Do I need to insure my car before registering it?

In Calgary, as in the rest of Alberta, car insurance is mandatory before registration. Without a valid policy, you will not be able to obtain a registration certificate or license plates. Below is everything you need to know about the types of insurance, the application process, and the consequences of not having insurance.

Mandatory types of insurance in Alberta

By law, every driver must have three types of basic insurance:

  1. Third-Party Liability:
  • Covers damages caused to others (medical expenses, car repairs).
  • Minimum coverage: $200,000 CAD.
  1. Accident Benefits:
  • Compensation for medical expenses, loss of income, or funeral expenses for the driver and passengers (even if the accident was your fault).
  1. Direct Compensation for Property Damage (DCPD):
  • Covers the repair of your car if the accident was not your fault.

Note: Insurance must be activated before visiting the registration center.

Car registration process in Calgary

Required documents:

  1. Proof of insurance:
  • “Pink Card” (insurance certificate) with the names of the car owners and the policy expiration dates.
  1. Car documents:
  • Bill of Sale, lease agreement, or will.
  1. ID: Driver's license or passport.
  2. Inspection results (if the car is from another province or has “salvage” status).

Where to register a car:

  • Visit a Registry Agent (for example, AMA or Registry Express).
  • Cost: Depends on the type of car (passenger car – from $84 CAD per year).

Why is insurance mandatory?

  • Financial responsibility: Insurance protects you from large expenses in the event of an accident.
  • Legal requirement: Driving without insurance is a violation punishable by fines of up to $2,875 CAD and confiscation of your license.
  • Third-party protection: Even if you are the only person involved in an accident, insurance covers damage to pedestrians or property.

How to choose an insurance company?

  1. Compare rates: Use online services (e.g., Ratehub).
  2. Consider additional options:
  • Collision Coverage: Repair your car regardless of fault.
  • Comprehensive Coverage: Protection against theft, fire, and natural disasters.
  1. Contact a broker: They will help you find the best conditions for your budget.

Consequences of not having insurance

  • Fines: From $2,875 CAD for the first offense.
  • License suspension: Until the insurance issue is resolved.
  • Lawsuits: If you cause an accident, the damages will be collected from your personal property.

Frequently asked questions

Can I register a car with temporary insurance?

Yes, if the policy is valid at the time of registration. For example, temporary coverage from AMA for 14 days.

Is insurance from another province valid?

Yes, but only for 14 days after moving. You will need to purchase an Alberta policy.

Conclusion

Car insurance is mandatory for registration and safe driving in Calgary. Choose a reliable company, check the policy terms and conditions, and don't ignore additional options. Remember: saving on insurance can lead to serious financial losses!