If your household has more than one vehicle, you could be missing out on significant savings. The multi-vehicle discount is one of the most valuable discounts available to Ontario drivers, potentially saving 5-15% or more on each vehicle you insure.
What Is the Multi-Vehicle Discount?
The multi-vehicle discount (also called multi-car discount) is a premium reduction offered when you insure two or more vehicles on the same policy or with the same insurance company. Insurers offer this discount because:
- It costs less to administer one account with multiple vehicles than multiple separate accounts
- Customers with multiple vehicles tend to be more stable and loyal
- Households with multiple vehicles often have lower per-vehicle risk
How Much Can You Save?
The multi-vehicle discount typically ranges from 5% to 15% per vehicle, with some insurers offering even higher discounts for three or more vehicles. Here's how the savings can add up:
Two-Vehicle Household Example
| Vehicle | Single Policy Cost | With 10% Multi-Vehicle Discount | Savings |
|---|---|---|---|
| Vehicle 1 | $2,000 | $1,800 | $200 |
| Vehicle 2 | $1,800 | $1,620 | $180 |
| Total | $3,800 | $3,420 | $380/year |
Three-Vehicle Household Example
| Vehicle | Single Policy Cost | With 12% Multi-Vehicle Discount | Savings |
|---|---|---|---|
| Vehicle 1 | $2,200 | $1,936 | $264 |
| Vehicle 2 | $1,800 | $1,584 | $216 |
| Vehicle 3 | $3,500 | $3,080 | $420 |
| Total | $7,500 | $6,600 | $900/year |
Who Qualifies for the Multi-Vehicle Discount?
Household Requirements
To qualify for the multi-vehicle discount, vehicles typically must:
- Be owned by members of the same household
- Be registered to the same address
- Be insured with the same company
Eligible Household Members
Vehicles owned by the following household members usually qualify:
- Spouses or common-law partners
- Children living at home (including adult children)
- Parents living in the home
- Other relatives sharing the same address
Types of Vehicles That May Qualify
- Cars and trucks
- SUVs and crossovers
- Motorcycles (with some insurers)
- Recreational vehicles (snowmobiles, ATVs, boats)
- Classic or collector vehicles
How to Get the Multi-Vehicle Discount
If You're Already Insured
- Contact your insurer: Let them know you want to add another vehicle to your policy
- Provide vehicle details: VIN, make, model, year, and usage information
- Add driver information: Include all household drivers on the policy
- Review the combined quote: Compare the multi-vehicle rate to separate policies
If You're Shopping for New Insurance
- Get quotes for all vehicles together: Request multi-vehicle quotes from multiple insurers
- Also get separate quotes: Compare to ensure the multi-vehicle option is actually cheaper
- List all drivers: Make sure all household drivers are included on the quotes
- Choose the best overall value: Consider both price and coverage
Strategies to Maximize Your Multi-Vehicle Savings
1. Consolidate All Vehicles
Even if a household member currently has separate insurance, consolidating everyone onto one policy or with one insurer maximizes the multi-vehicle discount.
2. Include Occasional-Use Vehicles
Seasonal vehicles, classic cars, or vehicles used only occasionally can often be added at reduced rates while still contributing to the multi-vehicle discount.
3. Add Young Drivers Strategically
If you have a young driver in the household, adding them to a multi-vehicle policy with experienced drivers is typically cheaper than getting them a separate policy.
4. Stack with Other Discounts
The multi-vehicle discount can typically be combined with:
- Bundling discount (home + auto)
- Winter tire discount
- Claims-free discount
- Good student discount
- Usage-based insurance discounts
5. Review Coverage Needs
When combining vehicles, review coverage for each vehicle. Older vehicles may not need comprehensive or collision coverage, reducing overall costs.
Important Considerations
Shared Liability
When vehicles are on the same policy, claims on one vehicle may affect the premium for all vehicles. Consider whether this risk is acceptable for your household.
Driver Assignments
Insurers typically assign drivers to vehicles based on who primarily uses each one. Be accurate about driver assignments, as this affects pricing and coverage.
Moving or Changing Households
If a household member moves out, they may need to get their own policy. Plan for this when children leave for school or start their own households.
When Multi-Vehicle Policies May Not Be Best
In some cases, separate policies might make more sense:
- If one driver has a poor driving record that would significantly increase rates for everyone
- If household members want to maintain completely independent insurance histories
- If specialized coverage is needed for certain vehicles (classic cars, commercial use)
Compare Multi-Vehicle Rates
Different insurers offer different multi-vehicle discounts, so it pays to compare. The best rate for a single vehicle isn't necessarily the best rate for multiple vehicles.
Ready to see how much you could save? Get your free Ontario car insurance quote for all your vehicles and discover your multi-vehicle discount.