Auto Insurance Coverage in Alberta

Auto insurance in Alberta is provided by almost 70 private companies that compete for customers by offering a different mix of price, coverage and service. Everyone who wants to drive a car in Alberta must by law buy a minimum amount of insurance and has the option to buy more to suit their needs.

Having the right auto insurance coverage is essential for everyone who relies on their car to get them around. When Albertans are involved in accidents, their insurance companies help them get better, support them if they are unable to work and protect them financially if they hurt someone else and are sued for it.

In Canada, provincial governments decide which mandatory benefits are included in the auto insurance product. The challenge is finding the right balance between affordable price for all owners and adequate coverage for those who have to make a claim. For instance, if government makes the product very generous, it could become too expensive for many drivers.

Recent changes to Alberta�s auto insurance system helped improve that balance of affordability and adequate coverage. But more can be, and is being, done to ensure Albertans are receiving the best coverage for the best possible price.

Minimum Required Auto Insurance Coverage in Alberta

As of May 1, 2013

Compulsory minimum third-party liability:	$200,000 is available for any one accident; however, if a claim involving both bodily injury and property damage reaches this figure, payment for property damage will be capped at $10,000
Medical payments:	Up to $50,000/person; chiropractic maximum $750; massage therapy $250; acupuncture $250; all limits are per person, per accident; limit is two years
Funeral expense benefits:	$5,000
Disability income benefits:	80% gross weekly wages up to maximum $400/week; up to 104 weeks total disability; nothing is payable for the first seven days of disability; non-earner benefit (unemployed person 18 years or older) $135/week, up to 26 weeks
Death benefits:	Death any time after accident; death of head of household $10,000, plus 20% ($2,000) to each dependent survivor after first, plus additional $15,000 for first survivor and $4,000 for each remaining survivor; death of spouse/ adult interdependent partner of head of household $10,000; death of dependent relative according to age, maximum $3,000; grief counselling up to $400 per family with respect to death of any one person
Impairment benefits:	Through tort action
Right to sue for pain and suffering?	Yes. If injury is deemed �minor� under provincial legislation, maximum award is $ 4,725
Right to sue for economic loss in excess of no-fault benefits?	Yes
Administration:	Private insurers
Notes:	Alberta residents involved in accidents in Quebec can receive from their own insurer the equivalent to the benefits available to Quebec residents from the Soci�t� de l'assurance automobile du Qu�bec. Similar arrangements are in place for accidents involving Alberta residents in Saskatchewan and Manitoba.

Steps Required to Become a Fully Licensed Driver in Alberta

Introduced May 20, 2003

How do I become a Learner?

To get a Learner�s licence (Class 7L), you must:

• Be at least 14
• Take a vision test
• Take a driving knowledge test
• Have a parent or guardian�s consent (if you are under 18)

How long will I be in the Learner Phase?

You must be in the Learner Phase for at least 12 months. You can stay in the Learner Phase for up to five years. You can leave the Learner Phase no earlier than age 16.

What are the restrictions while I am in the Learner Phase?

You must drive with a supervisory driver who is 18 or older and is seated next to you. Other passengers in the car must be wearing seatbelts. You cannot drive between midnight and 5 a.m. You cannot drink when you are driving � your blood alcohol must be zero.

What else should I know?

If you break any traffic rules while you are a Learner, you can quickly lose your right to drive. You will be allowed only eight demerit points (instead of the 15 points allowed a Class 5 driver). If you get eight demerit points, you will lose the right to drive for 30 days.

If you get demerit points but choose to take a defensive driving course, you will have three points taken off your total. Fines and demerit points will be issued for any Learner Phase violation.

How do I become a Probationary Driver (Class 5)?

To go from the Learner Phase to being a Probationary Driver, you must pass the Alberta standard road test.

How long will I be a Probationary Driver?

You must be in the Probationary Phase for at least 24 months. You can leave the Probationary Phase no earlier than age 18 years.

What are the restrictions while I am a Probationary Driver?

Passengers in your car must be wearing seatbelts. You cannot drink when you are driving � your blood alcohol must be zero. You cannot upgrade to a commercial class driver�s licence. You cannot be an accompanying driver to a learner.

