Auto Chapter 2 Flashcards
Third Party Liability
arises from use of automobile and resulting of bodily injury or death or property damage. “insured” in whoever has consent of insured to operate any part of vehicle.
What are the exclusions not covered under liability
damage to property on or in the vehicle and nuclear hazards/explosives. Or anything that exceeds the limits.
What are the priority of payment limits in Ontario
95% bodily injury and 5% property damage
What are the regulations of the Insurance Act that determine who is at fault
Fault determination rules
non-pecuniary (non-economic) loss
payment for loss or harm that is not assessable in money.
What is the purpose of Absolute Liability Law?
the insured agrees to reimburse the insurer for all amounts the insurer is required to pay, for which the insurer would not otherwise be liable under the policy.
Who has insurable interest in an automobile policy?
the registered owner, and named insured
Who is insured under the Liability coverage section?
name insured, registered owner, anyone the owner gives consent to operate the vehicle, anyone who is an occupant of the vehicle who operates a part of the vehicle.
What types of losses are not coved under the liability section of the policy?
property in the vehicle or contamination of that property, nuclear hazards, and amounts over the policy limit.
What are the thresholds of non-economic loss
death, permanent serious disfigurement, permanent serious impairment, mental or psychological function
What are the agreements of the insurer under liability
reimburse medical aid to 3rd parties, investigate negotiate and settle all claims, pay court costs(over and about limit) Defend insured against all suits, pay up to limits of the jurisdiction in which accident occurred, insurer will not use legal defence that isn’t available.
what are the minimum limits of liability insurance in Quebec, NS and ON
Q- 50k, NS- 500k, ON-200K
What are the benefits of dcpd
faster settlements, less litigation and investigation, insured to deal with their own insurer, less confusion over who pays the deductible.
