What is a comprehensive claim for car insurance?

The amount of insurance claims per year in Canada is in the thousands if not millions. A good majority of these claims are filed under a policyholder's comprehensive coverage. To learn more about comprehensive auto insurance and what type of claims you can file under this policy, stick around to find out.

What is comprehensive car insurance?

Comprehensive insurance is a type of automobile insurance offered to Canadians. Unlike third-party liability insurance or collision coverage, this auto insurance policy covers damage to your vehicle that occurs as a result of a non-collision event.

Is comprehensive coverage mandatory coverage?

While liability coverage, uninsured motorist insurance, and accident benefits coverage are mandatory for all motorists, collision and comprehensive insurance coverage are optional and meant to provide additional protection to policyholders.

Keep in mind that if you have a car loan or lease your vehicle from a dealership, purchasing comprehensive coverage may be a requirement in your contract.

What can I claim under my comprehensive insurance policy?

As we mentioned, when you add comprehensive coverage to your auto insurance plan, you'll be protected against non-collision-related damages. In other words, comprehensive coverage protects policyholders against the following types of damages:

• Certain natural disasters.
• Severe weather-related events.
• Theft and vandalism.
• Falling or flying objects.

Note that depending on the specific perils listed in your comprehensive, other non-collision events may be included.

What can I not claim under my comprehensive car insurance policy?

While comprehensive coverage pays for vehicle repairs, this optional coverage will not cover the cost of the following:

• Legal fees.
• Rental car.
• Lost income.
• Medical expenses.
• Damage caused by other drivers.

What is a comprehensive deductible?

A comprehensive coverage deductible is the amount a policyholder needs to pay out of pocket when filing an insurance claim before their insurance provider will cover the remaining costs. Comprehensive and collision coverage both have deductibles.

What are the benefits of comprehensive car insurance?

If you're unsure whether purchasing comprehensive auto insurance is worth the investment, consider these benefits below:

Peace of mind

Adding comprehensive coverage is like an added security blanket that can give you more peace of mind against unexpected damages.

Value of your vehicle

If you own your vehicle outright and its market value is high, comprehensive coverage is recommended, given that repair costs will be expensive. If you have an older vehicle that you can afford to replace without an insurance payout,you could get away without comprehensive coverage.

Protect your finances

Paying a deductible compared to the full cost of repairs can protect your finances.

Can my car insurance company deny my claim?

Believe it or not, filing an insurance claim doesn't automatically mean that your claim will be accepted by your insurance provider. There are numerous reasons your claim may be denied. Whether it be for not providing enough evidence to your adjuster, lying to your provider about the circumstances surrounding your claim, or not having the right coverage, the fact of the matter is that claims are denied all the time.

So, what exactly are you supposed to do when your car insurance company denies your claim? The first thing you'll need to do is figure out why your claim was denied in the first place. You can then speak with your adjuster and provide more explanation, evidence, or other missing documents if this is the case.

If your claim is still denied, you do have the option of appealing the decision with a third party. Lastly, you are also able to speak with a lawyer moving forward who may be able to assist with your circumstances.

Can I cancel my insurance claim?

Yes, you can cancel an insurance claim under your comprehensive insurance. However, the further along in your claims process you are, the more difficult cancelling will become. Additionally, if, for say, you have a claim under your third-party liability insurance or collision coverage where you are found at fault, you will not be able to cancel.

Will a non-collision insurance claim affect my car insurance premium?

Similar to how an accident affects car insurance rates, if you file a claim under your comprehensive insurance, you'll likely experience an auto insurance premium increase the next time you're up for a renewal.

Is a police report required for an insurance claim under my comprehensive coverage?

Whether or not a police report is required for an insurance claim under your comprehensive insurance depends on the nature of the damage to your vehicle and how it occurred. All provinces and territories in Canada have accident-reporting regulations and not reporting a car accident in some instances is illegal.

For example, if you get in a car accident in Ontario, you'll need to contact the police if the damage to your vehicle and other vehicles involved exceeds $2000, injuries have occurred, or pedestrians were involved, among other factors.

Now, in terms of your comprehensive car coverage, if your vehicle is stolen or vandalized, then contacting the police is recommended. However, if it is damaged by falling objects, or other forms of damage that do not involve criminal activities, it's likely not necessary.

Protect your vehicle with customized insurance plans

While accident forgiveness, comprehensive, and collision coverage are optional, you'll still need to purchase the following types of auto insurance to legally drive your vehicle on public roads:

• Car liability insurance
• Uninsured motorist coverage
• Accident benefits coverage
• Collision car coverage
• Accident forgiveness insurance

Contact BrokerLink for comprehensive car insurance today

Whether you have questions before filing an insurance claim, are unsure what to do if you’re in a car accident, or looking for new car insurance options, the experienced BrokerLink team has got you covered. Our brokers have access to top insurance companies and policies, allowing them to customize your auto insurance to meet your needs and budget.

If you're interested in working with BrokerLink, come visit us in person at one of our many locations across the country. Not close by? Contact us over the phone to speak with us at any time! Alternatively, you can get a competitive insurance quote within minutes using our free online quote tool!

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Comprehensive insurance FAQs

What is a claims experience letter?

A claim experience letter is a formal letter policyholders can request from their insurance provider. This letter outlines your insurance claims history and can provide information to new insurers if you move out of province, have a lapse in coverage, and more.

Do I need to contact my insurance after a minor accident?

Calling insurance after a minor accident is recommended. Most of the time the extent of damage and injuries suffered isn't apparent. Waiting could lead to consequences like missing the reporting period, and being left without coverage for your medical expenses and repair costs. To ensure you're protected and receive compensation for your losses, reporting a car accident, regardless of severity, is essential.

What can damage a car engine?

A car engine can be damaged by several things, including revving your engine, failing to do an oil change, filling up your car with the wrong fuel, a dirty air filter, and more. To ensure your car remains operational and safe, routine maintenance and safe driving habits are essential.

Will my insurance company cover my oil changes?

No, your insurance coverage will not compensate you for oil changes. This type of task is considered maintenance, which falls under the responsibility of the vehicle owner, similar to changing a tire, windshield wipers, and topping up vehicle fluids.

What should I do if I run out of gas?

Even fuel-efficient cars can run out of gas. So, what exactly should you do in this situation? The best thing to do in this situation is to pull over to the side of the road and activate your hazard lights. Once you're in a safe spot, you'll either need to call roadside assistance if you have that type of coverage, or a friend or family member to bring you gas from the closest station.

What should I do if my car breaks down?

If your car breaks down, don't panic. Turn on your hazard lights and wait inside your vehicle to ensure your safety. If you have roadside assistance coverage, you can call for help and wait for your tow truck to arrive. In contrast, if you do not have this coverage, you'll need to contact a tow truck and pay for the costs out of pocket.

If you have any questions, contact one of our local branches.