What is Comprehensive Car Insurance Coverage in Ontario?

Comprehensive car insurance coverage in Ontario is optional protection that safeguards your vehicle against non-collision perils such as theft, vandalism, fire, and weather damage. Understanding what comprehensive car insurance means for Ontario drivers is crucial for making informed coverage decisions. This definitive guide, updated for August 2025, explains comprehensive auto insurance coverage, its meaning, scope of coverage, exclusions, costs, and whether it’s worth buying.

Key Takeaways

• Comprehensive car insurance is optional but often required if your vehicle is financed or leased.
• It protects your car financially from non-collision damages like fire, theft, vandalism, hail, and animal impacts.
• “Comprehensive coverage” is often misunderstood; it’s just one part of a full Ontario auto insurance policy.
• Deductibles usually range from $300 to $1,000; higher deductibles lower premiums but raise your out-of-pocket costs.
• Given Ontario’s high theft and severe weather risks, most drivers benefit from adding comprehensive coverage.

What Does Comprehensive Car Insurance Cover?

Comprehensive car insurance protects your vehicle from damage that’s not caused by a collision. This coverage acts as a financial safety net for a wide range of non-accident perils, including theft, vandalism, and bad weather.

This type of coverage provides protection against a variety of specific perils, including:

• Theft and Vandalism: Protection if your car is stolen or damaged by vandals.
• Weather Events: Damage from hail, wind, lightning, and floods.
• Animal Impacts: Coverage for hitting an animal, such as a deer or moose.
• Falling or Flying Objects: Damage from things like a falling tree branch or debris from the road.
• Fire and Explosions: Financial protection for damage caused by a fire.
• Civil Disturbances: Coverage for damage that occurs during riots or other civil unrest.
• Earthquake Damage: Protection for damage caused by an earthquake.
• Damage during Transport: Protection for your car while it’s being carried as cargo by another vehicle, such as on a train or ferry.

The Meaning of Comprehensive Car Insurance and “Full Coverage”

Comprehensive car insurance protects your vehicle from specific non-collision perils, as outlined in the Ontario Automobile Policy (OAP 1, Section 7.1.2). The meaning of this term is often confused with “full coverage,” but they are not the same. Comprehensive specifically refers to protection against losses from environmental and criminal damage.

The term “full coverage” is a common but informal way of describing a complete insurance package that includes all mandatory coverages (like liability, accident benefits, and DCPD) along with comprehensive and collision coverage. Therefore, comprehensive insurance is just one part of a “full coverage” policy, not the entire thing on its own.

What is the Difference Between Comprehensive and Specified Perils Coverage?

The primary difference between these two coverages is the scope of what is included. Comprehensive coverage is broader and more inclusive, while Specified Perils coverage is more limited and precise.

What is Covered by Specified Perils?

This coverage is for a specific, named list of events. It is a more limited version of comprehensive coverage and typically includes:

• Fire and explosion
• Theft or attempted theft
• Lightning, windstorm, hail, and rising water
• Earthquake
• Riot or civil disturbance
• Falling or forced landing of aircraft or their parts
• Damage while the vehicle is being transported on land or water (e.g., on a ferry or train)

What Does Comprehensive Coverage Include?

Comprehensive coverage includes all the perils listed above, plus a wider range of protection against events such as:

• Vandalism
• Collision with an animal
• Damage from falling or flying objects
• Broken or shattered glass (e.g., a cracked windshield)

The key takeaway is that Comprehensive covers everything on the Specified Perils list plus vandalism, animal collisions, and damage from falling or flying objects.

What is the Difference Between Comprehensive and Collision Coverage?

The difference between Ontario’s comprehensive and collision auto insurance coverage is that they are two completely different coverages.

Comprehensive Perils

Comprehensive coverage protects your vehicle from damage that is not caused by a collision. It is a broad type of coverage that includes a wide range of perils, such as:

• Theft and Vandalism: Protection if your car is stolen or damaged by vandals.
• Weather Events: Damage from hail, wind, lightning, and floods.
• Animal Impacts: Coverage for hitting an animal, such as a deer or moose.
• Falling or Flying Objects: Damage from things like a falling tree branch or debris from the road.
• Fire and Explosions: Financial protection for damage caused by a fire.
• Civil Disturbances: Coverage for damage that occurs during riots or other civil unrest.
• Earthquake Damage: Protection for damage caused by an earthquake.
• Damage during Transport: Protection for your car while it’s being carried as cargo by a common carrier, such as on a train or ferry.

Collision Perils

Collision coverage protects your vehicle from damage that is caused by a collision with an object or another vehicle. This applies whether you are at fault or not. Perils covered under collision coverage include:

• Single-Vehicle Accidents: Damage from hitting a stationary object like a sign, guardrail, or telephone pole, or if your vehicle rolls over.
• Crashes with Other Vehicles: Damage from a collision with another car, truck, or motorcycle.
• Hit-and-Runs: Damage to your vehicle caused by an unidentified driver who leaves the scene of an accident.

What is the Difference Between Comprehensive and All Perils Coverage?

All Perils coverage combines both comprehensive and collision protections and adds coverage for theft by household members or employees, something standard comprehensive typically excludes. It is Ontario’s broadest optional coverage.

What Does Comprehensive Auto Insurance Not Cover in Ontario?

Comprehensive auto insurance has specific exclusions and will not cover certain types of loss or damage. It’s important to understand what these are to know how your policy works.

