Ontario Commercial Auto Insurance

Get low-cost commercial auto insurance in Ontario to protect your business vehicles and get back on the road fast.

Trusted by 100,000+
Canadian small
businesses coast to coast.
Instant price. All
online. Coverage in
just a few clicks.
Expert brokers,
working for you.
24/7 claims support.
Get a Free Quote in 3 Minutes
Ontario Commercial Auto

Ontario Commercial Auto Insurance

Get low-cost commercial auto insurance in Ontario to protect your business vehicles and get back on the road fast.

Trusted by 100,000+
Canadian small businesses
coast to coast.
Instant price. All online.
Coverage in just a few clicks.
Expert brokers,
working for you.
24/7 claims support.
Get a Free Quote in 3 Minutes

What Is Commercial Auto Insurance in Ontario?

Commercial auto insurance covers trucks, vans, and SUVs used in Ontario to run your business. 

Most personal auto policies explicitly exclude coverage for any vehicle used for commercial purposes. If you’re driving to job sites, hauling equipment, or hauling tools and materials and you only have personal insurance, you could be left paying out of pocket after an accident. 

Any vehicle that is used to transport materials, tools and equipment, or packaged goods in Ontario needs a commercial auto policy.

What Does Commercial Auto Insurance Cover in Ontario?

Ontario runs on a no-fault insurance system, but “no-fault” doesn’t mean no one is responsible. It means each driver’s own insurer handles their claim, regardless of who caused the accident. 

A standard commercial auto insurance in Ontario typically includes four core coverages:

What Does Commercial Auto Insurance Cover in Ontario?

Ontario runs on a no-fault insurance system, but “no-fault” doesn’t mean no one is responsible. It means each driver’s own insurer handles their claim, regardless of who caused the accident. 

A standard commercial auto insurance in Ontario typically includes four core coverages:

Important Update Effective July 1, 2026: Several accident benefits are becoming optional in Ontario, including income replacement, non-earner benefits, caregiver benefits, lost educational expenses, visitor expenses, housekeeping and home maintenance, damage to personal items, and death and funeral benefits.

Only medical rehabilitation and attendant care coverage will remain mandatory. If you’re a Zensurance client in Ontario, your policy renews automatically with existing coverage. Contact us before your renewal date if you want to make changes. 

Important Update Effective July 1, 2026: Several accident benefits are becoming optional in Ontario, including income replacement, non-earner benefits, caregiver benefits, lost educational expenses, visitor expenses, housekeeping and home maintenance, damage to personal items, and death and funeral benefits.

Only medical rehabilitation and attendant care coverage will remain mandatory. If you’re a Zensurance client in Ontario, your policy renews automatically with existing coverage. Contact us before your renewal date if you want to make changes. 

Third-Party Liability

Covers you if you cause an accident that injures or kills someone, or damages their property. Ontario law requires a minimum of $200,000 in coverage – but that’s rarely enough. Most business owners carry at least $1 million. Legal costs alone can exceed the minimum limit.

Direct Compensation-Property Damage (DCPD)

If someone else causes an accident in Ontario, DCPD lets you file your claim directly with your own insurer instead of chasing the at-fault driver’s insurance company. It’s faster and less stressful.

To qualify, the accident must occur in Ontario, all vehicles must be insured and identified, and you must not be at fault. You can opt out of DCPD by signing an endorsement, but it’s not recommended.

Uninsured Auto

Protects you if you’re hit by an uninsured driver or a hit-and-run. Ontario law requires a minimum of $200,000 in coverage.

Accident Benefits

Covers your medical expenses, rehabilitation, and lost income after an accident, regardless of fault. Accident benefits include: 

  • Income Replacement: Covers 70% of your gross income if your injuries keep you off the job up to $400 per week, however, higher limits of $600, $800, or $1,000 per week can be purchased .
  • Medical Rehabilitation and Attendant Care: Covers treatment costs beyond what OHIP pays.
  • Non-Earner Benefits: $185 per week if you don’t qualify for income replacement (e.g., students or those between jobs).
  • Caregiver Benefits: Financial support if a catastrophic injury prevents you from caring for a child or dependent.
  • Death and Funeral Benefits: Up to $25,000 for your spouse, $10,000 per dependent, and $6,000 toward funeral costs.
  • Miscellaneous Benefits: Covers damaged clothing, prescription eyewear, medical devices, housekeeping, and lost educational expenses.

