Mandatory auto coverages where you live (2024)

Mandatory auto coverages where you live (1)

From British Columbia to Nunavut and Prince Edward Island, every province and territory has unique mandatory auto insurance coverage requirements. Make sure you understand what coverage you need to drive your car wherever you are.

  • Know what you’re responsible for in each province
  • Alberta
  • British Columbia
  • Manitoba
  • New Brunswick
  • Newfoundland and Labrador
  • Northwest Territories
  • Nova Scotia
  • Nunavut
  • Ontario
  • Prince Edward Island
  • Québec
  • Saskatchewan
  • Yukon

Know what you’re responsible for in each province

Auto coverage provides protection for personal injury and property damage. Across Canada, the minimum coverage you are required by law to purchase is also referred to as mandatory coverage. Where and how you can purchase auto insurance coverage is set out by provinces and territories. For example:

  • In Alberta, Ontario, Nova Scotia, New Brunswick, Newfoundland, Northwest Territories, Nunavut, Prince Edward Island and Yukon you can buy from a private insurer.

  • In British Columbia, Manitoba and Saskatchewan, you must buy mandatory minimum coverage from the government insurer, and can purchase optional coverages from private insurers.

  • In Québec, you must buy bodily injury coverage from the government insurer and property damage coverage from a private insurer.

The following general information is provided for educational purposes only and is subject to change. It’s important to refer to provincial and territorial government and regulator resources for specifics about current mandatory auto insurance requirements.

Some helpful government sources are listed below for your reference.

We recommend you consult with a local qualified insurance representative for up-to-date information.

Working with an insurance representative who understands your auto insurance requirements can help you choose the best coverage for your vehicle.”

You might also be interested

  • How auto rates are setLearn what factors insurers consider when calculating your rates.
  • How cars measure upSee how the car you drive impacts your insurance.
  • How to file a claimUnderstand what’s required of you and tips for a smoother process if you need to file a claim.
Mandatory auto coverages where you live (2024)


Why do insurance companies ask who lives with you? ›

When an insurer asks you to list household members, they're trying to get a complete picture of your situation and the extent of the risk they will be insuring. If you give them an accurate look, they can properly calculate risk and quote you the right premium.

Why does where you live affect car insurance? ›

Your auto insurance rates are directly impacted by the risks associated with the location you live in. Living in a neighborhood that your insurance company considers “high-risk” can result in higher premiums.

Can my parents add me to their car insurance if I don t live with them? ›

Adding a driver who doesn't live with you gets complicated and often depends on your insurer and state insurance laws. A common exception to this rule is that insurers will allow adult children to remain on their parents' auto insurance policy when they go off to college and take a family car.

What is the minimum amount of coverage that you must have on your vehicle? ›

Here are the minimum liability insurance requirements (per California Insurance Code §11580.1b): $15,000 for injury/death to one person. $30,000 for injury/death to more than one person. $5,000 for damage to property.

Can people in same household have different car insurance? ›

Yes, you can have two separate policies. This can have its benefits in some cases. However, you will still need to be listed on each other's policies as household members/spouses but you can be excluded. Being excluded means you would not be covered under the policy at all.

Does it matter who is the policy holder on car insurance? ›

Policyholders affect how much the car insurance costs and, in most cases, the policyholder is the only person who can make changes to the policy. The policyholder is also the person that is responsible for making sure premium payments are up-to-date.

Why does zip code matter for insurance? ›

Certain ZIP codes pose a greater risk due to crime, accidents, population density, and weather, making insurance rates higher. While where you live is a key factor in determining your insurance rates, it's not the only thing insurers look at.

Why is zip code important for insurance? ›

Auto insurance underwriters use the statistical data associated with your ZIP code to determine the risk of insuring your vehicle where you live. Some of the risk factors they might consider include: Average claims history in that ZIP code. Population density.

What determines your insurance premium answers? ›

Many variables factor into the amount that you'll pay, but the main considerations are the level of coverage that you'll receive and personal information such as age and personal information. For car insurance, that could mean age and driving record.

Is it cheaper to stay on parents car insurance? ›

For one thing, you might wonder if it is cheaper to get your own auto insurance policy, but the truth is, it's most likely not. Unless you are over the age of 25 and have a perfect driving record, it will be cheaper for you to just stay on your parents' policy. Your rate is based entirely on risk.

What age should I get off my parents car insurance? ›

And unlike health insurance, there is no age limit that would prevent you from staying on your parents' car insurance.

Can my dad add me to his car insurance if I don t live with him? ›

Can I add someone to my car insurance that doesn't live with me? Yes, if the person drives your car regularly, then you should add them to your insurance policy.

What states is car insurance not required? ›

States With Minimal Car Insurance Requirements

Although New Hampshire and Virginia are the only states with no auto insurance requirements, Florida and New Jersey are the other two that don't require bodily injury liability, which pays for the other party's injuries in the event of an accident that you caused.

What are the 3 limits of insurance policies? ›

Types of Insurance Policy Limits
  • Per-occurrence limits: The maximum amount an insurer will pay for a single event/claim.
  • Per-person limits: The maximum amount an insurer will pay for one person's claims.
  • Combined limits: A single limit that can be applied to several coverage types.
Apr 14, 2022

Which insurance is required in all 50 states? ›

Car insurance is mandatory in almost every state. State minimums and coverage types vary, but nearly all states that mandate insurance require liability coverage for property damage and bodily injury. The sole exception is Florida, which only requires liability coverage for property damage, in addition to PIP coverage.

Can you put someone who lives with you on your insurance? ›

Some health insurance plans allow you to add a domestic partner to your plan as long as you can provide proof of your committed relationship. This may include living together for a certain period of time or having a joint financial account.

Why do life insurance companies want to know if you have other insurance? ›

Life insurance companies ask about other insurance policies to assess the overall risk they are undertaking when insuring an individual. Knowing about other policies helps insurers determine the policyholder's financial exposure and ensure that the coverage amount is appropriate.

Does it matter who the primary driver is? ›

The car's primary driver is the person who will use it the most; thus, the vehicle is subject to their driving habits. This plays a role in determining how much the car insurance rates will be for the policyholder.

Does it matter whose name is on the car insurance card? ›

It doesn't matter if your name is not on the card. The insurance covers the car, not the individual.

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