Third-party liability insurance in Northwest Territories: As in other Canadian provinces and territories, residents of the Northwest Territories must carry at least $200,000 in third party liability insurance in order to legally operate a vehicle. This type of insurance covers any injury or death caused to others if you get into a car accident, as well as property damage.
Uninsured motorist coverage in Northwest Territories: Despite it being mandatory to carry an auto insurance policy to drive in Canada, not everyone follows the rules. This type of insurance coverage will cover you if you’re in an accident with an uninsured driver.
Accident benefits coverage in Northwest Territories: If you’re ever in a car accident (and we hope you’re not), it’s likely you’ll sustain some sort of injury. Accident benefits insurance covers your medical bills if you’re injured in a crash, whether or not you’re at fault.
No-fault insurance in Northwest Territories: Now, this isn’t a type of insurance you can buy, but rather, it’s a type of auto insurance regulatory system. Like many other provinces and territories, the Northwest Territories has a no-fault insurance system. This means that you’re required to go through your insurance company first for all claims before bringing a lawsuit. However, in the Northwest Territories, the driver who’s not at fault is allowed to sue the at-fault driver for any expenses or damages not covered by their accident benefits insurance.
In addition to the mandatory coverages, drivers can also choose to purchase additional coverages:
Collision coverage in Northwest Territories: This covers damages sustained to your vehicle from a collision. For example, if your car is damaged in a crash with another vehicle or a stationary object.
Comprehensive coverage in Northwest Territories: There are countless other things that can happen to your car that have nothing to do with driving. Comprehensive coverage covers all of these events. These might include theft, vandalism or damage from flooding or falling trees.
Specified perils insurance in Northwest Territories: This type of insurance will only cover the financial losses from perils you specifically select. Some of these might include fire, flood, theft, explosions, and a number of other things.
All-perils insurance in Northwest Territories: Lastly, all-perils insurance is another type of optional car insurance for Northwest Territories drivers. This insurance is a combination of collision and comprehensive, and also covers you if someone who services your car steals or damages it.
Here are some types of insurance that are available elsewhere in Canada which are not available in Northwest Territories.
Direct compensation property damage insurance in Northwest Territories: Drivers in Northwest Territories are also required to hold direct compensation property damage (DCPD) coverage. This covers damages caused to your vehicle when another driver is at fault for the accident. With DCPD, you collect benefits from your own insurer even if the damages were caused by someone else.