If you have any questions about insurance terms, please see our
insurance
terms glossary.
What is an insurance
broker?
An insurance broker is like an
independent advisor for your insurance needs. Independent of
insurance companies, an insurance broker shops around to find you
the right insurance coverage, based on your needs and their
expertise.
Read more about The Benefits of
Using an Insurance Broker.
What is liability
insurance?
If you are held liable for an injury or for property damage,
liability insurance has you financially covered. Liability
insurance covers the cost of damages for accident benefits, medical
costs, lawsuits and awards in the event of personal injury or death
from an accident involving the insured party.
I was in a collision.
What does it mean when my insurance company says I'm at fault or
not at fault?
Your car
insurance company is saying you were either responsible for
this collision ("at fault") or not responsible for it ("not at
fault"). No matter how big or small a collision, your car insurance
company will assign a percentage of fault to you and another driver
involved. They base this percentage on a strict set of collision
scenarios that have been established over time and are included in
an official document called: "Fault Determination Rules" (it is not
a "judgment" call and your insurance broker does not have the
ability to change your at fault rating). Fault percentages look
like this:
"At fault" = 100% at fault.
"Not at fault" = 0% at fault.
"Partially at fault" = any two percentages that add up to 100%.
(50% could be assigned to either driver, or 30% to one and 70% to
the other)
Regardless of whether you are fully or partially responsible,
your car insurance company is required to mark "at fault" on your
insurance record.
For further explanation, view this video by the
Insurance Bureau of Canada, and contact your Rhodes &
Williams Insurance Broker with any questions
What is no-fault
insurance?
Many provinces in Canada now have some level of no-fault
insurance in which each person's own insurance company pays for
injury or damage - up to a given limit. This applies regardless of
whether or not the insured person was at fault, hence "no
fault."
In some provinces, they have a pure no fault insurance policy,
while in others, such as Ontario, there is a threshold system in
which "no-fault" really only applies up to a certain threshold of
liability; injuries that are not "serious and permanent" are
covered by your own insurance.
For further explanation, view this video by the
Insurance Bureau of Canada, and contact your Rhodes &
Williams Insurance Broker with any questions
Does my car insurance cover me
outside of Canada?
Your car
insurance usually still applies for short trips between
provinces or into the continental United States. Make sure you talk
to your insurance broker about the specific details of your own car
insurance policy.
What should I do if my
home is going to be unoccupied?
Your insurer considers an unoccupied dwelling riskier than an
occupied one. Depending on how long you are away from your home,
you need to make arrangements to ensure your dwelling is checked
regularly, especially through the heating season. In some
circumstances, you may need to inform your insurer.
Below are the guidelines for most of the insurance companies we
represent. If your home will be unoccupied we recommend that you
contact us and speak with your insurance broker about the specific
requirements for your insurance company and policy.
When away for a short time
If you will be away from your home for fewer than 30 days you
likely do not need to inform your insurer. However, you do need to
arrange for a competent person to look in on your home every day to
make sure that everything is in good order. If a deep freeze and/or
a broken furnace result in exploding pipes and water damage that
goes unnoticed for several days, your insurer could refuse to cover
the costs if no one was looking in on the house.
For longer absences
If you are away for more than 30 days your home is considered
"unoccupied" because you plan to return. In this case you should
contact us to determine whether you will need to inform your
insurer and obtain a special permit to leave the house empty. You
will still need to arrange regular checks on the property, and you
might want to consider draining water pipes and installing a good
security alarm.
If the property is empty
A fully vacant property is one with no occupants and no contents.
This may occur if a house sale is delayed and the property remains
vacant until sold. In this case you may need to obtain a vacancy
permit from your insurer. This permit will maintain most of your
coverage, except for risks associated with vacancy such as broken
water pipes, broken glass or vandalism. These permits can be
obtained for up to three months.
Travelling?
Personal items covered by your home, condo or tenants insurance are
usually also covered when they are temporarily away from these
locations, for example, when you are travelling subject to policy
exclusions and limits. Items belonging to a dependent temporarily
living outside your home to attend school, for example, may also be
covered (up to a limit). Contact your Rhodes & Williams
professional to discuss how your policy addresses your particular
situation. Other items such as those used for a home business,
however, will require additional coverage.
What is considered an Act of
God?
An act of God is a flood, earthquake or any other accident
or event arising purely from natural causes and without human
intervention, of such a nature of magnitude that it could not have
been foreseen or prevented by reasonable care or foresight.
Contrary to popular belief, not all Acts of God are covered in an
insurance policy. Speak with your insurance broker at Rhodes &
Williams to discuss which Acts of God are covered and which are
not.
I'm currently with another
insurance broker, but would like to change. Can Rhodes &
Williams help me do that?
Yes. One of our insurance brokers will help
you transfer over your insurance coverage, review your current
needs, and lend you valuable advice when it comes to personal
insurance.
Are there benefits in
combining my home insurance and my car insurance?
Yes, combining your policies will get you additional discounts
on both your car and home insurance. Having all your insurance
policies with one broker is also the most convenient way to look
after your insurance policy changes and the best way to avoid
coverage gaps.
Is Earthquake covered
under my property insurance?
NO! Earthquake insurance is not
covered under a standard homeowner's policy. We buy insurance to
protect us in case of disaster, and an earthquake is one of a few
potential disasters, that most people actually don't have insurance
for. Did you know that there is a "fault line" in Ottawa, and that
represents a heightened risk for earthquake? A recent article
in the Ottawa Citizen, entitled "Scientists map Ottawa
Quake Risk" provides a lot of information. I think most people
should at least consider protecting themselves against one of the
potential most damaging disasters.