Average Cost of Home Insurance in Toronto [2024]



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Home insurance in Toronto for home and property owners comes with a value that far outweighs the cost of premium paid on the coverage. As the capital city of the Ontario province and Canada’s largest, the city of Toronto is one of the best places to live in Canada.

As a result, a number of structures and homes are springing up and purchased by residents, ranging from thousands to multi-million dollar investments.

The home is an investment that must be treasured due to its value and priceless memories. One small loss can be detrimental and leave a colossal financial burden on the homeowner.

Hence, it is essential to have the proper coverage on the home, as well as its contents. Toronto home insurance ensures that you and your properties are financially protected.

Unlike car insurance, Toronto home insurance is not mandatory. However, it is a necessity and requirement for homeowners who still owe money on their mortgage. Most banks and lenders usually require proof of home insurance on their investments.

Despite its non-mandatory nature, we at Canada Buzz usually recommend that homeowners in Toronto and other cities in Canada should ensure proper coverage of their homes.

As a result, they will be protecting what they value most, including the home and outdoor structures, the contents or personal belongings, as well as the homeowner.

Therefore, this page will provide you with how Toronto home insurance works, the factors that are considered in fixing premiums, as well as useful tips that can help you save money on your home insurance coverage.

About Toronto

Toronto is a major Canadian city located along the northwest shore of Lake Ontario, in the Ontario province. Toronto is the capital city of Ontario and the most populous city in Canada, with a population of about 3 million people (2,731,571 according to the 2016 census data). The city is also the fourth most populous city in North America.

As an international hub for business, finance, developments, and attractions, Toronto is one of the most conducive, multicultural, and cosmopolitan cities in the world.

Toronto is the anchor city of the Golden Horseshoe region of over nine million people, and also stands as an integral part of the Greater Toronto Area (GTA) with a metropolitan population of over six million residents.

Toronto is famous for its many skyscrapers and high-rise buildings, such as the CN Tower. Thus, the city attracts several tourists and visitors from around the world,  as a result of its infrastructures, culture, galleries, museums, festivals, and other notable events.

Living in Toronto

Toronto is one of the favorite destinations for anyone looking to dwell,  work, and raise a family. The city of Toronto has a total land area that spreads over 630 square kilometers. According to the 2016 census data, Toronto has over one million private dwellings, including detached homes, semi-detached, townhouses, rental properties, and condos.

Toronto is the most expensive city in Canada, compared to over 70 percent of cities in North America. The average cost of living for a family of four is C$6,288 per month, while a single person has a monthly estimated cost of C$3,710. The average price of a home in Toronto is between C$865 thousand and over C$1million.

Toronto Stats

  • Toronto is the capital city of Ontario province.
  • Established as ‘York’ in 1753, and incorporated as Toronto in 1834.
  • Toronto waa amalgamated as ‘the city of Toronto’ in 1998.
  • Toronto is the largest urban center in Canada in terms of population.
  • Toronto is the fourth most populous city in North America and the most populous city in Canada.
  • Toronto is the anchor of the Golden Horseshoe and the Greater Toronto Area.
  • The city is connected by a number of rail lines, waterways, airports (notably the Toronto Pearson International Airport), and highways (such as Highways 27, 2A, 400, 401, 404, 409, 427, Queen Elizabeth Way, etc.).
  • The CN Tower in Toronto is the world’s 9th tallest free-standing structure. It is also the tallest free-standing structure in the Western Hemisphere.

Toronto Home Insurance

Toronto home insurance policies offer coverage for your home and personal possessions, as well as liability protection for the homeowner. Although home insurance in Toronto is not a legal requirement, it is usually recommended for home and property owners to safeguard their homes and their contents from unforeseen circumstances.

Home insurance in Toronto is offered by independent insurance companies, agencies, and brokers. The home insurance contracts are usually renewed periodically – annually or monthly.

As a result, if you purchase a home insurance policy from an accredited insurance provider, you agree to pay premiums for the coverage of your home and possessions. Likewise, as agreed in the purchased policy, the insurer will indemnify or compensate you for loss or damages to your home and personal belongings if it occurs.

The services and rates charged on home insurance in Toronto vary in hundreds and thousands of dollars between the different insurance providers. Hence, it is often recommended for homeowners to shop around and compare rates from at least three different insurance companies.

