Car Insurance in Strathmore

Factors considered when calculating Strathmore car insurance premiums

When it comes to the cost of car insurance in Strathmore, the truth is that there’s no one-size-fits-all answer. Insurance providers in Alberta look at a variety of factors to assess your level of risk and determine your premium. These include things like your driving history, your age and gender, the type of vehicle you own, how often you’re on the road, and the coverages you select.

However, a significant influence on your rate is your location. Where you live and work play a key role in how your premium is calculated. Insurers consider several location-based details, such as:

Local driving risks

Based on the Strathmore RCMP Detachment’s five-year crime statistics from 2020 to 2024, Chestermere has experienced a 29% rise in motor vehicle collision injuries. This means drivers in the area are now more likely to be injured in a crash than they were five years ago. Insurers may take this kind of data into consideration when assessing your level of risk. A higher chance of injuries typically means a greater likelihood of accident benefit claims, which can lead to higher premiums for local drivers.

Local crime rates

Auto theft has become a growing issue across Canada, and Alberta is no exception. According to the Insurance Bureau of Canada (IBC), the cost of auto theft claims in Alberta jumped by 55% between 2021 and 2023, and it's one of the reasons insurance premiums have been rising.

Fortunately, Strathmore is going against the trend. According to the RCMP, vehicle thefts in Strathmore dropped by 58% in 2024 compared to the previous year. This significant decrease could have a positive impact on insurance rates for local drivers, as lower theft rates help reduce overall risk.

Local weather risks

Weather has a big impact on car insurance costs, and Alberta’s stormy climate doesn’t make things any easier. In August 2024, the massive Calgary hailstorm struck Strathmore, causing nearly $3.25 billion in insured losses in total. It became the second-costliest weather event in Canadian history. The Insurance Bureau of Canada reported over 130,000 claims, with more than half related to vehicles.

And the year before that, multiple summer storms rolled through the province, leading to over $300 million in insured damages, according to the IBC. The Catastrophe Indices and Quantification Inc. (CatIQ) added that more than $90 million of that was related to vehicle damage alone.

With extreme weather events happening more often, it’s no wonder insurers consider local storm risks when setting your auto insurance premiums.

Local insurance claims

Lastly, legal costs tied to collision claims have been climbing fast in Alberta. As reported by the IBC, settlement amounts have surged by 116% over the last 10 years. As a result, Alberta drivers now pay over three times more than drivers in other provinces just to cover legal expenses after an accident.