Prince Edward Island Mandatory Coverage

Owners of motor vehicles in P.E.I must obtain coverage through a private insurer that meets mandatory requirements. In the province, $200,000 in third-party liability coverage is mandatory.

Mandatory Auto Insurance Includes:

Section A – Third-Party Liability  protects the insured P.E.I. driver and/or the registered vehicle owner in the event they cause injury, death or property damage to a third-party resulting from the insured's negligence.

Section B – Accident Benefits coverage pays for medical treatment, income replacement and other benefits to help eligible claimants. Accident benefits are "no-fault benefits," which means the insurer, regardless of who caused the collision, pays these benefits to their insured claimants. 

Section D – Uninsured Automobile Coverage –  provides protection for any injuries you or your passengers sustain if an uninsured is at fault. Section D also provides protection to your damaged vehicle but only if the at fault uninsured driver is identified.  

The chart below provides a summary of minimum coverages required by the P.E.I. government. Please refer to the list of sources for more details. This information is for educational purposes only. Consult a qualified insurance professional for further assistance. 

as of January 1, 2022

Mandatory 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 and the balance will be attributed to the bodily injury claim.
Direct Compensation Property Damage Required?Yes.
Medical payments:Up to $50,000/person; four-year time limit.
Funeral expense benefits: $2,500.
Disability income benefits: Maximum $250/week; 104 weeks for partial disability; lifetime for total disability; must be disabled for at least seven days to qualify; unpaid housekeeper $100/week, maximum 52 weeks.
Death benefits: Death within 180 days after accident (or two years if continuously disabled prior to death); death of head of household $50,000, plus $1,000 to each dependent survivor after first; death of spouse of head of household $25,000; death of dependant $5,000.
Impairment benefits: N/A
Right to sue for pain and suffering?Yes. If injury deemed "minor" under provincial regulation, maximum award is $8,358.
Right to sue for economic loss in excess of no-fault benefits?Yes.
Administration:Private insurers.