No matter where you live in Canada, each province has its own distinct differences; from geography to auto insurance. Each province handles auto insurance differently. Some provinces provide coverage through the government, some only provide partial coverage, and some might not provide any. It is a legal requirement in Canada to have automobile insurance on your vehicle. So, if you’re moving to a different province, it’s important to remember that auto insurance is regulated by the provincial governments, and these regulations are different in each one. It is mandatory to hold insurance from an insurance company in the province in which you reside. In this article, we discuss some of the considerations for registering for auto insurance in a new province.
Do I need to cancel my previous insurance?
Unlike home insurance, you do not have to cancel your auto insurance policy all together when moving to another province. Unless, of course, your provider does not offer coverage in your new province. No matter where you’re moving to, you need to report your change of address to your isure broker. In most cases, you can keep your current auto policy. However, there will need to be some changes made, which will likely affect the cost of your premiums.
How your premiums and coverage may be affected
When moving to a new province, you may have different coverage requirements than that of your current province. This, in turn, may have an impact on your coverage and premiums. Depending on the provincial regulations, you may need to add on certain coverage options to your existing policy. Likewise, you may have the ability to remove some coverage no longer required in your new province’s insurance regulations. Ontario is known to have notoriously high premiums. Therefore, depending on the province you are moving to, you can experience a significant drop in your premiums by leaving Ontario. Conversely, taking up residence in the 416 can cause a spike in your current rates.
Government-run auto insurance
In some provinces, like British Columbia, Saskatchewan, or Manitoba, all drivers are required to obtain government-run auto insurance in order to legally drive in the province. You may have no choice but to abandon the bulk of your current auto insurance policy. However, you are still able to rely on your pre-existing private insurer for auto insurance add-ons and additional coverage.
Here are the avenues you need to take if you are moving to public insurance:
- British Columbia: Insurance Corporation of British Columbia
- Manitoba: Manitoba Public Insurance
- Saskatchewan: Saskatchewan Government Insurance (also known as the Saskatchewan Auto Fund)
Registering for auto insurance in a new province
If you are moving from one province to another with your vehicle, the provincial government generally gives you 90 days to switch your licence and insurance, as well as the plates on your car. To do so, you will require:
- Your driver’s license
- The complete Used Vehicle Information Package
- Proof of purchase
- Proof of insurance from a licensed insurer inside the province
- Original transfer of sale permit
- The plate portion of the permit
6 auto insurance tips when moving to a new province
Insurance regulations differ all over Canada. Some provinces require things that others don’t. Before your move, it’s important to educate yourself about the insurance laws in your new province before registering for auto insurance. Here are a few things you’ll need to do before your move for a smooth experience when it comes to obtaining car insurance:
1. Do not cancel your car insurance until you get a new policy
This is one of the most common mistakes that movers make. If you move to a new province, the grace period given to allow new residents to register their vehicles ranges between 30-90 days. It is important to confirm that your current insurer can provide coverage in the new location. If not, you’ll need to shop for a new policy before moving.
2. Get a copy of your driver’s abstract
Your new insurance company may request a copy of your driver’s abstract, so obtain one in advance. It can be a hassle to try and procure one once you have already moved, so plan ahead.
3. Get a claims experience letter
A claims experience letter from an insurance provider details your insurance history. Because you will not have an insurance record in your new home province, a claims experience letter is necessary. Having the letter ready for the insurance provider in your new province allows for a quick and easy transition.
4. Apply for a new driver’s licence
All provinces issue their own driver’s licences. In most provinces, you have 60-90 days to change your licence, but times vary, so be sure to check the grace period in the province you’ll be moving to.
5. Shopping around is key
Even if you are thinking of staying with your current auto insurance provider, it is worth it to do some shopping around. Another provider may be better equipped to handle your policy and offer better prices than others. An isure broker has access to many insurance companies, and can help you choose what coverages you need. Let us help you ensure you’re covered in your new home.
6. Cancel your former policy
Don’t forget this step! Be sure that your insurance in your new place of residence in secured, but don’t forget to cancel your former policy.
Moving to a new province brings a lot of changes. Before you make that move, ensure you understand car insurance regulations in the new province. Be sure to contact us at isure for help with your relocation! We can offer guidance on ways to save money for both your car and home insurance when registering in a new province.
