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Frequently Asked Questions
Automobile Insurance


What is the difference between Collision or Upset Coverage and Comprehensive Coverage?

Collision or Upset Coverage is an optional protection which protects your vehicle if it is damaged in an accident resulting from an impact with another object. Comprehensive Coverage is an optional protection which protects your vehicle against loss or damage other than that caused by a collision or upset, such as hail, flood, theft, fire, glass breakage, falling objects, vandalism, etc.

How is my insurance premium calculated?

Your premium is based on various factors including the location of your residence, what your vehicle is used for, the year, make and model of your vehicle, your driving record, your auto claims record, your driving experience, and the chosen coverage.

What is the discount offered to drivers who “drive less”?

Our analyses reveal that for drivers with a similar record, those driving 5,000 km per year will pay about 25% less than those driving 25,000 km. Driving 15,000 km will provide a discount of about 10%.

Does National Bank Insurance offer a discount for hybrids? What is the discount percentage?

We are aware that hybrids are currently more expensive than other vehicles in the same category. Unlike other insurers, our premium will be 10% lower even though hybrids are more expensive.

Is the personal property in my vehicle covered by my automobile insurance policy?

Your automobile insurance policy covers what is permanently attached to your vehicle or what is used for the normal operation and use of your vehicle. Any items that are not permanently attached to your vehicle, such as the content of your baggage compartment, would be covered as part of your homeowners insurance policy. It is important to know that you need to notify your insurer if you install a high-value sound system or any other equipment adding value to the vehicle, such as a more powerful engine. If not declared, this could affect your insurance rates and in the event of a loss you could be denied part of your compensation.

Why is it important to have civil liability coverage?

The Quebec Auto Insurance Plan is an insurance which protects everyone residing in Quebec from the risks associated with road travel; it provides coverage to all road users for injuries sustained in or death resulting from a road accident. It does not only cover drivers but anyone using the road. For physical damage, the Automobile Insurance Act requires all vehicle owners to take out basic accident benefit coverage and a minimum of $50,000 in civil liability. Your automobile insurance certificate (pink card) is proof that you have the necessary amount of automobile insurance. Additional coverage could be necessary in the event of an accident in Ontario or the United States, for example. National Bank Insurance recommends a minimum of $1,000,000 in civil liability coverage.

How long do I have for reporting a loss?

Under the terms of your policy, you are required to immediately report any type of loss to ensure our Claims Department can promptly and adequately proceed with the claim investigations.

Can I choose the amount of deductible I want?

You can ask to increase or decrease your deductible, subject to certain requirements such as your driving record. With a higher deductible you could potentially save money. For more information, contact one of our claims experts at 514 871-7500 or 1 877 871-7500.

Do I need to take out insurance when renting a vehicle?

If you have the Drive Confident Package, you don’t need additional coverage when you rent a vehicle. This additional coverage of $50,000 will protect you when you travel anywhere in Canada or the United States. If you don’t have this protection, you need to buy the insurance offered by the rental firm.

If my vehicle is damaged in an accident, do I have to take it to one of your preferred shops for repair?

We have agreements with certified repair shops in several regions of Quebec. These shops have been carefully selected for their expertise and the quality of their work, which is guaranteed as long as you remain the owner of the vehicle. Our claims adjusters will direct you to a certified shop but it is up to you to decide whether or not you want to do business with them. In what circumstances should you opt for replacement cost coverage?

This coverage is the obvious choice for a new or rented vehicle. Otherwise, depending on the age of the vehicle, it remains entirely up to the client whether or not to take it. Our commitment mainly consists in providing you with a vehicle similar to the one you purchased new. If the vehicle is not a total loss, this protection will cover the necessary repairs, with new parts.

Is it necessary to file a police report for all incidents and accidents?

A policy report must be filed for all accidents that have a major impact, such as collisions, thefts and hit-and-runs. A deposition will help document the facts and will facilitate the investigation.

Can I cancel my policy mid term?

You can cancel your policy at any time; however, we will retain the premium earned in accordance with the short-term rate if you don’t cancel your policy at the time of renewal. The amount retained will depend on when you choose to cancel your policy.

How can I inform you of a change to be made to my policy?

You can inform us of any changes to be made to your insurance policy (address, coverage, drivers) in one of two ways:
  1. Via our website, using one of the available forms.
  2. By contacting one of our Customer Service agents at 514 871-7500 or 1 877 871-7500.

Is my personal information protected?

Our site is subjected to the highest standards for online transactions. Every precaution is therefore taken to ensure that the personal information you send us is properly protected. In short, this means that all communications between your computer and our servers regarding your online quote and purchase are secure (SSL). Click here to learn more.

How do I proceed if I need a substitute vehicle after an accident?

Call our Claims department at 514 871-7500 or 1 877 871-7500 for us to make the necessary arrangements for rental as soon as your adjuster has verified with you whether this is covered in your policy.

What are the factors determining whether a vehicle is a total loss?

If the cost to repair your vehicle is higher than its book value or actual cash value, it will be declared a total loss. Our adjusters refer to several sources in order to determine the vehicle’s book value, which is adjusted according to the vehicle’s mileage, condition and equipment at the time of the accident.

I had an accident. I thought I was not at fault but my insurer determined I was. How does this work?

There is an Agreement most insurers use to determine the degree of fault in an accident. It takes various factors into account such as the circumstances of the accident, the location of the insured’s automobile in the intersection, if there was passing involved, etc. The Agreement, which uses charts and cases to determine fault, settles 98% of litigations. For the remaining 2%, insureds may appeal the decision.

Can you choose not to get coverage for physical damage to your vehicle?

Most of the time, people who choose to buy only civil liability coverage have an old vehicle that has very little value. It may be tempting to save up by taking only the mandatory insurance portion but in the event of theft or at-fault collision, you would have to assume responsibility for all costs.

How do I report an accident or loss outside business hours?

You can contact our Claims department 24 hours a day, 7 days a week, at 514 871-7500 or 1 877 871-7500. Our claims experts are available at all times.

Will new parts be used to repair my vehicle?

Your automobile insurance policy covers repairs made with parts of similar type and quality. Your vehicle could be repaired using new, after-market, or used parts. Parts relevant to security, such as the tires, are replaced with new parts, but may be subject to betterment costs. For instance, if at the time of the accident your tires were 80% used, a betterment charge of 80% would be applied as this would extend the life of your tires.

Anthony, our daughter Stephanie’s 19-year-old boyfriend, will be our designated driver this Saturday night. Is this wise from an insurance standpoint?

Designating a driver is a very responsible thing to do. Since Anthony drives this vehicle only occasionally, he doesn’t have to be declared on the vehicle owner’s insurance policy in order for the costs to be covered in the event of an accident. In automobile insurance, it is the vehicle owner’s insurance which covers the friends and family who drive the vehicle on an occasional basis. The occasional driver does not have to be 25 years old but is required to have a driver’s license.

Why is automobile insurance so expensive for young drivers?

Automobile insurance rates have to take several factors into account, including: • Gender • Age • Driving record • Vehicle use • Vehicle model Automobile insurance rates are based on the risk that certain groups represent according to insurance companies’ loss experience statistics. As a general rule, history has shown that young people represent a higher risk. However, age is not the only criteria used; a good insurance record (no claims) will help offset higher rates. Also, the more recent the vehicle model is, the higher the premium is going to be. This is why several young drivers choose to gain driving experience with a used vehicle.

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