When it comes time to insuring your vehicle, you must get compulsory liability insurance. You can also add any optional coverage which may be useful or required by your creditor.
Compulsory coverage
Under Quebec’s Automobile Insurance Act, all owners of vehicles on the road in Quebec are required to purchase civil liability insurance of at least $50,000 (for private passenger vehicles).
This insurance covers:
- Damage resulting from a collision within the Quebec province where the policyholder is not at fault.
- Property damage and bodily injury where the accident occurs outside Quebec.
- Damage caused to a third party for which the policyholder is at fault.
While the compulsory minimum is $50,000, most drivers hold $1 or $2 million of liability coverage.
Optional coverage
You’re not required to purchase insurance coverage for damage caused to the insured vehicle, but most drivers do so to avoid financial hassles or to meet the requirements of their creditor. Thus, you can add different optional coverage, including, for collision or upset, fire, theft or vandalism, all perils or “replacement” cost.
Insurers offer a number of options depending on each consumer’s needs. Find out more at infoinsurance.ca.
