Where you live has a lot to do with how much you pay for auto insurance. While the provincial average for auto insurance is $1,088 a year in Alberta, the rates vary across the province.
Using Insuramap, an interactive tool created by Kanetix that compares auto insurance rates according to postal codes, we aggregated data from across the province to determine the most expensive and cheapest cities for car insurance in Alberta.
All calculations, including the provincial average, are based on a 35-year-old driver with a clean driving record.
- Related Read: The 10 Most Expensive Cities For Auto Insurance In Ontario
- Related Read: The Cost Of Car Insurance In Quebec's 10 Largest Cities
Top 10 Most Expensive Areas To Insure Your Car In Alberta
Sitting in the number one spot, we've got the Province's capital at 13 per cent higher than the provincial average.
| Rank | Region | Rate | Difference AB Avg |
|---|---|---|---|
| 1. | Edmonton | $1,237 | +14% |
| 2. | St. Albert | $1,139 | +5% |
| 3. | Fort McMurray | $1,136 | +4% |
| 4. | Peace River | $1,130 | +4% |
| 5. | Sturgeon County | $1,118 | +3% |
| 6. | Calgary | $1,117 | +3% |
| 7. | Bay Tree | $1,095 | +1% |
| 8. | Grand Prairie | $1,095 | 1% |
| 9. | Fort Chipewyan | $1,083 | 0% |
| 10. | Sherwood Park | $1,055 | -3% |
The Calgary-Edmonton corridor is one of the most densely populated areas in Canada. Dense metropolitan areas tend to be the most expensive areas to insure a vehicle because there are more vehicles on the road, increasing a driver's likelihood of getting into a collision. To an insurance company, this translates as higher risk, which then translates to higher premiums.
Other factors that contribute to higher premiums include the likelihood of theft, your personal driving record and insurance history, and time spent commuting to work. According to the most recent Statistics Canada data, 82 per cent of Edmontonians commute to work via car either as a driver (76.7 per cent) or passenger (5.5 per cent). To put that in perspective, in Toronto, Ontario, a total of 69.9 per cent commute by vehicle. In fact, one way to lower your auto insurance is to stop driving to work every day either by carpooling, taking public transit, cycling or walking.
Areas With The Cheapest Auto Insurance In Alberta
Of course, we can't tell you the most expensive regions without telling you the cheapest! Below is a table of the top 10 cheapest places to insure your car in Alberta. The lowest of the low, Lacombe, Alberta's smallest city, is 36 per cent lower than the provincial average.
| Rank | Region | Rate | Difference From AB Avg |
|---|---|---|---|
| 1. | Lacombe | $753 | -31% |
| 2. | Devon | $781 | -28% |
| 3. | Vegreville | $833 | -23% |
| 4. | Medicine Hat | $901 | -17% |
| 5. | Canmore | $934 | -14% |
| 6. | Banff | $937 | -14% |
| 7. | Okotoks | $952 | -13% |
| 8. | Aldersyde | $961 | -12% |
| 9. | Red Deer | $964 | -11% |
| 10. | Camrose | $965 | -11% |
- Related Read: 15 Ways To Save On Insurance
Compare Auto Insurance Rates
Are you paying too much for your auto insurance? There's no easier way to find out than by comparing auto insurance quotes, because a better rate could be yours today.
