Td Car Insurance Quote New Brunswick

Understand the Different Types of Car Insurance Coverage

When you're shopping for car insurance in New Brunswick, it's important to understand the different types of coverage available and their benefits. While the minimum coverage required by law is liability coverage, there are other types of coverage that can provide additional protection against financial losses in the event of an accident. Understanding the different types of coverage can help you decide which type of insurance policy is best for you and your family.

Liability Coverage

Liability coverage is the minimum amount of car insurance required by law in New Brunswick. This coverage pays for damages that are caused by the insured driver to another person or their property. It also covers legal fees and medical bills incurred by the other party. Liability coverage is divided into two types: bodily injury and property damage. The minimum amounts of coverage required by law are $250,000 for bodily injury and $50,000 for property damage.

Collision Coverage

Collision coverage pays for damages to your vehicle when you are involved in an accident. It does not cover damages caused to other people or their property. This type of coverage is generally required if you have a loan or lease on your vehicle. The amount of coverage you should purchase depends on the value of your car, the amount of your deductible, and other factors.

Comprehensive Coverage

Comprehensive coverage pays for damages to your car caused by something other than a collision, such as theft, vandalism, fire, or hail. It also covers losses due to certain types of natural disasters, such as flooding and earthquakes. This type of coverage is generally required if you have a loan or lease on your vehicle. The amount of coverage you should purchase depends on the value of your car, the amount of your deductible, and other factors.

Uninsured/Underinsured Motorist Protection

Uninsured/underinsured motorist protection pays for damages to your vehicle if you are in an accident with an uninsured or underinsured motorist. This type of coverage is not required by law, but it is highly recommended. The amount of coverage you should purchase depends on the value of your car, the amount of your deductible, and other factors.

Conclusion

When shopping for car insurance in New Brunswick, it's important to understand the different types of coverage available and their benefits. While the minimum coverage required by law is liability coverage, there are other types of coverage that can provide additional protection against financial losses in the event of an accident. Understanding the different types of coverage can help you decide which type of insurance policy is best for you and your family.