Auto Insurance Policies in Canada: Understanding Provincial Differences
In Canada, auto insurance is mandatory everywhere, but the rules, system types, and basic coverage requirements vary greatly from one province or territory to another. It’s essential to understand the specifics of your region to ensure you’re properly protected on the road.
Here is a detailed overview of auto insurance policies by province and territory:
Quebec
Quebec operates under a hybrid system:
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The SAAQ (Société de l’assurance automobile du Québec) manages compensation for bodily injuries resulting from accidents, regardless of fault.
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Private insurance, purchased through insurance companies, covers property damage (collision, theft, fire, liability).
Ontario
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The system is entirely private. All drivers must purchase insurance through a private company.
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Mandatory coverage includes: third-party liability, medical benefits, accident benefits, uninsured motorist protection, and property damage coverage.
British Columbia
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Public insurance is mandatory through ICBC (Insurance Corporation of British Columbia) for basic coverage.
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Additional coverage (collision, comprehensive protection) can be purchased through ICBC or private insurers.
Alberta
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Fully private insurance system.
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Minimum third-party liability coverage is required. Drivers can customize their policy with optional coverage.
Manitoba
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Public insurance is mandatory through Manitoba Public Insurance (MPI).
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Basic coverage includes bodily injury, third-party liability, and uninsured motorist protection.
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Additional coverage is available through MPI or the private market.
Saskatchewan
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Public system managed by SGI (Saskatchewan Government Insurance).
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Two options: a no-fault plan or a tort plan (traditional third-party liability).
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Basic mandatory coverage is supplemented by optional coverage.
Atlantic Provinces (Nova Scotia, New Brunswick, Newfoundland and Labrador, Prince Edward Island)
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Primarily private insurance systems.
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Minimum third-party liability coverage is required.
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Drivers can enhance their policies with optional coverages (collision, comprehensive, replacement benefits).
Territories (Yukon, Northwest Territories, Nunavut)
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Private insurance systems.
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Minimum third-party liability coverage required by territorial laws.
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Optional additional coverages are available.
Why Is This Important?
Each province and territory has its own requirements. What’s mandatory in Quebec may not be required in Alberta or British Columbia. Minimum coverage limits also vary.
👉 Our team is here to help you choose the right insurance, tailored to your province and personal situation.
Whether you’re an experienced driver or new to Canada, we help you protect what matters most.
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