Coverages Offered in British Columbia

We have explained vehicle insurance and licensing using clean and simple language. Where words or expressions used here differ from the wording of the Canadian Direct Insurance policy, the Canadian Direct Insurance policy wording will prevail.

What coverage do I get under my Canadian Direct Insurance auto insurance policy?

The wording of automobile policies is complicated and is subject to approval by provincial government officials. It is important that you read the policy carefully because it sets out precisely what insurance coverages you have, who is covered by the insurance, and how you make claims. 

We have answered some common questions below. These are only general overviews. To understand the details, please read the policy thoroughly. 

What is Third Party Legal Liability?

This is the portion of your insurance that pays compensatory damages for bodily injury and property damages suffered by others, in an accident involving your automobile, for which you are legally liable. The limit you purchase from Canadian Direct Insurance is inclusive of the compulsory basic $200,000CAD limit that must be purchased through the Insurance Corporation of British Columbia. So, if you have $2 million CAD of coverage, the government's insurance corporation covers the first $200,000CAD and Canadian Direct Insurance covers $1.8 million CAD. 

What's included in the compulsory basic coverage?

Canadian Direct Insurance does not provide the compulsory basic coverage. You must obtain this from the government-mandated insurer. You should refer to their materials carefully for details. Generally, their coverage includes, but is not limited to, $200,000CAD of third party liability coverage, Underinsured Motorist Protection, and some no-fault Accident Benefits that protect you, regardless of who is at fault in an accident. 

In BC, you are legally required to carry $200,000CAD worth of liability coverage. When you renew your coverage with a broker, you may simply request the basic coverage - you are not obligated to say you have purchased additional coverages elsewhere. 

What is a "Collision" Loss?

Collision coverage insures you for loss or damage caused to your automobile when it hits another vehicle or another object, such as a lamppost, wall or surface of the road. 

What is a "Comprehensive" Loss?

Comprehensive coverage insures you against losses other than collision, such as fire, theft, vandalism and impact with animals. 

What is a Deductible?

The deductible is the part of your loss you pay yourself. With Canadian Direct Insurance, there is no deductible for liability coverage. There is a deductible for Collision and Comprehensive. You can choose your own deductible. The higher the deductible (or the more of the loss you pay yourself), the lower the premium. Canadian Direct Insurance continues to offer low deductibles, with Comprehensive deductibles as low as $200 CAD and Collision deductibles starting at $300 CAD.