Automobile Insurance Basics
Automobile insurance is mandatory in New Brunswick. Auto insurance covers the driver, passengers, and any pedestrians involved in a collision. Your policy includes several mandatory coverages by law, plus optional add-ons you can choose.
Third-party liability
Minimum $200,000. Covers bodily injury, death, or property damage you cause to others in an accident.
DCPD
Direct compensation property damage. Your own insurer pays for your vehicle damage based on your degree of fault.
Accident benefits (Section B)
Covers medical treatments, rehabilitation, funeral costs, death benefits, and loss of income after an accident.
Uninsured automobile (Section D)
Compensates you if you're hit by an unidentified or uninsured driver.
Collision (Section C)
Pays for repairs to your vehicle when you're in an at-fault accident.
Comprehensive
Covers loss or damage from theft, fire, weather events, and other non-collision causes.
How to lower your premium
Shop around and compare quotes — prices vary significantly between insurers.
Bundle your home and auto policies with the same insurer for a discount.
Increase your deductible — a higher deductible lowers your premium.
Drive less or use public transit when possible.
Install an approved theft-deterrent system and ask your insurer about the discount.
Maintain a clean driving record — accidents and tickets raise your rate.
Home insurance Basics
Home insurance is not mandatory by law, but your bank or mortgage lender will require it. It protects your most valuable asset against fire, theft, and other losses — and covers your personal liability if someone is injured on your property.
Dwelling coverage
Covers your home and outbuildings (sheds, detached garages) against covered losses. Know your home's replacement cost, not just its market value.
Personal property
Covers your contents after a fire, theft, or other loss. Create an inventory of your belongings — photos or video help at claim time.
Personal liability
Covers you if someone is injured on your property (e.g. a visitor slips on your walkway). Does not cover injuries to household members.
Additional living expenses
Pays for temporary accommodations if your home becomes uninhabitable after a covered loss.
If you share your home with a friend, rent out part of it, or run a business from home, tell your insurer — failing to disclose this can affect your coverage. Know your policy limits and exclusions.
Common scenarios
Short answers to everyday insurance situations New Brunswickers ask about.
If you have a mortgage, your lender will require it. If you're purchasing outright, we still strongly recommend coverage — a single loss event can easily exceed your savings. Get quotes before closing so coverage is in place on possession day.
Your landlord's policy covers the building — not your belongings or personal liability. Tenant's insurance covers your possessions against theft or damage, and protects you if someone is injured in your unit. It's typically very affordable and many landlords now require it.
New drivers typically pay higher premiums. Ask your insurer about a graduated licensing discount, completing an approved driver training course, or staying on a parent's policy while building your record. Shopping around is especially important — rates vary widely for new drivers.
In New Brunswick, insurance follows the vehicle. Your policy is the primary coverage, so the claim goes against your insurance and can affect your premium. Make sure any regular driver of your vehicle is listed on your policy — failing to disclose this can lead to a denied claim.
Yes — always. Premiums for the same coverage can vary by hundreds of dollars between insurers. Get at least three quotes, and review your policy at renewal rather than accepting the automatic renewal rate. If a renewal increase seems unreasonable, contact our office.