Mandatory Coverages
| Bodily Injury | Most people do not have the money to pay for the losses they might cause while driving (self-insured), so the provincial government requires drivers to carry at least a minimum of $200,000 third-party liability coverage for any losses they might cause others to suffer. In New Brunswick, the person who is not at fault has the right to sue the at-fault driver in certain circumstances for additional costs and damages not covered by accident benefits coverage. |
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| Property Damage | Covers costs to repair or replace property other than vehicles (i.e. damage caused by your vehicle to a telephone pole, landscaping, a house). |
| Direct Compensation Property Damage (DCPD) | The DCPD section of the automobile policy covers damages to your vehicle or its contents to the extent that another person operating a vehicle also covered by DCPD is at-fault for the accident. It is called Direct Compensation because the insured collects from their own insurer instead of from the insurance company of the at-fault driver. This saves money and time for policyholders as they are dealing with their own insurance company. |
| Accident Benefits | Pays for medical treatment, income replacement and other benefits to help you recover if you are injured in a collision. This coverage also provides funeral expenses and payments to your survivors if you are killed in a collision. These benefits may also be referred to as “no-fault benefits”, which means they are paid to you by your insurer regardless of who caused the collision. This coverage is referred to as “Section B” benefits |
Optional Coverages
| Collision | Pays for the cost of repairing your car following a collision with another car or an object such as a tree, animal, guardrail or pothole. This coverage is referred to as “Section C” benefits. |
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| Comprehensive | Insures against loss or damage to your car resulting from miscellaneous causes including fire, theft, windstorm, hail, rising water, malicious mischief, riot or civil commotion, explosion, earthquake, falling or flying objects, vandalism, missiles, etc. but normally not including loss by collision or upset. |
| Specified Perils | Pays only for losses caused by perils specifically listed in your policy. These perils are; fire, theft or attempted theft, lightning, hail, rising water, earthquake, windstorm, explosion, riot or civil disturbance, the falling or forced landing of aircraft or parts of aircraft, the stranding, sinking, burning, derailment or collision of any kind of transport in, or upon which, a described automobile is being carried on land or water. |
| Endorsements |
You may purchase optional insurance, known as “endorsements,” including these types of coverage: Loss of Use Coverage pays for a rental car or alternate transportation (such as taxi or train fares) while your car is being repaired. Coverage for physical damage to a rental car provides you with collision and comprehensive coverage, which is particularly useful for drivers who frequently rent cars in Canada and the United States. Depreciation waiver coverage ensures you receive the full value of what you paid for your car – without depreciation – and is specifically designed for new cars. Family protection coverage pays for injuries to you and your family from the actions of an at-fault, under-insured driver. This coverage ensures that you and your family are covered to your own policy’s limits regardless of the other person’s coverage levels. Collision forgiveness protection keeps your premium from increasing in the event of your first at-fault collision. |