Why You Need At Least $2 Million of Third Party Liability Coverage In Your Automobile Insurance Policy

What is the main purpose of third-party liability?

Third party liability coverage in an automobile insurance policy will cover you if you are at-fault in a motor vehicle accident. In addition to giving you peace of mind, the main purpose of third-party liability coverage is to protect your assets in the event damages are assessed against you.

Standard practice for insurance companies and insurance brokers in Alberta is to recommend $1 million in third-party liability coverage in an automobile insurance policy. As a personal injury law firm, we urge you not to default to this standard practice, rather purchase $2 million or more in third-party liability insurance. Continue reading