Car Insurance in Newfoundland & Labrador
On top of being a legal requirement, getting the right car insurance protects you and your car in case of any emergencies. So, with car insurance through Johnson, we’ll always be by your side, even when you experience all four seasons on the same day.
It all starts with you
These are the standard car insurance coverages required by law in Newfoundland & Labrador:
We’ll protect you if you’re involved in an accident where you’re deemed liable. This includes coverage for damages made to
another person or vehicle.
We’ll provide coverage for injury or death caused by an unidentified or uninsured driver.
Direct Compensation - Property Damage
This provides coverage for damage to your vehicle if another person was fully or partly at fault for the accident. Even though someone else
causes the damage, you collect directly from your insurer.
Go the distance with these add-ons
Loss of Use
If your vehicle is getting repaired due to damage covered under your policy, we’ll get you a replacement or reimburse you for reasonable transportation costs.
This covers damage to vehicles you drive, but don’t own—like a rental car. In some cases, you’ll also get access to other standard coverages.
A new car's value depreciates quickly. This cover adds value back to your vehicle in the event of a claim.*
Popped tire? Locked out? Need a tow? Give us a call and we’ll get you help.
How to save
There are many ways to save on auto insurance in Newfoundland & Labrador. No coupons needed.
Extra safety means an extra discount
Getting your vehicle winter-ready could help you save on insurance in Newfoundland & Labrador.
Rewarding safe drivers
You could get a discount if you haven't had any traffic violations within the last 3 years.
Group members can save even more
If you belong to an eligible group, it could offer group rates. These groups may include employees of the same company, members of a union, or members of other profit and non-profit associations.
Combine and save
Insure both your car and home through Johnson for additional discounts.**
The more you insure, the more you save
Insure more than one vehicle for extra savings.
We’ll find ways to lower your premium
If your child is studying away from home without regular access to your vehicle, list them as an occasional driver on your policy. They’ll still be insured, but you could save on your rates since they drive less.
Your driving history counts
You could get a discount for being an insured and accident-free principal driver for 3+ years.
Enjoy more without paying more
Get these benefits with your car insurance, regardless of the coverages you choose.
Whenever you need us, we’ll be here to help. All day, every day.
First Accident Forgiveness
Available to eligible drivers because there’s a first time for everything, even accidents. With first accident forgiveness, your driving record at Johnson won’t change as a result.
What affects your rates in Newfoundland & Labrador
Here’s the insider knowledge on what we look for when determining your premiums.
We look at your car’s make, model, cost of parts, and claims history to see how likely it is to be involved in an accident or stolen.
Where you live
With more people and vehicles on the road, living in a larger urban area could increase the likelihood of an accident.
How much you drive
Do you commute or drive to different locations for work? Or just now and then for convenience? How often you’re behind the wheel could affect your rates.
Your experience on the road and any previous driving accidents or convictions could affect your rates.
Any optional coverages you select will affect your rates. We’re happy to work with you to find the coverages that suit your needs best.
The higher the deductibles you choose, the lower your insurance rates are. However, higher deductibles mean you pay more upfront if an accident happens, so it’s important to find the balance that’s right for you.
The changing world of insurance
Beyond your circumstances, there are external factors that affect insurance rates for all Canadians; like the rising number of claims. In general, claims are becoming more frequent and more expensive due to:
- The rise of extreme weather events and weather-related accidents
- Lower interest rates making cars more affordable—more cars on the road can lead to more collisions
- Increased instances of distracted driving, which can also cause collisions
- Vehicle technology advances increasing the cost of repair and part replacement
Learn more about what affects your car insurance rates on The BlogHouse.
More than just insurance
We know that our coverage is just the beginning. We'll help answer your questions and give you the tips and tricks you need before getting in the driver's seat.
Everything you need to know about renting a car in Newfoundland & Labrador
Trying to decide if you should purchase auto insurance from your car rental company? With our Rental Vehicle coverage option, there’s no need. We’ll extend your standard insurance coverage to you rent while in the U.S. or Canada, including Newfoundland & Labrador. Otherwise, you should purchase the insurance offered by the rental company to make sure you stay protected no matter where your travels take you. Tip: If you’re looking to rent a car during Newfoundland & Labrador’s busy summer months, be sure to book well in advance with your car rental company.
Have questions? We’re here to answer them
Before getting behind someone else’s wheel, you need to know that your insurance does not necessarily follow you as a driver.
When driving someone else’s car, you would be covered under their insurance policy while driving their vehicle, as long as you:
- Have a valid Canadian driver’s licence. Not from Canada? Travellers from outside Canada can check with the regulatory body of the province they will be driving in.
- Are using the vehicle with the owner’s permission.
- Haven’t committed a crime under Canada’s Criminal Code while operating your car.
- Don’t use the vehicle for one of the uses not allowed in the vehicle owner’s policy (for example, no racing)
- Are not specifically excluded from driving their vehicle.
If you have an accident while driving someone else’s car, you will need to present proof of insurance. You should make sure that you have this before borrowing the vehicle.
If the car's owner doesn't have insurance, there may still be limited coverage under your own policy to protect you, however, not all of your usual coverages are provided. Also, keep in mind that your coverage won’t apply when driving a car owned by someone else in your household.
Generally they aren't enough. Why? Here are some facts to consider:
- In most provinces, the mandatory minimum Third Party Liability coverage is $200,000. You would be responsible for any damages above that amount. Many courts are awarding a million dollars or more in Canada.
- Most provinces don't require you to insure for damage to your vehicle. But can you afford to pay for significant damage if you're in an accident? If you've taken a loan or if you lease your car, you're still responsible for making the payments, even if your car is written off.
- In Newfoundland and Labrador, you don't have to have Accident Benefits coverage. But the financial consequences of an injury can be much more than your provincial health care will cover and you won't have income loss protection either.
You may not know that when you lend your vehicle, you're also lending your insurance. That's because any claims will be made through your insurance, not the driver's - which may impact your driving record.
For that reason, your policy requires that the driver you're loaning the vehicle to be qualified and/or licensed to drive, depending on the province. Additionally, the same rules outlined in your policy apply to the other driver. For example, if your policy only allows personal use, the person borrowing your car cannot use it for deliveries or Uber.
If you routinely loan your car to the same person or they live in your household, you should name them on your policy as an occasional driver, too .
In insurance terminology, “underage occasional driver charge” usually applies to an underage driver (under the age of 25) or a driver with less than (9) years of driving experience. This will vary by province.
We want you to know that we’re still here to support you!
Read more about our COVID-19 relief efforts and get answers to your most common questions through our COVID-19 page.
On The BlogHouse
Articles and resources to help you save money and live better
Johnson Insurance is a tradename of Johnson Inc. (“Johnson”), a licensed insurance intermediary, and operates as Johnson Insurance Services in BC and Johnson Inc. in MB. Car insurance not available in BC, SK or MB. Home and car insurance not available in NU. Home and car policies primarily underwritten, and claims handled, by Royal & Sun Alliance Insurance Company of Canada (“RSA”) in Quebec and underwritten exclusively, and claims handled, by Unifund Assurance Company (“Unifund”) in the rest of Canada. Described coverage and benefits applicable only to policies underwritten by Unifund or RSA. Johnson, RSA and Unifund share common ownership. Eligibility requirements, limitations, exclusions or additional costs may apply, and/or may vary by province or territory.
*Waiver of Depreciation is only applicable to select vehicles based on qualifying risks.
**Bundled savings applied to home insurance policies where both home and auto policies are underwritten by Unifund.