Third party liability vs Full coverage
There are many friends who will choose to buy used cars, they will have the opportunity to choose to buy “Third party liability”. What is the Third party liability or the Full coverage?
Taking Ontario as an example, car insurance is mainly divided into the following categories:
"Third party liability", that is, the types of car insurance that must be purchased:
Third-Party Liability Coverage
– Provide protection for liability for injury or death of others and damage to other people’s property due to accidents.
Statutory Accident Benefits Coverage (mandatory accident benefit)
– To assist you, all the people in the car and their families with medical and living expenses after an accident.
Uninsured Automobile Coverage
– Covers you with compensation in the unfortunate event of an uninsured or runaway driver.
Direct Compensation – Property Damage (DC-PD) Coverage
– Protect your vehicle and its property from damage caused by the fault of other drivers, you can directly receive compensation from the insurance company.
In addition, it is usually added Family Protection
(family protection)
– When the other party’s insurance is not enough to cover the loss caused by accidental injury or death of your family members, this protection can be filled, but the maximum limit is the difference of the total third party liability insurance of the other party.
"Full coverage" means the Third party liability and the following additional protections:
Collision Coverage
– Indemnify your own vehicle for any traffic collision caused by your negligence.
Comprehensive coverage
– Protect your car from vehicle damage from theft, vandalism, fire, falling objects, lightning, and more.
Loss of Use
– Cover your car for the cost of temporary transportation due to repairs or theft, such as renting a car or taking a taxi.
Not sure which car insurance plan is right for you? Contact our professional auto insurance advisors for assistance today!