Cheaper Home Insurance in Canada: 8 Ways to Pay Less
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To pay less for home insurance, compare at least three quotes before every renewal, bundle your car and home insurance with the same insurer and set your deductible to match your savings. Done together, these three moves give you the biggest savings without cutting your coverage.
Premiums vary a lot by province and type of home. In Quebec, for example, Sonnet's 2026 data puts the average at about $36 a month for tenants, $47 for a condo and $122 for a house. To see where you stand, run our home insurance comparison tool, then apply the eight ways to lower your premium below, whether you rent or own.
The 8 Ways to Lower Your Premium at a Glance
| Move | Effort | Best for | Watch out for |
|---|---|---|---|
| Bundle car and home | Low | You own a car | Both policies with the same insurer |
| Raise your deductible | Low | You have savings | An amount you could pay tomorrow |
| Maintain and upgrade your home | High | Homeowners | Tell your insurer after the work |
| Compare quotes | Low | Everyone | Compare equal coverage |
| Pay the premium in one instalment | Low | Budget allows it | Discount offered by some insurers only |
| Use a broker | Low | Complex file | Ask which insurers were canvassed |
| Put your credit score to work | Low | Good credit score | Check done only with your consent |
| Pay for small damage yourself | Medium | Everyone | Keep a fund for the deductible |
1. Bundle Your Home and Car Insurance
When you bundle your car insurance and home insurance with the same insurer, you get a multi-policy discount that most insurers offer. According to ClicAssure, this bundle discount can be worth several hundred dollars a year, as long as both policies are with the same insurer. Request both quotes on the same day so the discount is applied automatically.
2. Increase Your Home Insurance Deductible
In the event of a claim, the deductible is the amount you agree to pay out of your own pocket. For example, if a $4,000 loss occurs and your deductible is $500, your insurer will pay $3,500. By increasing your insurance deductible, your insurance premium will be reduced. Of course, your deductible will be higher in the event of a claim. But if you take good care of your home, the likelihood of a claim is reduced. Contact your insurer to find out about your deductible options.
3. Maintain and Improve Your Home
When your home is well maintained, you’ll generally pay less for home insurance. Of course, some events are beyond your control. But regular maintenance and home improvements can reduce your insurance costs.
Here are some examples of improvements that affect your home insurance premium:
- Roof: The condition and age of your roof directly affect your insurance premium, as the risk of water damage is higher. Depending on the condition, repair or replace your roof and contact your insurer to notify them.
- Plumbing: Replacing old lead, terracotta or galvanized steel pipes, which are more likely to leak or break (compared to PVC or copper pipes), will reduce your insurance premium. In addition, installing a backwater valve or a water leak detector reduces the risk of water damage.
- Electricity: Replacing the electrical system reduces the risk of fire, and thus your insurance premium.
- Alarm system: A centrally controlled alarm and anti-theft system means lower insurance premiums, because the risk of damage is lower.
Although these improvements cost money, you’ll save money in the long run. You’ll have to deal with less damage, and the likelihood of insurance claims will be reduced. Contact your current insurer to find out about priority maintenance and upgrades to reduce your insurance premium.
4. Compare Home Insurance Quotes Online
Don’t renew your home insurance policy without obtaining and comparing several quotes. In fact, you can use our online comparator to compare home insurance quotes based on your specific needs. That said, insurance is a complicated business. So don’t hesitate to talk to a professional.
5. Pay Your Insurance Premium for the Year in Advance
Prepaying your home insurance premium for the year is one of the easiest ways to reduce your insurance premium. In fact, some insurance companies offer a discount if you pay your premium once a year rather than once a month. Check with your insurer.
6. Contact a Home Insurance Broker
A property and casualty insurance broker shops around for you with several insurers, while an agent only offers you their own company's products. You save time and get advice on the coverage you actually need. If you'd rather do it online, a comparison site like ClicAssure sends you several quotes from a single request.
7. Put a Good Credit Score to Work
With a good credit score, you can get a lower premium: your credit score affects your insurance premium because it signals a lower risk to the insurer. The check is only done with your consent, so allow it if your file is strong. If you'd rather improve your credit score first, our guides show you how, and you can ask for a new quote at renewal.
8. Pay for Small Damage Yourself
Insurance deductibles generally range from $500 to $1,000. If a minor incident occurs, refrain from filing a claim. A claim stays visible on your file for several years and can push your premium up at every renewal. Plus, you’ll lose all the discounts you’ve earned for avoiding claims.
For example, if you have a $500 deductible and a $1,000 claim, you’ll have to pay $500 toward the deductible. Secondly, your home insurance premium will increase over the next few years. For such a small claim, is it really worth it?
Bottom Line: Where to Start
If you only remember two moves, compare at least three quotes before every renewal and bundle your car and home insurance with the insurer that wins that comparison. Then set your deductible at what your savings can absorb, without ever cutting your coverage so far that you're exposed to a loss you couldn't pay for. To get started today, use our home insurance comparison tool.
Frequently Asked Questions
How much does home insurance cost in Canada?
It depends heavily on your province and type of home. In Quebec, for example, Sonnet's 2026 data puts the average at about $36 a month for tenants, $47 a month for a condo and $122 a month for a house. Your actual premium depends on your address, the age of the building, the value of your belongings and your claims history.
Which tip saves the most on home insurance?
In most cases, it's comparing quotes at renewal combined with bundling your home and car insurance with the same insurer. According to ClicAssure, the bundle discount can be worth several hundred dollars a year, as long as both policies are with the same insurer.
Is home insurance mandatory in Canada?
No law requires you to insure your home, but your mortgage lender requires it as long as you have a loan. As a tenant, your landlord can also require it in your lease. Even when it's optional, insurance protects your belongings and your civil liability.
Should I raise my deductible to pay less?
Yes, if you have savings to cover that amount after a loss. A higher deductible lowers your premium, but choose an amount you could pay tomorrow without borrowing.
Will a small claim raise my premium?
Often, yes. A claim stays visible on your file for several years and can cost you a claims-free discount. When the damage is only slightly above your deductible, paying it yourself is often cheaper in the long run.
Does my credit score affect my home insurance premium?
It can if you allow the insurer to check it: a good credit score signals a lower risk. The check is done with your consent. If your score is weak, you can decline and work on improving it first.
Can I pay my home insurance with a credit card?
Many insurers accept it, sometimes only for a single annual payment. In that case, you earn points on an expense you'd make anyway, and the annual premium can help you reach the spending threshold of a welcome bonus.
Broker or comparison site: which should I use?
A comparison site gives you several quotes in minutes, while a property and casualty insurance broker compares offers from several insurers for you and advises you on coverage. Both save you from shopping with only one insurer.