What else should I know?

You will be allowed only eight demerit points (instead of the 15 points allowed a regular Class 5 driver).

If you get demerit points but choose to take a defensive driving course, you will have three points taken off your total. Fines and demerit points will be issued for any Probationary Phase violation.

If you are charged with impaired driving, you must attend one of two courses, complete with a driver examination. You will lose the right to drive for 30 days if you break the no-drinking-and-driving rule.

To graduate from the Probationary Phase, you must be suspension free in the last year of this phase and you must pass the Enhanced Class 5 road test.

For more information, please visithttp://www.saferoads.com/drivers/drivers_newdrivers.html

Alberta Assigned Vehicle Identification Number Program

The Alberta Assigned VIN Program was created to allow car owners the opportunity to obtain a replacement VIN if their Original Equipment Manufacture's (OEM) VIN was lost, stolen or destroyed. Through the program, a replacement VIN can also be assigned to a home-built or amalgamated vehicle for the purposes of obtaining a Certificate of Registration.

The Assigned VIN Program assigns a 17-digit VIN that adheres to international VIN conventions. This numbering program helps deter auto theft and insurance fraud and aids in the identification of recovered stolen vehicles.

The Alberta Traffic Safety Act and its supporting regulations, Alberta Operator Licensing and Vehicle Control Regulation (AR 320/2002) and Alberta Off-Highway Vehicle Regulations (AR 318/2002), also provide details to support the Assigned VIN.

IBC administers the Alberta Assigned Vehicle Identification Number (VIN) Program on behalf of Alberta Transportation.

Application and Fees

Return your completed application and payment (non-refundable) to:

MAILING ADDRESS ONLY

Insurance Bureau of Canada,
Suite 400, 370, 5222-130 Ave. SE
Calgary, Alberta
T2Z 0G4

Payment can be made by credit card (Visa or MasterCard), or by certified cheque or money order made payable to Insurance Bureau of Canada. Cash will not be accepted.

If faxing your application (403-255-9054), please note that payment can be made only by credit card.

Upon receipt of your application and payment, IBC will contact you to schedule a time and place for the examination of the vehicle/trailer.

Proof of Your Identity

At the vehicle/trailer examination you must show your operator's licence (or other picture ID if you do not have an operator's licence) and proof of ownership. Where applicable, IBC will make a photocopy or take a digital picture of the following documents:

• proof of vehicle ownership (registration, bill of sale, NVIS, etc.)
• salvage invoice
• proof of ownership of components used (bill of sale)

The Examination

IBC will examine the vehicle/trailer and its parts to determine if they have been reported stolen. A new VIN cannot be assigned until a �stolen� status has been removed by the police. IBC will also examine the vehicle and its parts to determine if they have a non-repairable (or similar) status. In some cases, a VIN will not be assigned to a vehicle using certain non-repairable parts.

Please note: The vehicle examination conducted by IBC is not an inspection of the safety and/or mechanical integrity of the vehicle. A Salvage Vehicle Inspection or an Out-of-Province Vehicle Inspection, at the applicant's expense, may be required before the vehicle can be registered in Alberta. Please contact an Alberta motor vehicle registry agent for information about registering your vehicle/trailer.

On completion of the examination, IBC may assign a new VIN or confirm the original VIN of the vehicle. IBC will install the VIN plate on the vehicle. A copy of the examination form will be given to you; you must then present this form to an Alberta motor vehicle registry agent to register your vehicle/trailer.

The VIN plate is issued by the Government of Alberta and must not be removed from the vehicle. If it is removed, you must have the vehicle/trailer examined again and pay the service fee before IBC will issue an official replacement VIN plate.

Alberta Transportation has agreements with the police in Alberta and Insurance Bureau of Canada to share information collected from the applicants of this service. This is for the purposes of investigating auto-theft and auto-related offences, including conspiracy, fraud, possession of stolen property and other related crimes. This information-sharing, without the direct consent of the applicant, is authorized under Sections 40(1)(e) and (q) of the Freedom of Information and Protection of Privacy Act.