RBC Insurance Advises Cross Border Travellers:
Get Adequate Travel And Auto Insurance
TORONTO, MARCH 8, 2011— As more and more Canadians
drive across the border to access less expensive flights for
U.S. and foreign travel , RBC Insurance reminds travellers
to protect themselves with comprehensive emergency travel
medical, as well as ensure they have adequate liability coverage
on their auto insurance - even if they are just visiting for
"Many Canadians don't think about emergency medical
or auto insurance when it comes to driving across the U.S.
border for short periods, because they are so close to home,"
said Tim Bzowey, vice-president, auto and travel insurance,
RBC Insurance. "Even if it's just for a few hours, there
are serious financial risks associated with not having adequate
auto and/or emergency travel medical insurance anytime you're
driving in the U.S."
FACTS AND TIPS:
- Before driving to the U.S., Canadians need to remember
to check the impact of their coverage with their auto insurance
provider and make sure they have sufficient coverage to
match their specific needs.
- One of the most important protections in your auto insurance
policy is liability insurance, which can help protect you
financially if you're in an accident and found legally responsible
for injuring someone or causing damage to another vehicle
or property - up to your insured limit.
- In Canada, it's mandatory to have minimum third-party
liability insurance of $200,000, except in Quebec and Nova
Scotia, where the minimums are $50,000 and $500,000 respectively.
- Most drivers purchase $1 million in liability coverage,
but for those who frequently drive to the U.S., where the
ability to sue is not restricted to serious injuries and
liability settlements and can be extremely expensive, it's
highly recommended to purchase $2 million. It's usually
only a fraction of the cost of your current insurance premium.
- If you are found legally responsible for injuring someone
or causing damage to another vehicle or property, and the
cost of damages exceed your liability coverage limit, you
may be held personally responsible for paying the excess.
For example, if the courts ordered you to pay a million
dollars in damages and you only have $200,000 in liability
coverage, you would have to pay the remaining $800,000 out-of-pocket.
- Medical assistance in the U.S. can be very expensive.
A two-day stay in a U.S. hospital for chest discomfort could
- Government health insurance plans typically do not cover
all out-of-country expenses. For example, an appendectomy,
which usually involves a one-day stay, could cost US
$10,000, with only US$1,100 covered by the health plan.
- Review your credit card contracts and any existing policies
before you travel. Credit cards often provide coverage for
a limited number of days or limit the amount travellers
can claim and not all credit cards offer medical insurance
coverage. Employment benefits may not cover all medical
emergencies and have limited travel benefits.
- Check any existing travel insurance coverage to make sure
it extends to your children, as many policies have age limits
for children covered under their parents' insurance.
- For travellers who cross the border multiple times a year
(and especially for last minute trips), a multi-trip annual
insurance plan can save you money and takes the worry away
from having to purchase travel insurance every time you
plan a trip.
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Margie McNeil, Corporate Communications,
RBC, 905 606-1425, email@example.com
Tim Bzowey is available for media interviews.