Car Insurance in Atlantic Canada: NB, NS, PEI and NL Compared
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Car insurance in Atlantic Canada is sold by private insurers in all four provinces: New Brunswick, Nova Scotia, Prince Edward Island, and Newfoundland and Labrador. Each province sets its own mandatory coverage, its own rules for minor injuries, and its own regulator that approves rates before insurers can charge them. This guide compares the four regimes side by side, with average premiums from a named source. For other provinces and insurance types, start from our insurance hub.
All figures come from provincial regulators and governments, as of October 18, 2026.
How car insurance works in Atlantic Canada
There is no public auto insurer in the Atlantic provinces. You buy a policy from a private insurer, through a broker, an agent, or directly. The province decides what every policy must include and how much insurers can charge, through a regulator that reviews rate filings in advance.
Three building blocks show up in all four provinces: third-party liability, accident benefits for injuries, and direct compensation for property damage (DCPD), which lets you claim vehicle damage from your own insurer when another driver is at fault. Where the provinces differ most is in how they limit payments for minor injuries.
Average car insurance premiums in Atlantic Canada
The Island Regulatory and Appeals Commission (IRAC) of Prince Edward Island publishes one table that covers all four provinces the same way. It uses data from the General Insurance Statistical Agency (GISA) for private passenger vehicles. The 2024 averages, on the page updated October 28, 2025, are shown in the table below.
| Province | Average annual premium (2024) |
|---|---|
| Prince Edward Island | $1,018 |
| New Brunswick | $1,208 |
| Nova Scotia | $1,302 |
| Newfoundland and Labrador | $1,359 |
Other official sources use different measures. The New Brunswick Insurance Board's annual report, dated March 1, 2025, shows $1,155 for New Brunswick in 2024, a figure that does not match the IRAC table. Compare provinces with one source only, and treat any average as a benchmark, not a quote. Our guide to how much car insurance costs explains what moves your own premium.
Minor injury caps and the Newfoundland and Labrador deductible
A minor injury cap limits what you can receive for pain and suffering after an injury that the law classifies as minor, such as many sprains and strains. Three Atlantic provinces use a cap, indexed each year. Newfoundland and Labrador uses a deductible instead. For 2026, the amounts are:
- New Brunswick: $9,926.59, for accidents on or after January 1, 2026
- Nova Scotia: $10,862
- Prince Edward Island: $9,659
- Newfoundland and Labrador: no cap, but a $5,000 deductible on pain and suffering awards since January 1, 2020
The cap applies to pain and suffering only. Accident benefits, such as medical and rehabilitation payments, follow separate rules.
| Province | Minor injury rule in 2026 | Rate regulator | Rate filings |
|---|---|---|---|
| New Brunswick | Cap of $9,926.59 | New Brunswick Insurance Board | At least every 12 months; hearing if the average increase is above 3% |
| Nova Scotia | Cap of $10,862 | Nova Scotia Regulatory and Appeals Board | At least every 2 years for private passenger vehicles |
| Prince Edward Island | Cap of $9,659 | Island Regulatory and Appeals Commission | Every year |
| Newfoundland and Labrador | No cap; $5,000 deductible on pain and suffering awards | Board of Commissioners of Public Utilities | Full filings every 3 years |
New Brunswick
According to the New Brunswick Insurance Board, every policy must include third-party liability of at least $200,000, plus property damage coverage, DCPD and accident benefits. You can buy higher limits than the minimum.
The Board approves rates in advance. Insurers must file at least every 12 months, and a public hearing is required when the requested average increase is more than 3%. In a decision dated July 23, 2026, for example, the Board approved a 12.05% increase for one insurer, Sonnet, on private passenger vehicles. Each insurer files separately, so increases vary from one company to another.
Nova Scotia
Nova Scotia sets a higher liability floor than New Brunswick. According to the province, the minimum third-party liability has been $500,000 since April 1, 2004. DCPD has been in place since 2013, according to a provincial discussion paper published in December 2022. That paper lists accident benefits of up to $50,000 for medical expenses and up to $250 a week for income replacement.
Rates are approved by the Nova Scotia Regulatory and Appeals Board (NSRAB). Insurers file at least every two years for private passenger vehicles. The NSRAB approved the 2026 industry rating tables effective October 15, 2025, with a benchmark increase of 11.4% for DCPD. If you rent in Nova Scotia, our guide to the cheapest tenant insurance in Nova Scotia covers your other policy.
