Drivers in Newfoundland are required to have at least a minimum level of car insurance coverage in place under provincial law. At least $200,000 in third party liability coverage must be purchased to pay for damages caused in one accident. When a claim is being made for injuries and lost wages as well as damage to property, the property damage portion of the claim is subject to a $20,000 cap.
People who have been injured in a car accident have the right to sue the at-fault driver for pain and suffering and lost wages. The claim will be subject to a $2,500 deductible.
In Newfoundland, at-fault drivers can also be sued for the difference between the amount payable for income replacement after an accident and the actual wage loss.
Medical payments coverage is optional in this province. A driver can choose to buy $25,000 in coverage which is in addition to any amounts covered by the provincial health insurance plan or private insurance policy they have available.
Income replacement protection of up to $140 per week is available for a maximum of 104 weeks. This benefit will be paid for life if the recipient is totally disabled as a result of the accident. An unpaid housekeeper benefit of $70 per week may be paid for up to 12 weeks.
A death benefit of $10,000 for the head of the household will be paid if the injured person dies within 180 days of the accident. Dependents will receive $1,000 each.