Comprehensive coverage does not protect against:

• Collision Damage: Loss or damage to your vehicle from a collision, rollover, or upset. This includes hitting another vehicle, an object, or a stationary item like a guardrail.
• Bodily Injury: Medical expenses for injuries to you or others. This is covered by separate mandatory coverages.
• Accident Benefits: Medical expenses for injuries to you or others.
• Uninsured Motorist Coverage: Damage to your vehicle caused by an at-fault driver who is uninsured.
• DCPD: Property damage to your vehicle when you are not at fault in a collision.
• Commercial Use: Loss or damage when your vehicle is used as a taxicab, bus, or for carrying paying passengers. It also doesn’t cover damage if you lease or rent the vehicle to others.
• Third-Party Professional Damage: Loss or damage caused by garage workers, mechanics, or body repair shops while they’re working on your car.
• Policy Violations: Loss or damage caused by an excluded driver using the vehicle.
• Rare Catastrophic Events: Damage from war activities (such as civil war, invasion, or rebellion) or incidents involving explosives and radioactive material.

What is the Difference Between Comprehensive and Liability Coverage?

Mandatory liability coverage protects others if you cause injury or damage, while comprehensive coverage protects your own vehicle from non-collision damage. Read our Third-Party Liability Guide.

Is Comprehensive Auto Insurance Coverage Mandatory in Ontario?

Comprehensive coverage is not legally mandatory in Ontario. The mandatory coverages are third-party liability, accident benefits, and uninsured motorist coverage. However, comprehensive coverage becomes mandatory when your vehicle is financed or leased.

While it is not legally required, comprehensive coverage is highly recommended and often required by lenders or leasing companies.

Does comprehensive car insurance cover theft in Ontario?

Yes, comprehensive auto insurance in Ontario, covers theft or attempted theft. 

How Much Does Comprehensive Auto Insurance Coverage Cost in Ontario?

Premiums for comprehensive coverage vary widely, as they are not priced on their own but as part of your overall policy. The cost is influenced by many factors, with recent market trends playing a significant role.

Factors That Influence Your Cost:

• Vehicle Value and Theft Risk: The value of your vehicle and how likely it is to be stolen are major cost drivers. Due to a sharp increase in auto thefts in Ontario, premiums for comprehensive coverage have risen. While your figure of 25%-50% increases for theft-prone vehicles was accurate for a previous period, some insurers have recently added a specific surcharge of up to $1,500 annually for high-theft models.
• Your Location: Where you live has a significant impact on your premium. Areas with higher rates of vandalism, theft, and severe weather events will have higher comprehensive costs. For instance, cities in the Greater Toronto Area often have higher rates than smaller, rural communities.
• Your Chosen Deductible: Your deductible is the amount you pay out-of-pocket before your insurance covers the rest. Choosing a higher deductible will lower your premium, while a lower deductible will result in a higher premium.
• Other Factors: Your driving record, age, gender, and how you use your vehicle also influence the overall cost of your policy, which includes comprehensive coverage.

Current Market Trends:

While the overall cost of car insurance in Ontario has risen, recent data shows that auto theft rates have started to decline in 2025. However, experts do not expect a decrease in premiums immediately, as insurers are still managing high costs from recent years, as well as new challenges from inflation and severe weather events.

What Deductible Should I Choose?

Choosing a deductible impacts your premium and claim costs. A lower deductible (around $300) increases premiums but reduces your out-of-pocket costs for claims, while a higher deductible (around $1,000) lowers premiums but increases your financial responsibility if you file a claim.

Comprehensive coverage costs generally range between $200 and $1,000+ annually in Ontario.

Learn more about Understanding Auto Insurance Deductibles.

Is Comprehensive Car Insurance Worth It in Ontario?

Deciding whether to purchase comprehensive car insurance coverage can be straightforward if you follow this simple three-step decision flow. This process considers legal requirements, vehicle value, local risks, and your financial ability to absorb potential losses.

Step 1: Is Comprehensive Coverage Required?

If your vehicle is leased or financed, your lender or leasing company will generally require that you carry comprehensive coverage. Buying this coverage isn’t optional—it protects the vehicle’s value and the lender’s investment.

Step 2: Is Your Vehicle Worth Protecting?

If your vehicle’s value exceeds $5,000 or you live in an area with significant theft or severe weather risks—like Toronto or Ottawa—comprehensive insurance is a cost-effective way to guard against total loss.

Step 3: Can You Afford Major Losses Without Coverage?

If you cannot comfortably pay $1,000 or more out of pocket for losses due to theft, vandalism, or weather damage, comprehensive insurance offers vital financial protection and peace of mind at a reasonable cost.

Emphasis:

Comprehensive insurance is highly recommended because the peace of mind and financial protection it offers from things like theft, vandalism, and weather damage far outweigh the cost for the vast majority of drivers in 2025. It is the best way to protect your vehicle from risks that are completely beyond your control.

Frequently Asked Questions About Comprehensive Coverage

Below are answers to some of the most common questions Ontario drivers have about comprehensive car insurance. This FAQ section aims to clarify key points to help you better understand what comprehensive coverage entails and how it can protect you and your vehicle.

Legal Disclaimer

This information is for educational purposes only and not professional advice. Insurance laws change, and individual needs vary. Always consult qualified professionals for personalized guidance. We are not liable for actions based on this content.

Peter Martire, (Chartered Insurance Professional), CRM, RIBO

Last updated: August 2025 | Ontario insurance regulations and rates subject to change