What Is The Penalty For Driving Without Insurance in Alberta

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Driving Without Insurance

Driving an uninsured vehicle means you are breaking the law in Alberta and every other district in Canada. The minimum amount of insurance coverage varies from one province to another. But every jurisdiction penalizes drivers for driving an uninsured vehicle. The most appropriate way to avoid these penalties is to get car insurance in Alberta. Read this article to find out about the specific charges for driving without insurance an uninsured vehicle in Alberta. 

Penalties For Uninsured Driving In Alberta

Many people think that not driving an uninsured vehicle can help in saving money. But the risk is not worth taking. If you are a first-time offender for operating an uninsured vehicle, you will have to pay a minimum fine of $2,875. Failing to pay the fine can lead to imprisonment of 45 days to 6 months.

The maximum fine for a first time offender is $10,000. A second time offender can be asked to pay a fine from $5,000 to $20,000. An individual failing to pay the fine can end up in jail for 60 days to 6 months. Apart from fine, uninsured driving can lead to your license getting suspended.

You won’t receive demerit points for driving an uninsured vehicle. But you will observe an increase in your premiums. You will not be arrested on the basis of any criminal charges. However, you will be arrested if you are caught in a criminal act for driving a vehicle without financial coverage. Therefore, operating an uninsured car is a huge gamble which you should avoid. 

Tips To Get A Car Insurance

Car insurance will help you deal with the expenses following any car accident. You might face heavy physical damage in a car crash. Your vehicle might also be damaged. An insurance policy will help in covering all these hefty expenses. You are also required to pay a fine even if you are driving a borrowed vehicle. So, you should ensure that you are borrowing an insured vehicle. Let us discuss some other tips that you should follow while getting car insurance.  

  • Select The Appropriate Form Of Cover

Car insurance may involve third party coverage or comprehensive coverage. A third party coverage offers compensation for damages caused to a third party. But a comprehensive coverage helps in protecting your own vehicle along with compensating third party damages. A third party coverage is usually cheaper. But the benefits of comprehensive coverage are much more. So, you should find out which is the most appropriate form of insurance cover for you.

In Alberta, accident benefits and third party liability are covered under basic insurance, which is required by law. But comprehensive coverage and other benefits are additional insurance policies not compulsory by law. The maximum rate that you will be required to pay for basic coverage has been set by law. But there is no upper limit on how much you can spend on additional coverage.

1. Look Out For Discounts

You might not be aware, but it is possible to get discounts even on car insurance. You need to find out what deals you are eligible for. It is possible to get reduced rates due to some kind of club membership. You can even get a discount on the basis of the educational institution you went to.

Moreover, it is possible to get a discount by getting more than one vehicle insured. Sometimes you can receive discounts by taking your home and car insurance from the same insurance provider. The discounts can help you save a considerable amount on car insurance. So, you should not forget to check for discounts while getting auto insurance.

2. Compare Rates

You should always compare quotes before getting car insurance. You can take rates from different insurance companies to find out the most affordable option. This work can be done manually. But you can also use online insurance quote comparison services. You can also contact insurance brokers and seek their advice.

But you should never forget that the most affordable policy is not the most suitable every time. You need to find out what aspects are covered under the particular insurance policy. It is prudent to choose the insurance policy which offers the maximum coverage at an affordable rate. 

3. Check Reviews Of The Insurance Company

You need to ensure that you are getting your car insurance from a trustworthy company. You should check the experience of other customers by reading the customer reviews. The reviews will be able to tell you how the company has performed in various areas, including customer service.

You should check the reviews to find out if the company is obeying the Insurance Act. The Act is a legislative framework that all insurance companies in Alberta are required to follow. If you find a number of positive reviews of the company, you might trust the insurance company. 

4. Opt For A Higher Deductible

The deductible is the amount you pay before an insurance claim is covered under the policy. Many people think that there is no point in paying a high deductible amount. But you would be surprised to know about the importance of paying a higher deductible.

A higher deductible will ensure that you are paying a lower premium. The premium is the amount that you are required to pay after an insurance claim. If the standard deductible is $500, you can go for $1000. The amount you will save on your premium is worth paying higher deductibles. But do not end up paying a deductible beyond what you can afford. 

Closing Thoughts

You should always get car insurance because it prevents you from hefty fines and you shoudn’t be driving without insurance. Even though you are not accused of criminal charges, driving an uninsured vehicle can lead to imprisonment. The driving license of an uninsured driver might get suspended, and you will end up paying more as a premium. But getting car insurance requires you to know a few valuable tips. Hopefully, the information discussed in this article about driving without insurance will help you find suitable auto insurance for you.

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