Third-Party Liability

Covers you if you cause an accident that injures or kills someone, or damages their property. Ontario law requires a minimum of $200,000 in coverage – but that’s rarely enough. Most business owners carry at least $1 million. Legal costs alone can exceed the minimum limit.

Direct Compensation-Property Damage (DCPD)

If someone else causes an accident in Ontario, DCPD lets you file your claim directly with your own insurer instead of chasing the at-fault driver’s insurance company. It’s faster and less stressful.

To qualify, the accident must occur in Ontario, all vehicles must be insured and identified, and you must not be at fault. You can opt out of DCPD by signing an endorsement, but it’s not recommended.

Uninsured Auto

Protects you if you’re hit by an uninsured driver or a hit-and-run. Ontario law requires a minimum of $200,000 in coverage.

Accident Benefits

Covers your medical expenses, rehabilitation, and lost income after an accident, regardless of fault. Accident benefits include: 

  • Income Replacement: Covers 70% of your gross income if your injuries keep you off the job up to $400 per week, however, higher limits of $600, $800, or $1,000 per week can be purchased .
  • Medical Rehabilitation and Attendant Care: Covers treatment costs beyond what OHIP pays.
  • Non-Earner Benefits: $185 per week if you don’t qualify for income replacement (e.g., students or those between jobs).
  • Caregiver Benefits: Financial support if a catastrophic injury prevents you from caring for a child or dependent.
  • Death and Funeral Benefits: Up to $25,000 for your spouse, $10,000 per dependent, and $6,000 toward funeral costs.
  • Miscellaneous Benefits: Covers damaged clothing, prescription eyewear, medical devices, housekeeping, and lost educational expenses.

Optional Add-On Coverages

The right commercial auto policy goes beyond the basics. Common add-ons in Ontario include:

  • Collision or Upset Coverage: Pays to repair or replace your vehicle if you’re at fault.
  • Comprehensive Insurance: Covers theft, vandalism, and weather damage to your vehicle (hail, flooding, fire).
  • All-Perils Coverage: Combines collision and comprehensive and includes coverage for theft from a person you reside with or an employee of the business.
  • Specified Perils Coverage: Also called named perils, specified perils cover only the specific risks named in your policy (e.g., theft, hail).

Optional Add-On Coverages

The right commercial auto policy goes beyond the basics. Common add-ons in Ontario include:

  • Collision or Upset Coverage: Pays to repair or replace your vehicle if you’re at fault.
  • Comprehensive Insurance: Covers theft, vandalism, and weather damage to your vehicle (hail, flooding, fire).
  • All-Perils Coverage: Combines collision and comprehensive and includes coverage for theft from a person you reside with or an employee of the business.
  • Specified Perils Coverage: Also called named perils, specified perils cover only the specific risks named in your policy (e.g., theft, hail).

Frequently Asked Questions About Commercial Auto Insurance in Ontario

Frequently Asked Questions About Commercial Auto Insurance in Ontario

Four coverages are mandatory: third-party liability, accident benefits (specifically medical rehabilitation and attendant care), direct compensation-property damage (DCPD), and uninsured automobile coverage.

Note that as of July 1, 2026: Most other accident benefit coverages become optional, including income replacement, caregiver benefits, and death benefits.

Any business owner or self-employed professional who uses a vehicle for commercial purposes in Ontario needs commercial auto insurance, whether they own or lease that vehicle. This includes contractors, tradespeople, and anyone transporting goods or clients.

Personal auto insurance does not cover commercial use.

Commercial auto insurance in Ontario typically costs more than personal car insurance because it covers more. Higher coverage limits, more vehicle types, and greater liability exposure all factor into the premium.

Your premium is based on:

  • Your driving record and years of experience
  • Your age, gender, and claims history
  • The make, model, and year of your vehicle
  • Your industry and how the vehicle is used
  • Where you’re located and where the vehicle is parked overnight
  • Annual kilometres driven
  • Your chosen coverage limits, optional add-ons, and deductibles

Not automatically.Commercial auto insurance covers the vehicle, not necessarily what’s inside it. To protect your tools and equipment, you’ll need a tools and equipment floater added to your general liability insurance policy.

