Car insurance in Canada for visitors is mandatory, but policies differ for tourists, international students, and temporary workers. Most provinces require at least $200,000 in third-party liability, though rules vary.
Visitors from the U.S. may use their existing U.S. policy if it includes Canadian coverage. However, those from other countries must purchase temporary Canadian auto insurance from providers like RBC, TD, or Allstate.
Temporary Insurance Solutions Explained
Several specialized options exist for car insurance in Canada for visitors. Short-term policies from providers like RBC Insurance and TD Meloche Monnex can cover periods from one day to six months, with daily rates typically ranging from $8 to $25 depending on the vehicle and driver history. These policies generally include the mandatory liability coverage plus options for collision and comprehensive protection.
For visitors staying longer than six months—such as international students or temporary workers—annual non-resident policies become necessary. These function similarly to standard Canadian auto insurance but may require an International Driving Permit (IDP) or certified translation of your foreign license. Premiums for annual car insurance in Canada for visitors average $1,500-$3,000, with safer drivers and older vehicles qualifying for lower rates.
Rental Car Insurance Considerations
Renting a vehicle introduces additional complexities regarding car insurance in Canada for visitors. While rental companies offer their own coverage—typically $25-$40 per day—many credit cards provide complimentary rental insurance if you use the card to pay and decline the rental company’s coverage. However, these credit card benefits often exclude certain vehicle types like trucks or luxury models and may have restrictions on trip duration.
Visitors should carefully review their existing travel insurance policies as well, as some include limited coverage for rental vehicle damage. When considering car insurance in Canada for visitors using rental vehicles, always verify what’s included in the collision damage waiver (CDW) and whether it covers items like windshield damage or towing.
Types of Car Insurance in Canada for Visitors
1. Short-Term Visitor Policies
- Covers 1 day to 6 months
- Available from CAA, Intact, and Travelers
- Average cost: $8-$15 per day
2. Non-Resident Insurance
- For students, expats, or temporary workers
- Requires Canadian driver’s license or IDP (International Driving Permit)
- Annual premiums range from $1,200-$3,000
3. Rental Car Insurance
- Offered by Hertz, Enterprise, and Avis
- Typically $25-$40 per day
How to Get the Best Rates on Car Insurance in Canada for Visitors
- Compare multiple providers (use online brokers like InsuranceHotline.com)
- Avoid unnecessary coverage (e.g., collision for older rental cars)
- Check credit card benefits (some cover rental insurance)
Final Advice
Car insurance in Canada for visitors is essential for legal and financial protection. Always verify coverage before driving.