If you drive a pickup truck in Montreal or anywhere in Quebec, you have likely noticed a spike in your insurance premiums. It’s not just you; it is a province-wide trend.
As an insurance broker, I believe in transparency. I can’t control the market rates, but I can explain exactly why they are rising using real data.
Here are the five main reasons your transportation insurance costs more this year.
1. The Auto Theft Crisis (Especially for Trucks)
This is the single biggest factor in Quebec. The Équité Association, which fights insurance crime in Canada, reports that auto theft has reached "national crisis" levels. Quebec is a hotspot because stolen vehicles are quickly moved to the Port of Montreal for export.
Trucks are primary targets. According to Équité’s "Top 10 Stolen Vehicles in Canada," the Ram 1500 Series and Toyota Tundra are among the most stolen vehicles in the country. If your truck is on this list, your premiums are higher to cover the risk of it disappearing.
2. Modern Tech Makes Repairs Expensive
Trucks used to be simple to fix. Today, they are advanced computers on wheels.
Modern trucks come equipped with ADAS (Advanced Driver Assistance Systems) like automatic braking, lane departure warnings, and backup cameras.
According to industry reports, a minor fender bender that damages a bumper with sensors can cost significantly more than a standard repair because the sensors must be recalibrated.
3. Quebec’s Severe Weather Events
Rates for 2025 are reacting to the massive losses of 2024. The Insurance Bureau of Canada confirmed that 2024 was the most expensive year in Canadian history for severe weather, with over $8.5 billion in insured damage.
For Quebecers, the main driver was the flooding from the remnants of Hurricane Debby in August 2024. That single event caused nearly $2.5 billion in insured damage, surpassing the 1998 Ice Storm as the costliest event in Quebec history. When insurers pay out billions for flooded cars and homes, base rates rise for everyone the following year.
4. Inflation and The Price of Parts
General inflation affects your insurance bill directly. The cost of auto parts has risen faster than the general rate of inflation in recent years.
According to Statistics Canada, the price of passenger vehicle parts, maintenance, and repairs rose by 5.6% year-over-year in 2023. If an alternator, a door panel, or a headlight costs the insurance company more to buy this year than it did last year, your premium rises to match that cost.
5. Longer Rental Times Due to Labor Shortages
When you get into an accident, your policy usually covers a rental vehicle while yours is in the shop. However, repairs are taking longer than ever.
The automotive repair industry is facing a shortage of skilled labor (technicians and mechanics). When a shop is short-staffed, your truck sits there longer waiting to be fixed. This means the insurance company has to pay for your rental car for 3 weeks instead of 1 week. These "claims costs" add up and result in higher premiums for everyone.
5 Ways to Lower Your Truck Insurance Bill Right Now
Now that we know why the rates are up (theft, weather, and repair costs), let’s talk about how you can keep more money in your pocket. You are not helpless against these price hikes.
Here are the five specific strategies I recommend to my clients in Quebec to get their premiums down.
1. Install a TAG Tracking System
If you drive a high-theft model like a Ford F-150, RAM 1500, or Toyota Tundra, this is the single most effective move you can make.
In Montreal, many insurers now apply a "high-theft surcharge" to these trucks. However, if you install a recognized tracking system like TAG, most companies will either waive that surcharge or give you a significant discount. It sends a signal to the insurer that your truck is much harder to steal, and they reward you for it.
2. Use a "Telematics" App (Usage-Based Insurance)
If you are a safe driver, prove it. Most major insurers in Quebec offer a mobile app that tracks your driving habits, checking for things like hard braking, rapid acceleration, and excessive speed.
It’s free to sign up, and many companies offer a small enrollment discount just for trying it. If you drive smoothly, you can see your premium drop by up to 25% at renewal. It’s one of the few ways to control your own rate based on your actual behavior, not just statistics.
3. Improve Your Credit Score
This is unique to our market. Unlike in some other provinces, where it is banned, insurers in Quebec are allowed to use your credit score as a factor when calculating your rate.
Statistics show a strong link between credit history and insurance claims. If your credit score has improved recently, make sure your broker knows. A better credit score can often lead to a better insurance tier, lowering your monthly payments over time.
4. Bundle Your Home and Auto
This is the oldest trick in the book, but it works. If your truck is insured with one company and your home (or apartment) is with another, you are likely leaving money on the table.
Insurers want all your business. When you move your home policy to the same company as your truck, you create a "multi-line discount." This usually knocks about 10% to 15% off both policies. It’s a no-brainer for instant savings.
5. Raise Your Deductible
Ask yourself: If I had a small fender bender, would I really make a claim?
If the answer is "no," you might be paying for coverage you don’t need. By raising your deductible (the amount you pay out of pocket before insurance kicks in) from $500 to $1,000 or even $2,500, you can lower your annual premium. You are essentially telling the insurance company, "I’ll take a bit more of the risk," and they will charge you less in return.
Stop Overpaying
You don’t have to accept the first renewal offer you see. If your rate has gone up, let’s review these five points together. A 10-minute call could save you hundreds of dollars this year.