These home insurance providers have their rates and services reviewed and regulated by the Financial Services Regulatory Authority of Ontario (FSRA), the Insurance Bureau of Canada (IBC), and the Registered Insurance Brokers of Ontario (RIBO).

Every home and property owner must have ideal coverage that suits his or her unique home insurance needs. Therefore, it is essential to identify an insurance provider that has the type of coverage and policy that your home requires.

Cost of Home Insurance in Toronto

Homeowners in Toronto can expect to pay between $700 and $2,200 in home insurance premiums annually.

The average home insurance cost in Toronto can vary significantly between different home insurance providers. Insurers consider several factors in determining the premiums paid by each policyholder, such as the home size, location, and coverage type.

Besides, insurers consider risks differently. Therefore, homeowners need to compare rates from different insurers, as well as coverage options offered to choose the best and affordable insurance package and premiums.

Square One offers some of the cheapest and most comprehensive home insurance policies.

Types of Home Insurance Policies in Toronto

All Risk or Comprehensive Home Insurance Policy

The comprehensive home insurance policy covers all insured perils or risks, except those perils that are expressly excluded from the policy. This policy covers your home structure and personal possessions, such as furniture, clothing, bags, bicycles, sporting equipment, and more. The All Risk policy involves insured perils that include theft, fire, vandalism, lightning, etc.

Named Perils Home Insurance Policy

The named perils home insurance policy safeguards your home against insured perils that are explicitly stated in the purchased policy. It is the cheapest policy with the minimum coverage option.

Broad Home Insurance Policy

This home insurance policy embraces the comprehensive policy and the named perils policy. In the broad home insurance policy, comprehensive policy protection is offered on only the home or structure, while the named-perils policy covers the personal possessions and home contents.

No Frills Home Insurance Policy

The no-frills home insurance policy covers homes and properties that do not meet up with the normal home insurance standard.

What Does Home Insurance Cover in Toronto?

The Home

Toronto home insurance offers coverage for your home, including the building and other detached structures.

Personal Contents

Your personal possessions and other contents in the home are covered in your home insurance policy.

Additional Living Expenses

Toronto home insurance policy takes care of your living expenses such as hotel and food if you are mandated to vacate the home while a repair is being done as a result of an insured peril.

Liability Coverage

Toronto home insurance covers your personal liability for unintentional bodily injury or property damage to others.

Uninsured Perils

The uninsured perils are risks and events that are not covered by the standard home insurance policy. However, you can get coverage for these perils by purchasing additional coverage known as endorsements. Some of the uninsured perils are:

  • Sewer back up
  • Damages caused by earthquakes, landslides, and other earth movements.
  • Flooding or overland water.
  • Pollution
  • Windstorm
  • Damage to illegally acquired property.
  • Damage caused by freezing outside the home
  • Lock replacement
  • Damages caused by rodents, insects, or other domestic animals.

Factors That Determine Home Insurance Premiums in Toronto

  • The home size and type of structure.
  • The location of the home and risks in the neighborhood.
  • The quality of construction of the home.
  • The replacement cost and value of the home.
  • The amount of deductible.
  • The insurance claim history of the homeowner.
  • The distance of the home from fire hydrants.
  • The electrical and plumbing system of the home and other fittings.
  • The age and quality of the roof.

How To Save on Home Insurance in Toronto

  • Shop around, compare rates from different insurers, and choose the best and affordable insurance package available.
  • Bundle your home and auto insurance policies.
  • Increase your home insurance deductibles to enjoy a reduced premium.
  • Install smoke alert, fire alarm, or other security systems.
  • Ask for discounts from your insurer. Most insurance providers offer discounts to Seniors and members of professional bodies or alumni.
  • Pay your premiums annually.

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Odeyemi O.


Avid researcher, freelance writer, and personal finance enthusiast passionate about financial education and literacy.

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Kareena Maya

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Kareena Maya is a freelance writer focused on the personal finance and travel spaces. He frequently writes about credit cards, banking, student loans, insurance, travel rewards and more. His work has been featured in publications such as Forbes Advisor, Bankrate, Credit Karma, Finance Buzz, The Ascent and Student Loan Planner.

Kareena Maya is a freelance writer focused on the personal finance and travel spaces. He frequently writes about credit cards, banking, student loans, insurance, travel rewards and more. His work has been featured in publications such as Forbes Advisor, Bankrate, Credit Karma, Finance Buzz, The Ascent and Student Loan Planner.