Am I Covered by Car Insurance When Travelling Out of Province?
When planning a road trip outside your home province, there are more factors to consider than just the route you’ll drive and the hotels you’ll stay at.
Whether you’re planning on sleeping in a tent in the woods or staying in a cozy cottage, it’s important to pack for the trip accordingly. This means that you might want to pack a few handy tools for your own comfort and protection. Of course, part of the planning stage must also include having a car that’s in good working order and carrying the adequate car insurance.
Fortunately, your auto insurance coverage will continue to cover you even if you go to another province or the United States. However, there is a catch: your coverage may not be adequate to cover the costs that occur if you (accidentally) harm someone in the United States.Talk to your broker about your liability limits— you may want to look at gettin these increased.
The Implementation of Car Insurance When Travelling in Canada and the U.S.
In both Canada and the United States, your auto insurance policy will follow you wherever you go. This means that you and your passengers can travel freely between provinces with the knowledge that you are covered.
In the United States, for instance, if you are injured in a car accident, your policy’s required accident benefits (AB) coverage will help pay for some of your medical bills. That said, your motor insurance coverage may not cover all your medical bills, so it’s still a good idea to look into travel insurance before leaving.
Get in touch with your insurance broker or agent to make sure that your optional coverages, such as collision and comprehensive, will be maintained while you’re in the United States. In the event that you need to file a claim with the organization, you should be aware of the procedures that must be followed.
In no-fault insurance systems, such as those used in Ontario and Quebec, policyholders work solely with their insurance company after an accident occurs. If you were involved in an accident in a province like Manitoba, your insurance company would negotiate with the other driver’s insurer to figure out who was at fault for the incident and, therefore, responsible for paying for repairs.
Take note that while visiting foreign nations, you may experience coverage issues. When driving in Mexico, most Canadian auto insurance coverage won’t even cover you. Before taking your car on the road, double-check with your insurer to be sure you’re adequately covered.
Additional Considerations for U.S. Trips
If occupants in another vehicle are injured, the situation becomes more complicated. In some places in the United States, like New Hampshire and Virginia, drivers are risking being on the road without auto insurance since it is not required by law. In short, there’s a chance you’ll have to pay for the other driver’s share of the damages in a collision if they don’t have insurance.
Provisions for this sort of thing typically exist in standard Canadian auto insurance policies. Uninsured motorist coverage, which kicks in if the other driver doesn’t have insurance, is mandatory in some places, like Ontario. Some jurisdictions do not even mandate this sort of coverage for drivers, but most will allow drivers to buy an add-on that provides it. You should also carry third-party liability insurance to help pay for repairs and medical bills incurred by the drivers and passengers of the other vehicles involved in an accident.
However, this risk may be too great for third-party liability insurance to handle. The bare minimum in Quebec is $50,000, but in Alberta and Ontario, it’s $200,000. That’s a lot of money, but it may quickly build up if you’re in even a little accident. For one, the Alberta Motor Association suggests a minimum of $1 million in coverage for precisely this reason.
Conclusion
Overall, it is important to check with your car insurance provider to see if your policy covers you when you travel out of the province. Some policies may provide limited coverage, while others may not cover you at all. If your policy does not cover you, you may be able to purchase temporary coverage from a third-party provider.
If you are looking for a great source of car insurance in Lethbridge, look no further than what we have to offer here at Kirkham Insurance. We are one of the leading insurance companies in Lethbridge, Canada, offering a wide range of insurance, including car, home, auto, commercial, and life insurance. Call us today, and let us discuss your insurance options.
