Driving Without Auto Insurance in Canada is Illegal
In Canada, it is illegal to drive without insurance. Canadian law requires that all drivers who operate the vehicle have at least the minimum auto insurance coverage, which includes:
- Third-Party Liability coverage
- Uninsured Automobile coverage
- Accident benefits coverage
The minimum car insurance coverage varies based on the province or territory you live in.
If you are pulled over by the police, you must be able to provide proof of insurance via a physical insurance card.
The Consequences of Not Having an Insurance Policy
The penalties for driving without insurance vary by the province you live in. The table below summarizes what kind of consequences drivers face when caught driving without a valid insurance policy.
| Province | First Offense Fine | License Suspension | Vehicle Impoundment |
|---|---|---|---|
| Ontario | $5,000 – $25,000 (+25% surcharge) | 30 days to 1 year | Up to 3 months |
| Alberta | $2,875 – $10,000 (+15% surcharge) | Discretionary (up to 6 months) | 7 to 30 days |
| British Columbia | $598 | Possible | Possible |
| Quebec | $500 – $5,000 | Automatic if accident occurs | Possible |
| Saskatchewan | $580 | N/A | 7 days |
| Manitoba | $5,000 – $25,000 | Possible | Possible |
| Nova Scotia | $2,000 – $4,000 | Up to 1 year | Up to 90 days |
| New Brunswick | $500 – $2,000 | Possible | Possible |
| PEI | $600 – $2,000 | N/A | N/A |
| Newfoundland & Labrador | $2,000 – $4,000 | Possible | Possible |
If you are caught multiple times without insurance, it could result in a trip to jail, not to mention additional fines and potential legal fees. Driving without insurance can have serious consequences for your driving record.
Any time you apply for insurance in the future, these violations will appear on your record. This means that your ability to get insurance will come at a higher premium, as you are considered a higher risk due to previous unlawful driving. In some cases, you could even be denied coverage altogether.
What Happens if I get Into an Accident With an Uninsured Driver?
Your uninsured automobile (UM) coverage, which is automatically included in your mandatory auto insurance, will pay for your injuries and your passengers’ injuries in case of an accident with an uninsured driver.
Call the police, document the scene, and report the claim to your insurer as soon as possible (and file a police report within 24 hours for hit-and-runs). View our step-by-step guide on what to do if an uninsured driver hits you.
Key Advice from MyChoice
- Keep your proof of insurance with you at all times.
- Before borrowing or lending a vehicle, understand how insurance coverage works in that instance. Drivers accidentally break the law because they misunderstand how coverage follows the vehicle.
- Know what to do if an uninsured driver hits you. Follow a step-by-step claims process immediately to protect your coverage and avoid paying out of pocket.