Prince Edward Island
In Prince Edward Island, every auto insurer must apply to IRAC each year for approval of its rates. IRAC says auto is the only line of insurance whose rates the province regulates. DCPD applies to accidents on or after October 1, 2015.
Accident benefits come from the reforms of October 1, 2014, which set medical and rehabilitation benefits at $50,000 and income replacement at $250 a week. A provincial regulation also limits why an insurer can refuse, cancel or decline to renew a policy. The prohibited reasons include:
- Your age
- The age of your vehicle, with some exceptions
- Past coverage through the Facility Association
- Claims where you were not at fault
- A single late payment
- A gap in coverage of 12 months or less
Newfoundland and Labrador
Newfoundland and Labrador has no minor injury cap. Since January 1, 2020, a $5,000 deductible applies to pain and suffering awards, up from $2,500, according to the provincial government. The same reform added DCPD to the Automobile Insurance Act.
The Board of Commissioners of Public Utilities approves rates. Insurers make full filings every three years. According to the province's annual automobile insurance report of May 1, 2025, about 87% of the 77 filings in 2024-25 were approved at 3% or less, and the average change for private passenger vehicles was about 2%.
How to lower your premium
Your driving record is a key factor. At-fault claims and convictions can raise your premium for several years, so a clean record is the saving you control most directly.
Since every policy comes from a private insurer, shopping around is the second lever. Increases vary by company, as the New Brunswick example shows. Get several quotes with the same coverage and deductibles, using our insurance comparison tool and our guide to cheap car insurance. For a comparison with another private system, see our guide to car insurance in Alberta.
Finally, review your liability limit and deductibles at each renewal. The provincial minimum is a floor, not a recommendation.
- Same coverage in every quote: compare liability limit, deductibles and optional coverages line by line.
- Liability above the minimum: price a higher limit than the provincial floor before you renew.
- Renewal notice read: check whether your insurer's increase is in line with others, since each company files separately.
- Driving record checked: know which claims and convictions are still on your file.
Conclusion
The four Atlantic provinces share a private model, but the details differ. Nova Scotia requires $500,000 in liability, New Brunswick at least $200,000. New Brunswick, Nova Scotia and Prince Edward Island cap minor injury awards, while Newfoundland and Labrador applies a $5,000 deductible. Each province has its own regulator and filing schedule.
On the 2024 GISA data published by IRAC, Prince Edward Island had the lowest average premium of the four and Newfoundland and Labrador the highest. Your own price depends on your record, your vehicle and the insurer you pick. If you are new to the topic, our explainer on what car insurance is covers the basics.
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Frequently asked questions about car insurance in Atlantic Canada
Which Atlantic province has the cheapest car insurance?
On the 2024 GISA data published by IRAC, Prince Edward Island had the lowest average premium for private passenger vehicles, at $1,018. New Brunswick followed at $1,208, then Nova Scotia at $1,302 and Newfoundland and Labrador at $1,359. Your own premium depends on your record, vehicle and insurer. Our guide to car insurance costs explains the factors.
Is car insurance public in the Atlantic provinces?
No. In New Brunswick, Nova Scotia, Prince Edward Island, and Newfoundland and Labrador, car insurance is sold by private insurers. Each province sets the mandatory coverage, and a provincial regulator approves rates before insurers can use them. You can compare insurers on our insurance comparison tool.
What is the minor injury cap in Nova Scotia in 2026?
The cap on pain and suffering awards for minor injuries in Nova Scotia is $10,862 for 2026, according to the Superintendent of Insurance bulletin of January 22, 2026. It is indexed each year to Nova Scotia inflation. The cap does not limit accident benefits, such as medical payments.
What is the minimum car insurance liability in Nova Scotia and New Brunswick?
Nova Scotia requires at least $500,000 in third-party liability, a minimum in place since April 1, 2004. In New Brunswick, the Insurance Board says policies must include at least $200,000 in third-party liability. You can buy higher limits, since an at-fault claim can exceed the minimum.
Does Newfoundland and Labrador have a minor injury cap?
No. Newfoundland and Labrador does not cap minor injury awards. Instead, a $5,000 deductible has applied to pain and suffering awards since January 1, 2020, according to the provincial government. The same reform added direct compensation for property damage.
Who approves car insurance rates in Atlantic Canada?
Each province has its own regulator: the New Brunswick Insurance Board, the Nova Scotia Regulatory and Appeals Board, the Island Regulatory and Appeals Commission in Prince Edward Island, and the Board of Commissioners of Public Utilities in Newfoundland and Labrador. They review insurer filings before new rates take effect. More guides are in our insurance hub.
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