Public Automobile Insurance Plan

Insurance Contributions

As trustee of the Fonds d'assurance automobile du Québec (automobile insurance fund), the SAAQ determines the amount of the insurance contributions to be collected in order to sustain the fund, which serves, among other things, to provide compensation to traffic accident victims.

What is the purpose of insurance contributions?

Insurance contributions serve to sustain the automobile insurance fund. Through this fund, we are able to compensate traffic accident victims and conduct prevention and road safety awareness activities. 

How are contributions to the fund collected?

Contributions to the fund are collected from driver's licence and vehicle registration payments.

Concrete example of insurance contributions in the case of a driver's licence

In 2020, the total cost for renewing a Class 5 (passenger vehicle) driver's licence was $86.34 (unless the licence holder had demerit points!).

Of this total amount, $63.24 (including the 9% sales tax paid to Revenu Québec) represented the insurance contribution allocated directly to the fund.

The remaining amount included a $4.70 administrative fee and a $18.40 fee paid to the Ministère des Finances.

Concrete example of insurance contributions in the case of vehicle registration

In 2020, the total cost for renewing the registration of a passenger vehicle was $227.57 ($272.57 for Montréal residents).

Of this total amount, $72.87 (including the 9% sales tax paid to Revenu Québec) represented the insurance contribution allocated directly to the fund. 

The remaining amount included a $4.70 administrative fee, a $120 fee paid to the Ministère des Finances, and a $30 contribution to public transit ($75 for Montreal residents).

What makes the insurance contribution amounts vary?

Contributions to the automobile insurance fund are mainly influenced by three factors: the total number of claims submitted by automobile accident victims (deaths, serious injuries, minor injuries), the severity of the injuries sustained by these accident victims, and the number of driver’s licence holders and vehicle owners paying insurance contributions.

When there is an increase in the number of indemnities being awarded and greater amounts are being paid in compensation to accident victims or their loved ones, insurance contributions inevitably go up.

Conversely, when the road safety record improves and other key factors are in place, insurance contributions go down. 

How are insurance contributions determined?

Insurance contributions are determined under the Regulation respecting insurance contributions made under Québec's Automobile Insurance Act

To determine the amount of these contributions, we must first consult the Panel of Experts on Automobile Insurance Contributions

The Panel of Experts must hold a public consultation to seek public opinion on the proposed amendments to insurance contributions. Following the consultation, the Panel of Experts tables its recommendations with the SAAQ.

Useful information

The Panel of Experts in brief

The mandate of the Panel of Experts is established under sections 17.6 and 17.7 of the Act respecting the Société de l'assurance automobile du Québec (CQLR, c. S-11.011). Its members are appointed by the Government of Québec.

As part of its mandate, the Panel of Experts reviews the approach taken and checks the data used in support of the amendments to insurance contributions proposed by the SAAQ. Before giving its opinion, the Panel of Experts is required to hold a public consultation.

Proposed Insurance Contributions for 2019-2021

In 2019, most driver’s licence holders who had no demerit points—whether or not they owned a passenger vehicle—did not see their insurance contributions go up from 2018, as the road safety record stayed essentially unchanged for their class of licence. Certain vehicle owners saw their insurance contributions go down, whereas owners of vehicles in categories for which the road safety record deteriorated saw their insurance contributions go up.

Our proposal was presented to the Panel of Experts on Automobile Insurance Contributions in a document entitled Proposed Insurance Contributions for 2019-2021 (PDF, 7.2 MB). This document served as the basis for the public consultation. The Panel of Experts drew on the findings of the public consultation to provide its opinion through the following report (in French only): Avis du Conseil d’experts sur les contributions d’assurance proposées par la Société de l’assurance automobile du Québec pour les années 2019 à 2021.