Items valued under $1,500 are generally classified as tools; anything above that is considered equipment.

Yes – if you use it for commercial purposes. In Ontario, a pickup truck is considered a commercial motor vehicle when it’s used to transport materials, tools, or equipment for business operations.

Regulatory Reality: Personal auto insurance won’t cover you in that situation.

Hired auto insurance covers vehicles your business rents or leases. Non-owned auto insurance covers employees who use their personal vehicles for work-related tasks.

Both are typically available as sub-coverages under a general liability policy.

Four coverages are mandatory: third-party liability, accident benefits (specifically medical rehabilitation and attendant care), direct compensation-property damage (DCPD), and uninsured automobile coverage.

Note that as of July 1, 2026, most other accident benefit coverages become optional, including income replacement, caregiver benefits, and death benefits.

Any business owner or self-employed professional who uses a vehicle for commercial purposes in Ontario needs commercial auto insurance, whether they own or lease that vehicle. This includes contractors, tradespeople, and anyone transporting goods or clients. Personal auto insurance does not cover commercial use.

Commercial auto insurance in Ontario typically costs more than personal car insurance because it covers more. Higher coverage limits, more vehicle types, and greater liability exposure all factor into the premium. Your premium is based on:

  • Your driving record and years of experience
  • Your age, gender and claims history
  • The make, model, and year of your vehicle
  • Your industry and how the vehicle is used
  • Where you’re located and where the vehicle is parked overnight
  • Annual kilometres driven
  • Your chosen coverage limits, optional add-ons, and deductibles

Not automatically. Commercial auto insurance covers the vehicle, not necessarily what’s inside it. To protect your tools and equipment, you’ll need a tools and equipment floater added to your general liability insurance policy. Items valued under $1,500 are generally classified as tools; anything above that is considered equipment. 

Yes – if you use it for commercial purposes. In Ontario, a pickup truck is considered a commercial motor vehicle when it’s used to transport materials, tools, or equipment for commercial purposes. Personal auto insurance won’t cover you in that situation. 

Hired auto insurance covers vehicles your business rents or leases. Non-owned auto insurance covers employees who use their personal vehicles for work-related tasks. Both are typically available as sub-coverages under a general liability policy. 

Zensurance Commercial Auto Insurance Specialist

Why Ontario Business Owners Choose Zensurance 

We help small business owners in Ontario save time and money buying commercial auto insurance online by providing:

50+ Insurance Partners

We compare quotes from over 50 Canadian insurers, so you get the best rate, not just the first one.

Licensed Ontario Brokers 

Real people. Real guidance. Our licensed brokers are based across Ontario and available when you need them.

24/7 Claims Support

Accidents don’t wait for business hours. Our claims team is available around the clock to help you file fast and get back to work.

Get a Free Quote in 3 Minutes

Why Ontario Business Owners Choose Zensurance 

We help small business owners in Ontario save time and money buying commercial auto insurance online by providing:

50+ Insurance Partners

We compare quotes from over 50 Canadian insurers, so you get the best rate, not just the first one.

Licensed Ontario Brokers 

Real people. Real guidance. Our licensed brokers are based across Ontario and available when you need them.

24/7 Claims Support

Accidents don’t wait for business hours. Our claims team is available around the clock to help you file fast and get back to work.

Get a Free Quote in 3 Minutes

Get a Free Quote for Commercial Auto Insurance in Ontario

Zensurance is Canada’s leading online small business insurance brokerage. We make getting covered simple. 

Fill out our online application to get a free quote in a few minutes. 

Our licensed brokers will search our network of 50+ insurers, find the right commercial auto policy for your business, and customize it to fit your needs and budget.

Zensurance Commercial Auto Insurance Specialist

Get a Free Quote for Commercial Auto Insurance in Ontario

Zensurance is Canada’s leading online small business insurance brokerage. We make getting covered simple. 

Fill out our online application to get a free quote in a few minutes. 

Our licensed brokers will search our network of 50+ insurers, find the right commercial auto policy for your business, and customize it to fit your needs and budget.

Zensurance Commercial Auto Insurance Specialist