Car Insurance Facts

The technicalities of vehicle insurance in Canada are very complicated. Therefore it is advisable that you study the fine print on your vehicle insurance policy documents upfront so that you are aware of your rights should you be involved in a vehicle accident. The individual merits of every individual accident and or policy determine the availability of benefits which specific member is entitled to.

Certain Canadian provincial governments have allowed injured policy holders to be compensated for any financial losses caused by a vehicle accident, whether or not the insured motorist or the other party caused the accident. The Insurance Act governs no-fault benefits and accident benefits which are offered by most vehicle insurers in Canada.

Expenses such as rehabilitation and medical expenses, housekeeping and nursing care expenses and loss of earnings benefits are available in Canadian under standard vehicle insurance policies.

Canadian insurers are required to inform policyholders of their right to add “optional benefits” to their basic or standard packages. This will provide injured vehicle insurance policy holders with added benefits in case of an accident.

Should an accident occur, you need to urgently file an Application for Accident Benefits with the insurance company straight away and go to a doctor to get a medical report as evidence of the severity of your injuries. Insurance companies want this before claims can be paid out.

Motorists injured in Canada are able to sue for the loss of income and other expenses resulting from motor vehicle accidents. Motorists injured in vehicle accidents in Canada are entitled to an 80 percent portion of their net after-tax income lost up and until the trial date as well as 100 percent of gross lost future income after the trial date. Earnings post-accident will be deducted from the loss of income claim if the injured motorist be able to return to work.

Close family members and spouses of injured motorists are also entitled to sue in tort for certain losses incurred resulting from a vehicle accident, as governed by the Canadian Family Law Act. Losses incurred could include losses of guidance, care and companionship, which the injured spouse is now unable to provide.

Third party auto insurance policies cover the member if an under-insured, uninsured or unidentified motorist caused the accident.

Members don’t always realize that they are able to sue “in tort”, therefore if is advisable that they seek legal counsel as soon as they can in order for a lawyer to help them understand their rights and to help them come to an informed decision. Many respectable law firms offer this service on a pro-bono basis, so it’s prudent to get it done as soon as possible so as to not miss deadlines.

Vehicle insurance policies in Canada differ from province to province. Certain types of vehicle insurance policies that are mandatory in one province may not be mandatory in other provinces.

In Quebec, a Provincial Fund pays for medical care and fixed payments as opposed to offering Personal Injury Claims where pain and suffering and loss of earnings claims are available.

Other types of vehicle insurance policies that Canadians can opt for include collision coverage and third party vehicle insurance policies.

To ensure that you get paid for your claim, remember to report the accident straight away to your vehicle insurance company. Additionally, report the accident as soon as you can to the local police department. Finally, file your claim against your vehicle insurance within 90 days of the date on which the accident took place.

All drivers should protect themselves with the best car insurance policy. By entrusting in a reliable auto insurance dealership, you are guaranteed efficient roadside assistance during times of crisis.