
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Average mileage: 10,000–20,000 km/year. Standard premium range.
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High mileage: Above 20,000 km/year. Premiums can be significantly higher.
If you’re a high-mileage driver, insurers may require you to disclose your annual kilometers. Misrepresenting this number can result in denied claims or policy cancellations.
Factors to Consider When Choosing Car Insurance in Canada
Before selecting an insurer, consider the following factors:
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Coverage options: Ensure the company offers collision, comprehensive, liability, and additional riders for your needs.
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Mileage-friendly discounts: Some insurers reward drivers with telematics programs that monitor driving habits rather than mileage alone.
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Financial stability: Choose a company with strong financial ratings to guarantee claim payouts.
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Claims process: Check customer reviews to ensure fast and fair claim handling.
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Bundle options: Insurers offering home and auto bundles can significantly reduce your premiums.
Summary Table: Best Long-Term Car Insurance Companies for High-Mileage Drivers in Canada
| Insurance Company | Policy Term Options | Average Annual Premium for High Mileage (25,000+ km/year) | Key Features |
|---|---|---|---|
| Intact Insurance | 2–3 years | $1,550–$2,100 | Strong nationwide presence, telematics discounts |
| Aviva Canada | 1–3 years | $1,600–$2,200 | Flexible policies, roadside assistance |
| TD Insurance | 2–3 years | $1,500–$2,000 | Bundling discounts, online management tools |
| Desjardins | 2–3 years | $1,550–$2,100 | Telematics program (Ajusto) for safe driving |
| Belairdirect | 1–3 years | $1,450–$2,000 | Competitive rates, easy-to-use mobile app |
| Economical Insurance | 2 years | $1,600–$2,100 | Good for multi-vehicle households |
| Allstate Canada | 2–3 years | $1,550–$2,050 | Good driver discounts, strong agent network |
| Sonnet Insurance | 1–2 years | $1,500–$2,000 | Fully digital insurer with transparent pricing |
| Co-operators | 2–3 years | $1,550–$2,100 | Personalized service through co-op network |
| RBC Insurance | 2 years | $1,600–$2,150 | Strong financial backing, flexible payment options |
| Wawanesa Insurance | 2–3 years | $1,450–$2,000 | Highly rated customer service |
| CAA Insurance | 1–3 years | $1,400–$1,950 | Discounts for members and bundled services |
Detailed Reviews of the Best Car Insurance Companies in Canada
Intact Insurance
Intact Insurance is the largest provider in Canada and offers strong coverage options for high-mileage drivers.
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Why it’s great: It offers multi-year policies and a telematics program called my Drive, which rewards safe driving habits regardless of mileage.
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Key benefits: Wide availability across provinces, strong financial ratings, and bundling discounts for home and auto insurance.
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Average premium: $1,550–$2,100 for high-mileage drivers.
Aviva Canada
Aviva is known for its flexible coverage options and commitment to customer service.
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Why it’s great: Offers roadside assistance and accident forgiveness as optional add-ons.
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Key benefits: Ability to customize deductibles, and its broker network provides personalized service.
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Average premium: $1,600–$2,200 annually.
TD Insurance
TD Insurance provides competitive long-term policies and excellent online tools for policy management.
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Why it’s great: TD’s telematics program (TD MyAdvantage) rewards safe driving behavior.
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Key benefits: Strong bundling discounts and quick claims process.
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Average premium: $1,500–$2,000 annually.
Desjardins Insurance
Desjardins is a popular choice for those who want mileage-friendly telematics programs.
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Why it’s great: Its Ajusto program monitors driving habits, not mileage, which is ideal for high-mileage drivers with safe driving records.
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Key benefits: Strong community presence and flexible payment plans.
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Average premium: $1,550–$2,100 annually.
Belairdirect
Belairdirect is well-known for affordable premiums and user-friendly digital services.
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Why it’s great: Offers competitive rates even for drivers who travel long distances annually.
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Key benefits: Mobile app makes policy management simple and offers roadside assistance.
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Average premium: $1,450–$2,000 annually.
Economical Insurance
Economical Insurance has a reputation for strong customer support and competitive long-term policies.
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Why it’s great: It is ideal for households with multiple vehicles and offers bundling discounts.
