Nova Scotia Car Insurance

There are many different types of car insurance coverage available in Nova Scotia – some are mandatory, and some you can choose to fit your lifestyle.

• Third Party Liability Coverage – Liability coverage (also known as “PLPD”) is the only auto insurance coverage that is legally required in every province. This coverage ensures that any damage you may cause to other people or their property while driving an insured vehicle is covered. Medical bills, homes, yards, and belongings of others are all covered under third party liability if you are considered at-fault.
• Collision Coverage – This optional coverage covers physical damage to your vehicle if you are in an at-fault accident and hit another vehicle or stationary object. This is also the coverage that will help replace your vehicle if it is written off by the insurance company. Collision coverage is often mandatory if your vehicle is leased or financed.
• Comprehensive Coverage – Comprehensive coverage may also be mandatory when leasing or financing a vehicle. This coverage provides repair or replacement after a theft, vandalism, fire, collision with wildlife, or certain natural disasters. This is the coverage that would apply if you chip or break your windshield.

There are many add-ons available for standard car insurance policies, see our blog post on 5 Car Insurance Add-Ons That Could Save Your Tail – and always give your insurance broker the bird’s-eye view of your lifestyle, so they can ensure you have the right coverage for the road ahead.

In Nova Scotia, there isn’t one car insurance price that applies to everyone or all situations.

There are a number of different insurance companies that sell car insurance in Nova Scotia, and each company has their own set of “rating factors” that impact the price someone will pay for car insurance.

The most common rating factors are outlined below:

• Driving records & insurance histories – including years licensed, years insured, at-fault car accidents, traffic tickets and other violations, drivers license suspensions and past insurance payment issues for all drivers listed on the policy.
• Vehicle factors – including how often the make/model of your car gets in accidents, the cost to repair it, the cost of the damages typically caused to other vehicles when they get in a collision with vehicles of the same make/model, how often the make/model of your car is stolen, etc.
• Location factors – including how often there are car accidents in your area and how severe those accidents are, traffic patterns, vehicle theft and vandelism statistics in your area, etc. Most companies have Nova Scotia broken down into different “rating terrotories” that impact the price of car insurance in that area.
• Discounts – including credit-based discounts, telematics discounts, occupation / alumni discounts, multi-policy and multi-vehicle discounts, and stability discounts. Check out our blog for a more detailed overview of each.

Each insurance company has their own algorithms that calculate how these rating factors impact the car insurance price offered to each person. Pricing varies from person to person based on these factors.

No-fault insurance is a type of car insurance where your own insurance company pays for your damages and injuries in the event of a car accident, regardless of who was at-fault. The idea behind no-fault insurance is that claims will progress more quickly and payments for car repairs or medical injuries will reach those affected sooner.

As a general rule, we always say “if you lend your vehicle, you lend your insurance” – this means that if you drive someone else’s vehicle and have an accident or claim, it will be counted as a claim on their insurance policy, not yours. Keep in mind that you must be fully licensed and have your auto insurance coverage to be covered under anyone else’s insurance.

Some policies may have restrictions or limitations on coverage for driving other people’s vehicles. Don’t wing it when it comes to driving someone else’s car – ask your insurance broker to make sure you’re properly covered.