Canada may soon see its first electric vehicles from China, following recent discussions between finance and trade leaders in Ottawa and Beijing. While much of the attention has focused on passenger cars, transformation may also come in the commercial sector, where fleets of trucks, delivery vans, and other vehicles are increasingly moving toward electric and autonomous technology.
For commercial operators, this shift is not just about going green – it’s about efficiency, cost savings, and staying competitive.
But as fleets integrate new technology, insurers and brokers are facing uncharted territory, balancing innovation with risk management in ways that have rarely been tested in Canada.
Clinton D’Souza, senior vice president of specialty commercial auto transportation placement at Marsh Canada, says adoption is happening gradually, with a focus on early pilots and specialized fleets.
"The commercial EV and autonomous vehicle space is still niche, but it’s gaining traction," D’Souza said. "Early adopters, like grocery chains piloting autonomous deliveries, are showing what’s possible, and other companies are starting to take notice."
One high-profile example is Loblaws’ collaboration with Gatik, which has been testing autonomous delivery vehicles in Canada for several years. According to D’Souza, the partnership is expanding, signaling growing confidence in autonomous technology for commercial operations.
"These pilots are about testing, learning, and building a foundation for wider adoption," he said. "Once companies see that the technology works safely and efficiently, adoption in other sectors will naturally follow."
Canada’s commercial EV and autonomous adoption, however, is far from plug-and-play. Several layers of coordination are required.
"Adopting these vehicles isn’t just about buying them," D’Souza explained. "You need city bylaws, provincial regulations, insurance frameworks, and fleet operators all aligned. It’s a collaborative effort."
From an insurance perspective, EVs and autonomous vehicles present unique hardships. Telematics, AI-driven navigation, and advanced battery systems mean that claims can be more complex and costly. Traditional auto policies may not cover all scenarios, particularly when liability blurs between manufacturers, fleet operators, and technology providers.
"It’s a challenge for the insurance market," D’Souza said. "With limited data and very few carriers actively writing autonomous vehicle coverage in Canada, brokers and insurers need to be forward-looking and proactive."
He points to the need for integrated risk management, where insurance is not just about covering accidents after they happen but about preventing losses before they occur. Telematics data, for example, can allow fleet operators to track vehicle usage, monitor battery health, and predict potential maintenance or safety issues.
"Part of autonomous and EV adoption is gathering data," D’Souza said. "You need to understand how the vehicle moves, how it’s performing, and how risks evolve in real time. That’s critical for underwriting and managing liability."
The insurance landscape is also shaped by regulatory differences. Canada’s liability and insurance regulations differ from the US, and Ontario’s relatively favorable framework makes it an attractive testing ground for companies considering commercial EV or autonomous fleets.
"Canada is often a place to test these vehicles because of our insurance and auto regulations," D’Souza noted. "There’s less exposure to nuclear verdicts or extreme litigation, which makes adoption less risky compared to some US jurisdictions."
Looking ahead, Ontario’s ambitious target of producing 400,000 electric and hybrid vehicles by 2030 underscores the potential pace of change, along with the news from China. For commercial fleets, this goal means preparing for new claims scenarios, including higher repair costs due to complex EV technology, and liability considerations tied to autonomous systems.
"Brokers who understand the technology and can guide clients on risk management will be essential," D’Souza said. "It’s an exciting time for innovation, but also a time to plan carefully."
Beyond the commercial and insurance implications, the environmental benefits are significant. Autonomous EVs are not only reducing emissions but also creating opportunities for more efficient logistics and fleet operations. As clean energy policies take hold and global EV supply chains expand – including imports from China – Canadian fleets are positioned at the intersection of innovation, sustainability, and risk management.
"We’re entering a period where technology is expanding faster than policy or traditional insurance can keep up," D’Souza observed. "Understanding these dynamics now will be critical for fleets, insurers, and brokers alike."
