Do you have the necessary peace of mind driving your car? The auto insurance coverage you take out will highly determine whether you will have peace of mind or not.
In Canada, basic auto insurance is mandatory. However, each provincial government determines the benefits included as minimum required auto insurance.
There are hundreds, if not thousands, of private insurance companies offering auto insurance to car owners in Canada. To get the best car insurance companies Canada – and thus get the best insurance deal – you need to understand the minimum amount of insurance your provincial government requires that you carry.
The following is the minimum required auto insurance in Canada:
- Medical Payments
In the event of a car accident, your insurer clears hospital bills for the covered party, his family, and his passengers (driving in the vehicle at the time of the auto accident). The insurance policy helps cover medical expenses associated with car accidents.
This extension of your auto insurance policy can also cover you or your family if you are injured in another vehicle or injured as a pedestrian.
In Canada, this coverage is mandatory but the amount may vary from one province to another. Talk to car insurance providers Alberta for more information.
In Ontario, the minimums are $50,000/person for non-minor injury; $3,500 for minor injury and $1 million for catastrophic injury. In Alberta, the minimums are $50,000/person; $250 massage therapy per person per accident and $750 chiropractic per person per accident. In Saskatchewan, the minimums are $24,954/person for non-catastrophic injury and $187,158/person for catastrophic injury.
- Compulsory Minimum Third-Party Liability
If, in the event of a motor accident, your car causes injuries to third parties or damages other people’s property, you may be legally liable. With third party liability coverage, the insurer will take care of all the payments on your behalf.
The minimum for third party liability is usually $200,000, but most car owners go with $1 million.
- Uninsured Automobile Coverage
This section of your auto insurance policy covers you in the event of an auto accident with an uninsured driver. It also covers you in case an unidentified car causes injury to you or damage to your car.
This cover enables you to collect compensation directly from your insurer when a third party does not carry insurance.
Among the provinces where this coverage is mandatory are Ontario and Alberta. For this coverage, talk to car insurance providers Alberta and Canada.
- Accident benefits cover
If, in the event of an auto accident, you incur expenses, this cover may cover a percentage of the expenses – regardless of who is at fault.
Some of the expenses covered are income replacement, funeral expenses, medical expenses and physiotherapy expenses. This coverage is mandatory throughout Canada.
NB: The information above is intended as general information only. In case of discrepancy between the information and your policy, your auto insurance policy prevails.