Legal Requirement: The Basics about Auto Insurance in Canada

We understand the importance of insuring our cars. However, the bigger question is whether we need to invest in comprehensive coverage. After all, the law only requires us to get third-party liability insurance.

Most of us are willing to settle for the required auto insurance, but you should consider asking yourself the following questions:

• Can you afford to replace another person’s vehicle?
• Do you have enough to pay for repairs on property damages?
• Do you have the financial capacity to take care of legal fees?

You may already have the legally required auto insurance, but it does not mean that you are protected. Before you dismiss this as another article not worth your time, you should note the possible financial repercussions if you are involved in a car accident.

What Are the Legal Consequences If I Am Caught without  Car Insurance in Canada?

The penalty for driving without auto insurance is different in every Canadian province. Moreover, you have to have your insurance card when traffic stops.

The legal consequences depend on where you are caught without car insurance. If the police officer handling your case believes that you were not complying with the law, you may be charged with a serious offense. However, if you are not caught on the spot, you may be issued a traffic ticket.  

Please note that your insurance provider has to be notified in case of severe injuries and property damage. In case of a road accident in which you caused damage, you should be the first one to inform the police and other drivers involved.      

Is Coverage the Same across Canada?

The Canadian provinces have varying requirements for car insurance in the region. Every province has strict laws to ensure motorists are covered for liability. Motorists are legally required to show proof of financial responsibility to drive.

You may be worried that your insurance company may not pay in case of an accident. While the legal requirements vary in each province, the good news is that you can get the same coverage everywhere. In the past, you had to check out the local requirements before getting your insurance.  

The good news is that your insurance company should be able to provide you with the same coverage across the country.  You should insure your vehicle in the province that it is licensed and registered. An insurance broker can help you with this. 

Insurance laws for car owners are constantly changing. Therefore, it is essential to ensure you keep your insurance up-to-date. The best way to protect yourself against accidents is to purchase the highest level of car insurance available.

Conclusion

It would help if you remembered that you are legally required to get auto insurance for your car. If you do not have it, there is a high probability that you may be penalised for driving without car insurance.

The law can inflict harsh punishment on those caught driving without car insurance. It is essential to check whether you have the required car insurance before driving your car. If you get caught driving without the necessary car insurance, you could be charged with a serious offense. Moreover, your financial responsibility in case of an accident will be determined by the law. 

Now that you see the significance of getting ample coverage, you should get a quote from Kirkham Insurance. We provide auto insurance in Lethbridge. Call us now for more details.