The relationship between Ontario drivers and their vehicles has changed dramatically in recent years. With higher living costs, rising car insurance premiums, and more people working remotely, many drivers are choosing to drive less — or not at all. If your car sits parked for long stretches, you might be wondering: Can I get insurance just for parking my car? Or, can I leave my vehicle uninsured if I’m not driving it? This guide explains everything you need to know about parking insurance in Ontario, including what it covers, when it makes sense, how much it costs, and what changes are coming with Ontario’s 2026 auto insurance reforms.
What Is Parking Insurance (or “Parked Car” Insurance)?
Parking insurance — also known as “parked car insurance” or comprehensive-only coverage — is a type of car insurance designed to protect your vehicle while it’s not being driven. It’s not legally required, but it’s highly recommended if you plan to store your vehicle long-term, take an extended trip, or temporarily stop driving.
Essentially, it covers your vehicle against damage, theft, vandalism, fire, or falling objects while parked. You won’t have liability or collision coverage with this option — meaning you can’t legally drive the car on public roads until you reactivate full coverage.
Does location matter? Read more to learn about garage parking vs. driveway parking, and whether it affects your premiums.
What Does Parking Insurance Cover in Ontario?
According to the Financial Services Regulatory Authority of Ontario (FSRAO), comprehensive coverage pays for “losses other than those covered by collision or upset.”
This means parking insurance may protect you from:
- Theft or attempted theft
- Vandalism or keying
- Falling or flying objects (like tree branches or debris)
- Fire, lightning, or explosion
- Damage from animals or weather events (like hail or flooding)
Unlike full auto insurance, parking insurance does not include:
- Liability coverage (injury or damage to others)
- Collision coverage (accidents or hit-and-run damage)
When Should You Consider Parking Insurance?
Parking insurance makes sense if your car isn’t being used for an extended period. Common situations include:
- Seasonal vehicles (like convertibles or classic cars)
- Snowbirds or travellers leaving Canada for months
- Multiple-vehicle households where one car sits idle
- Temporary licence suspension (medical or administrative)
- Financial hardship or reduced driving habits
- Vehicle storage during repairs or restoration
- Protecting a non-operational car from theft or fire
Even parked cars face risks — from falling branches and vandalism to garage fires and hit-and-run incidents. Comprehensive-only insurance ensures peace of mind while your vehicle is off the road.
How Much Does Parking Insurance Cost in Ontario?
Parking insurance (comprehensive-only coverage) is generally much cheaper than a full auto policy since you’re not driving the vehicle. On average, in Ontario, parking insurance costs between $100 and $300 per year, depending on:
- Your location: Urban areas like Toronto and Mississauga may have higher theft or vandalism risks.
- Your vehicle’s value, make, and model
- Storage type: Indoor storage may qualify for lower rates.
- Your driving record and insurance history
To get an accurate quote, contact an isure insurance broker — we’ll help you find the right level of coverage for your situation.
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When You Might Not Need This Type of Insurance
If your vehicle is permanently off the road, stored on private property, or kept only for parts, you may choose to cancel coverage entirely. However, keep in mind that cancelling insurance can create a gap in your insurance history, which may lead to higher premiums later. Even inexpensive cars can suffer expensive damage from weather or vandalism — making minimal coverage worthwhile.
What Is Storage Insurance (and How Is It Different)?
Storage insurance is a specialized version of parking insurance for vehicles kept in long-term or seasonal storage. It typically includes:
It excludes liability and collision, just like comprehensive-only coverage. Some insurers (like Sonnet and others in Ontario) let you temporarily switch your full policy to storage coverage, then reactivate full coverage when you start driving again.
What Happens If My Parked Car Isn’t Insured and Gets Damaged?
If your car doesn’t have comprehensive coverage and it’s damaged — for example, a tree branch falls on it — you’ll pay the repair costs yourself. Also, cancelling insurance on a parked car can affect your future premiums due to a lapse in coverage history.
Can I Drive a Vehicle With Only Parking Insurance?
No. You cannot legally drive a car that’s insured under comprehensive-only coverage. Drive with just parking insurance and get into an accident. You’ll have no liability protection, no accident benefits, and no collision coverage — which can result in fines, licence suspension, and vehicle impoundment in Ontario.
Do I Need Insurance If My Car Is Unused or Parked Long-Term?
- If your vehicle is parked on a public street, Ontario law requires you to keep liability coverage active.
- If it’s parked on private property or in a garage, insurance isn’t mandatory — but strongly recommended.
Even a stationary car can cause damage (for example, rolling downhill and hitting another car), so maintaining at least comprehensive or liability protection helps safeguard you from unexpected costs.
Just so you know, if you have collision insurance, then you may be able to pause the coverage temporarily if you park the vehicle indoors. This is because there’s virtually no risk of a collision; however, please always check with your isure broker before doing so.
Parking Lot Accidents and Hit-and-Runs
If your car is hit in a parking lot and you can’t identify the other driver, collision coverage is required to make a claim. So, if you’re parking on the street or in busy public areas, consider keeping collision coverage in addition to comprehensive protection — even if you rarely drive.
Auto Insurance Reforms in 2026
The Ontario government has announced significant changes to the province’s no-fault automobile insurance regime, set to take effect next year. As these changes will significantly reshape the landscape of auto insurance in Ontario, what impact, if any, will they have on parking insurance?
With the upcoming changes starting July 1, 2026, Ontario’s auto insurance system will undergo significant changes. Many benefits that were previously mandatory — including income replacement and medical coverage — will become optional. While these changes mainly affect drivers who are on the road, parked vehicles could also be indirectly impacted. For example, if you store a car seasonally or infrequently, you may need to reassess your comprehensive coverage to ensure protection against theft, vandalism, or weather-related damage. With fewer mandatory benefits in place, it’s more important than ever to review your policy carefully and consider whether additional coverage, such as storage or “parked vehicle” endorsements, is needed to keep your car fully protected while it’s not in use.
Is Parking Insurance Worth It?
Yes — if your vehicle sits idle for months or is in storage, parking insurance (comprehensive-only coverage) provides affordable protection against the unexpected. It’s a simple way to protect your investment, maintain a continuous insurance history, and avoid significant out-of-pocket costs.
Protect Your Parked Vehicle With isure
Whether you’re storing a seasonal vehicle, travelling abroad, or cutting down on driving, isure’s expert brokers can help you find the right level of protection at the best rate. Before cancelling or modifying your policy, speak with one of our representatives — we’ll guide you through the safest, most cost-effective options for your situation.
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