Nunavut Car Insurance

A car insurance is an important purchase for every car owner. In case of an accident, a car insurance can shield you from shelling out large sums of money to cover for expenses. What are the government's requirements when it comes to car insurance in Nunavut?

Mandatory car insurance

Canadian provinces have mandatory car insurance. All car owners must have this car insurance before they can register their cars. In Nunavut, the mandatory car insurance can be bought from private insurance companies.

Coverage

If you are responsible for the car accident, the mandatory car insurance has a third-party liability coverage for physical injury which amounts to $200,000. If aside from the physical injury there is also property damage, maximum of $10,000 is added to cover for property damage. Medical expenses are also covered by the car insurance company by up to $25,000 for 4 years. $1,000 is the coverage for funeral expenses. If you were injured or disabled in the accident, there is an income replacement coverage which is computed as 80% of your gross income or up to $140 every week for 104 weeks. There are also death benefits wherein your spouse will receive $10,000 and $2,000 for every dependent offspring. Additional $1,500 is given if there is only one surviving spouse or offspring.

Optional car insurance

Because the mandatory car insurance only has few inclusions, many Nunavut residents buy optional car insurance. For instance, you can buy optional car insurance to increase the $200,000 limit for third-party liability. There are also products that include coverage in cases of storms or flooding.