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Key benefits: Comprehensive coverage options and accident forgiveness.
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Average premium: $1,600–$2,100 annually.
Allstate Canada
Allstate is a trusted brand in Canada with a strong agent network.
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Why it’s great: Offers several discounts for safe drivers, good students, and multi-policy holders.
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Key benefits: Reliable claims process and personalized service.
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Average premium: $1,550–$2,050 annually.
Sonnet Insurance
Sonnet is a fully digital insurer offering simple, transparent pricing.
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Why it’s great: It provides instant online quotes and allows you to customize coverage easily.
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Key benefits: Great for tech-savvy drivers and those who prefer managing policies online.
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Average premium: $1,500–$2,000 annually.
Co-operators
Co-operators is a Canadian-owned insurer offering personalized service through its cooperative network.
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Why it’s great: Known for community involvement and flexible coverage options.
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Key benefits: Multi-year policies and great customer service ratings.
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Average premium: $1,550–$2,100 annually.
RBC Insurance
RBC Insurance is backed by one of Canada’s largest financial institutions.
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Why it’s great: Offers flexible payment options and bundling discounts with RBC banking products.
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Key benefits: Strong financial security and good claims handling.
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Average premium: $1,600–$2,150 annually.
Wawanesa Insurance
Wawanesa is consistently rated highly for customer satisfaction.
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Why it’s great: Offers competitive rates for high-mileage drivers and has a strong claims process.
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Key benefits: Personalized service through local brokers.
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Average premium: $1,450–$2,000 annually.
CAA Insurance
CAA Insurance is best known for its roadside assistance services, but it also provides comprehensive insurance coverage.
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Why it’s great: Members receive discounts on policies, and bundling with other CAA services saves money.
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Key benefits: Excellent for frequent travellers and high-mileage commuters.
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Average premium: $1,400–$1,950 annually.
Tips for High-Mileage Drivers to Save on Car Insurance
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Enroll in telematics programs: These reward safe driving regardless of mileage.
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Bundle your policies: Combine home and auto insurance for additional discounts.
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Increase your deductible: This lowers your premium but increases out-of-pocket costs after an accident.
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Maintain a clean driving record: Avoid speeding tickets and at-fault accidents.
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Shop around annually: Rates can vary significantly between companies.
FAQs: Long-Term Car Insurance for High-Mileage Drivers in Canada
1. What is considered high mileage in Canada for insurance purposes?
Driving more than 20,000 km per year is generally considered high mileage.
2. Do long-term car insurance policies cost more?
Not necessarily. They often lock in lower rates and protect against annual premium increases.
3. Which company has the cheapest car insurance for high-mileage drivers in Canada?
CAA and Belairdirect consistently offer competitive rates, but premiums vary by province.
4. Can telematics help reduce premiums for high-mileage drivers?
Yes. Telematics focuses on driving habits rather than mileage, which can benefit frequent drivers.
5. Do I need to report changes in my annual mileage?
Yes. Failing to report accurate mileage could lead to denied claims.
6. Can I switch insurers mid-term with long-term policies?
Yes, but you may face cancellation fees. Always check terms before switching.
7. Are there discounts for electric or hybrid high-mileage vehicles?
Many insurers, like Intact and TD Insurance, offer green vehicle discounts.
8. How can I lower my premium without reducing coverage?
Bundling, telematics, increasing your deductible, and improving credit scores can all help.
9. Is roadside assistance included in long-term car insurance policies?
Some insurers, like Aviva and CAA, include it as an add-on or membership benefit.
10. Which provinces have the highest car insurance premiums for high-mileage drivers?
Ontario and British Columbia generally have higher premiums due to population density and traffic.
Conclusion
Choosing the right car insurance company can help high-mileage drivers in Canada save money and enjoy better coverage. Companies like Intact Insurance, TD Insurance, CAA, and Belairdirect stand out for their competitive long-term policies and mileage-friendly discounts.
To find the best deal:
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Compare at least three quotes tailored to your annual mileage.
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Enroll in a telematics program if available.
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Take advantage of multi-year policy discounts to lock in lower rates.
By following these strategies, you can secure affordable and reliable car insurance, even if you spend long hours on Canadian roads.