Car Insurance in Prince Edward Island
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 from the Cavendish beaches, the Confederation Bridge and beyond.
Insurance that goes the extra kilometre
Choose physical damage coverage.
Comprehensive Coverage
This covers against fire, theft, vandalism, falling objects, windshield damage and other types of damage, not related to a collision.
Collision Coverage
This pays for damage caused by collision with another vehicle or object, or if your car rolls over.
All Perils Coverage
This covers your vehicle by combining Comprehensive and Collision coverages—and best yet, you’ll only pay one deductible.
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.
Rental Vehicle
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.
Depreciation Waiver
A new car's value depreciates quickly. This cover adds value back to your vehicle in the event of a claim.*
Roadside Assistance
Popped tire? Locked out? Need a tow? Give us a call and we’ll get you help.
Enjoy more without paying more
Get these benefits with your car insurance, regardless of the coverages you choose.
24/7 Claims
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
Here’s the insider knowledge on what we look for when determining your premiums.
Your vehicle
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.
You
Your experience on the road and any previous driving accidents or convictions could affect your rates.
Optional coverage
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.
Your deductible
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.
Insurance 101: The PEI licensing program
There are 3 stages in the PEI licensing program:1
Stage 1:
This is the Class 7 learner’s permit, which will allow an individual to drive under supervision. In order to enter Stage 1, the driver must be at least 16 years of age, pass a written or oral test about rules of the road, signage and safe driving, and complete a vision exam
Stage 2:
This is the Class 5 driver’s licence. The driver will be able to drive alone with certain restrictions, including an identifying decal that must be displayed in the windshield. To enter Stage 2, the driver must have had a Stage 1 licence for at least 365 days, or 265 days if enrolled in a certified driver’s training program, then they must pass a road test. Stage 2 lasts 365 days.
Stage 3:
Stage 3 lasts for another 365 days, during which time the driver will have fewer restrictions but will still be required to display the identifying decal in their windshield.
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.
This covers loss or damage of your vehicle. It often goes hand in hand with Collision coverage as an alternate to comprehensive cover but it can be purchased separately.
Specified perils covers the cost of damage from:
- Fire
- Theft or attempted theft
- Lightning
- Windstorm
- Hail
- Rising water
- Earthquake
- Explosion
- Riot or civil commotion
- Falling or forced landing of an aircraft (or its parts)
- Damage during transport on land or water (e.g. sinking of a ship, derailment of a train, burning or collision of a truck carrying the vehicle)
Glass breakage and vandalism aren't covered. Comprehensive coverage helps in those cases.
This coverage is optional in most provinces, but if you finance or lease a vehicle, the financial institution may not permit Specified Perils and may insist that Comprehensive cover is required. You should check with your financial institution to determine what is acceptable to them.
Only if you have added this optional coverage to your policy.
You may be eligible for a rental car if you have Loss of Use coverage or Direct Compensation Property Damage coverage.
It is illegal not to have insurance on a vehicle you're using on public roads in Canada. The penalty is usually a fine, but this varies from province to province.
As well as being illegal, not having insurance is a huge risk to your financial security and your future. You must pay for damages for which you are legally responsible. Without insurance, you could have to pay personally for losses and injuries - to yourself, your passengers, other drivers and their passengers, as well as pedestrians and cyclists. It could mean millions of dollars in costs. Not only could you lose your home and assets, you may also lose your future earnings.
When you buy car insurance, you get a Canada Inter-Provincial Motor Vehicle Liability Card (your insurance "pink card"). It is honoured as proof of insurance anywhere in Canada. You should keep this with you at all times and produce it when a police officer requests it.
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.
