Car Insurance Guide
Everything you need to know about car insurance in Canada
Understand coverage types, provincial requirements, and how to find the best rates for your situation.
Required Coverage in Canada
Minimum insurance requirements vary by province
Third Party Liability
Covers injury or damage you cause to others. Minimum $200,000 in most provinces.
Accident Benefits
Covers medical expenses and income replacement for you and your passengers.
Uninsured Motorist
Protects you if hit by an uninsured or hit-and-run driver.
Direct Compensation
Covers property damage when the other driver is at fault (in some provinces).
Optional Coverage Types
Additional protection for your vehicle and peace of mind
Collision Coverage
Covers damage to your vehicle from collisions with other vehicles or objects, regardless of who is at fault.
Covers:
- • Accidents with other vehicles
- • Single-vehicle accidents
- • Hitting stationary objects
- • Vehicle rollovers
Comprehensive Coverage
Protects against non-collision damage to your vehicle from various perils and natural disasters.
Covers:
- • Theft and vandalism
- • Weather damage (hail, flood)
- • Fire and explosions
- • Animal collisions
Rental Car Coverage
Pays for rental car expenses while your vehicle is being repaired after a covered claim.
ConvenienceGap Insurance
Covers the difference between what you owe and what your car is worth if totaled.
Loan ProtectionRoadside Assistance
Provides help with breakdowns, flat tires, dead batteries, and emergency services.
Peace of MindProvincial Minimums
Minimum liability coverage by province
| Province/Territory | Minimum Liability | Recommended |
|---|---|---|
| Ontario | $200,000 | $1,000,000+ |
| Quebec | $50,000 | $1,000,000+ |
| British Columbia | $200,000 | $1,000,000+ |
| Alberta | $200,000 | $1,000,000+ |
| Manitoba | $200,000 | $1,000,000+ |
| Other Provinces | $200,000 | $1,000,000+ |
Insurance Rate Estimator
Get an approximate idea of your insurance costs
Money-Saving Tips
How to reduce your insurance premiums
Discounts to Ask About
- Multi-vehicle discount (10-15% savings)
- Bundling home and auto insurance
- Good student discount
- Defensive driving course completion
- Safety features (anti-theft, airbags)
- Low mileage discount
Smart Strategies
- Shop around annually for best rates
- Increase deductibles to lower premiums
- Maintain a clean driving record
- Consider usage-based insurance programs
- Pay annually instead of monthly
- Review coverage annually for changes
What Affects Your Rate
Understanding insurance rate factors
Age and Experience
Younger drivers and those with less experience typically pay higher rates due to increased risk.
Location
Urban areas with higher traffic density and crime rates typically have higher insurance costs.
Vehicle Type
Sports cars and luxury vehicles cost more to insure due to higher repair costs and theft risk.
Driving Record
Traffic violations, accidents, and claims history significantly impact your insurance premiums.