All Saskatchewan drivers have no-fault auto insurance as their basic coverage, but only half of drivers have more than this basic coverage. The Insurance Brokers Association of Saskatchewan (IBAS) is worried that more people don’t have more than the $200,000 in third-party liability coverage that basic licence plates provide, and we are too! In this blog, we’re going to talk about why basic coverage is just not enough.
Basic auto insurance, what does Saskatchewan’s cover?
Every resident of Saskatchewan can choose between No-Fault or Tort coverage, but every driver is automatically covered by No-Fault Coverage. This coverage will protect you and cover some of your expenses incurred in the event of a collision, whether it is your fault or not.
No-Fault Car Insurance Coverage includes the following, as needed:
- Medical, personal and travel expenses
- Living assistance
- Permanent impairment payment
- Death benefits
However, you will still be responsible for your deductible if you are found at fault in a collision. A deductible is an amount you must pay before your insurance covers the cost of the accident––most vehicles with basic plate insurance have a $700 deductible.
Why is it important to have extra auto coverage in Saskatchewan?
There are a number of reasons why increasing your coverage is important. Basic insurance acts as a foundation for residents and also eliminates lengthy in-court settlements from drivers suing other drivers. While basic coverage will be sufficient for day-to-day driving, there are a lot of things it will not cover. IBAS points out that this coverage won’t be enough for some situations, and could force you to pay out-of-pocket for uninsured damages to property, injury or death of another person, or a victim’s lost income and lost potential for income.
Extended coverage can help you when you need it most.
Before you talk to your broker about a package policy, there are some important things to consider when thinking about what package policy might suit your unique needs. IBAS has a great list of reasons to increase your coverage. Ask yourself the following questions to determine whether a package policy is right for you:
- Are you able to cover the cost of a lawsuit?
- Do you travel outside Saskatchewan?
- Do you use your vehicle for work?
- Is having a vehicle essential for your daily life?
- Do you have a family that depends on you?
- Do you live in an area with high car thefts?
Your trusted insurance brokers at Kessler Insurance will build the best policy for you! Get an insurance quote today.
Along with IBAS, we want to decrease the number of drivers who rely on basic coverage alone. Schedule your Covid-19 safe appointment with us today to discuss a package policy that is right for your needs––we are here for you. If you want to learn more about auto insurance, contact us today, or read our blog which compares basic and extended coverage.