Quebec has a unique auto insurance model compared to the rest of Canada. While provinces like British Columbia, Saskatchewan, and Manitoba also use public insurance, Quebec stands out for the way it divides responsibilities between public and private insurers.
If you are new to the province, just got your license, purchased a car, or simply want a refresher, this guide will help you understand what is automatically covered and what you must purchase separately.
How Does Car Insurance Work in Quebec?
Car insurance in Quebec functions under a two-part system:
- Public insurance (through the Société de l’assurance automobile du Québec – SAAQ) covers people for injuries sustained in accidents.
- Private insurance covers property, including vehicles and liability for damages caused to others.
Every Quebec resident is automatically registered in the SAAQ plan, which covers injury-related expenses. However, it is also legally mandatory to purchase private auto insurance from a licensed insurer with at least $50,000 in third-party liability coverage.
Why $50,000 May Not Be Enough
Although $50,000 is the legal minimum, relying solely on this amount and the public plan leaves you financially exposed. Without additional coverage, you will be responsible for damages such as:
- Collisions with other vehicles or stationary objects
- Pothole and road debris damage
- Vandalism or theft
- Fire and falling objects
- Severe weather damage (wind, hail, tornadoes)
- Hit-and-run incidents
- Rental car costs while your vehicle is being repaired
Recommended Optional Coverages
If you lease or finance your vehicle, your contract may require higher coverage or additional protections. Common options include:
- Collision coverage – Pays for repairs or replacement after an accident.
- Comprehensive coverage – Covers theft, vandalism, and weather-related damage.
- Higher third-party liability – Increasing coverage up to $2 million is strongly advised for better protection.
What the SAAQ Insurance Covers
The public insurance system managed by the SAAQ focuses on injuries and fatal accidents. It applies whether the accident occurs inside or outside Quebec and regardless of who was at fault. Benefits include:
- Loss of income compensation if you cannot return to work
- Medical care, therapy, and rehabilitation
- Psychological treatment and counseling
- Prescribed medications and medical devices
- Physiotherapy, chiropractic care, and acupuncture
- Home modifications, such as wheelchair ramps
- Replacement of damaged clothing or personal accessories
- Funeral expenses in fatal accidents
Conclusion
Quebec’s car insurance system blends public protection with mandatory private coverage. While the SAAQ covers personal injuries, private policies are crucial to protect your vehicle and finances. To stay fully protected, consider adding collision, comprehensive, and higher liability coverage to your policy, especially if you lease or finance your car.
FAQ
Is car insurance mandatory in Quebec?
Yes. All drivers must carry private car insurance with at least $50,000 in liability coverage, in addition to being automatically covered under the public SAAQ plan.
What does the SAAQ insurance cover?
The SAAQ covers medical expenses, loss of income, rehabilitation, and funeral costs for injuries or death resulting from road accidents, regardless of fault.
Do I need comprehensive or collision coverage in Quebec?
While not legally required, collision and comprehensive coverage are highly recommended—especially if you lease or finance your vehicle or want full protection from theft, vandalism, and weather damage.
Can I increase my third-party liability coverage?
Yes. Many insurers allow you to raise liability coverage to $1 million or $2 million, offering stronger financial protection.