An important factor that insurers consider when calculating your auto insurance rate is your driving and insurance history, including claims and convictions. More specifically, the types of collisions you’re involved in and offences you’re convicted of matter, as some have more influence on your rate than others. Let’s examine how different kinds of collisions and driving convictions impact auto insurance.
 
Types of collisions
Collisions fall into three categories:
 

1. At-fault collisions

2. Not-at-fault collisions

3. Partially-at-fault collisions

 
An at-fault collision is precisely what it sounds like – as a driver, you caused a collision. You may be wondering, "Ontario has a no-fault insurance system, so how can I be at fault?" No-fault insurance (also known as the Ontario Motorist Protection Plan) is a system that outlines how insurance companies handle claims and simplifies the claims process for drivers involved in a collision. No-fault means regardless of who is at fault for an accident, each driver's insurer will handle their claim. Despite being called "no-fault," the reality is that someone will be fully or partially to blame. By following the Fault Determination Rules under Ontario's Insurance Act, your insurance company will investigate the incident and determine your degree of fault. These rules cover over 40 accident situations that can be applied to almost every possible scenario, disregarding road or weather conditions, visibility, point of impact, or pedestrians' actions. You can be found anywhere from 0% to 100% at fault for a collision, and in some cases, the fault is shared between multiple parties involved¹. If you're deemed 50% or more at fault, your insurance rate will undoubtedly increase, and the incident will stay on your driving record for six years¹. However, a not-at-fault collision shouldn't affect your auto insurance rate.
 
You can enhance your protection with accident forgiveness coverage to protect you from an auto insurance rate increase after your first at-fault or partially-at-fault collision. Not everyone qualifies for accident forgiveness, though. It’s a way for insurance companies to reward drivers with good driving habits and is generally reserved for those with a clean driving record. If you have a poor driving record or you’ve been involved in multiple collisions, unfortunately, you can’t switch insurers to get it. Otherwise, drivers would switch insurers every time they get into a mishap.
 
What about hit-and-run collisions?
A hit-and-run is the only scenario in which the not-at-fault party must cover the damage or loss because another driver can’t be identified and held responsible. Your claim would have to be paid under your collision coverage, an optional enhancement, but you would have to pay the deductible. If you don’t have collision coverage and you experience a hit-and-run, sadly, you would have to cover the damage or loss out of pocket. If you’re deemed not at fault, your auto insurance rate shouldn’t increase.
 
Types of driving convictions
Driving convictions fall into three categories:
 

1. Minor convictions

2. Major convictions

3. Criminal convictions

 
All drivers face penalties if they violate the laws of Ontario’s Highway Traffic Act. These penalties include fines, demerit points added to your driving record, licence suspension or revocation, mandatory driver training courses, and, in severe cases, imprisonment. Here’s a breakdown of some examples of the three categories of convictions:
 
Minor driving convictions:

• Speeding (the cut-off may vary)

• Following too closely

• Going the wrong way on a one-way road

• Improper use of a high-occupancy vehicle (HOV) lane

• Failing to lower high beams

• Failing to obey signs

• Failing to signal

• Failing to wear a seat belt

 
Major driving convictions:

• Speeding (the cut-off may vary)

• Improper passing of a school bus

• Distracted driving

• Failing to report a collision

• Failing to slow for an emergency vehicle

• Speeding in a school zone

• Driving without proof of insurance

 
Criminal driving convictions:

• Failing to remain at the scene of a collision

• Failing to stop for a police officer

• Careless driving

• Racing

• Vehicular manslaughter

• Criminal negligence

• Impaired driving

• Driving while disqualified or prohibited

 
What’s the difference between a ticket and a conviction?
The difference between a ticket and a conviction is their legal implications and stages within the legal process. A ticket is a notice that a police officer issues to a driver who has violated traffic laws. It includes details such as the nature of the violation, the location, the date and time of the incident, and the associated penalties. A conviction occurs when a driver is formally judged and pleads or is found guilty of a ticket that they’ve been issued. This process commonly involves admitting guilt and facing the penalties or contesting the ticket in court and being found guilty after a trial.
 
How do driving convictions impact my insurance?
Every insurance company has its policies for how they consider driving convictions. It depends on the severity and number of convictions that raise red flags on your driving record. Convictions stay on your driving record for three years, starting from your conviction date. The increase in your insurance rate is reflected in a three-year policy renewal. The same applies when a conviction falls off your driving record after three years – you’ll no longer be rated for the conviction, and your costs will decrease. However, if you have more severe or too many convictions, your insurance company may not want to insure you anymore. In that case, you may need high-risk auto insurance.
 
What’s a Minor Conviction Protector?
If you have a minor conviction on your driving record, your auto insurance premium may increase. A Minor Conviction Protector forgives your first minor driving conviction and prevents your premium from increasing. This is an optional enhancement you can add to your policy and will cost you extra. Remember that any additional minor convictions you gain after the first one will count against your premium and could increase your rate.
 
Are driving convictions impacting your auto insurance rate?
If you’re unsure about your driving record, you can order an abstract to give you an idea of what to expect when you renew your auto insurance. To ensure accuracy, it’s best to be honest when you get a quote. Insurance companies will research your record and modify your quote based on what they find.
 
If you're a current OTIP policyholder, contact us at 1-833-615-9329 to review your existing auto insurance policy and discuss enhancing your protection with additional optional coverage. If you’re not insured with OTIP and are shopping for auto insurance, call us at 1-833-494-0085 to get a quote and receive a $20 gift card of your choice!
 

1. Financial Services Regulatory Authority of Ontario – After an Accident: Understanding the Claims Process