Glossary of Automobile Insurance Coverages

Section A; Third Party Liability Insurance
Third party liability insurance covers you if your vehicle injures someone else or damages his or her property... and you are held legally liable. Should a claim against you be more than your level of coverage, you can be held personally responsible for the balance. For this reason, most drivers purchase more than the minimum coverage required by law ($500,000 in NS & NB).

Section B; Accident Benefits
This coverage provides compensation, regardless of fault, if you, your passengers, or pedestrians suffer injury or death in an automobile collision. Accident benefits coverage is compulsory in all provinces except Newfoundland and Labrador.

Section C; First Party Insurance
This provides Physical Damage coverage (for collision, wind, fire, theft, vandalism etc.) for your own vehicle. Loss or damage from mechanical breakdown, normal wear and tear, rust, corrosion, and so on is not covered.

Section D; Uninsured and Unidentified Automobile Coverage
Protects you if you are the victim in an accident with an uninsured or unidentified automobile.





Loss of use (SEF No. 20)
This coverage pays a specified daily amount subject to an overall limit for rental of a vehicle while yours is being repaired. This can be used for car rental, taxis or public transportation. If you have All Perils, Comprehensive, or Specified Perils coverage, your policy automatically gives a certain amount of Loss of Use coverage if your vehicle is stolen.

Legal Liability for Non Owned Automobiles (SEF No. 27)
May provide coverage for the Insured, his or her Spouse against liability imposed by law or assumed by him or her under contract or agreement for loss or damage arising from the care, custody or control of any automobile not owned by or licensed in the name of the Insured or any person or persons residing in the same dwelling.

This coverage is typically added to a policy when a vehicle is rented while away from Home, it allows the individual to waive collision coverage from the rental company. They must have that coverage on their policy.

Optional Supplementary Benefits Section B - Accident Benefits (SEF No. 48)
(Nova Scotia Only)

	Standard	Enhanced (SEF No 48)
Medical or Rehabilitation Expenses	$25,000	$50,000
Funeral Expenses	$1,000	$2,500
Death Benefit (Head of Household)	$10,000	$25,000
Death Benefit (Spouse of Head of Household)	$10,000	$25,000
Death Benefit - Dependant	$2,000	$5,000
Loss of Income – weekly payment	$140	$250
Loss of Income - Principal Unpaid Housekeeper, weekly payment	$70	$100