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Car Insurance in New Brunswick: Coverage Rules, Accident Benefits and Costs

Updated

New Brunswick has a private, competitive car insurance market regulated by the Financial and Consumer Services Commission (FCNB). You can shop every part of your coverage, and the province combines a modified tort system for injuries with direct compensation for vehicle damage. The General Insurance Statistical Agency’s 2024 average premium for the province was about $1,208 per vehicle, all coverages combined; how that compares with other provinces is on our average car insurance by province page, and our other guides are in the car insurance hub.

How New Brunswick’s system works

FeatureNew Brunswick
MarketPrivate and competitive
RegulatorFinancial and Consumer Services Commission (FCNB)
Minimum liability$200,000
InjuriesModified tort: no-fault accident benefits, plus the right to sue; pain-and-suffering damages for a minor injury are capped at $9,926.59 for accidents on or after January 1, 2026
Vehicle damage when not at faultDirect compensation (DCPD)

Under direct compensation property damage, when another driver causes the crash your own insurer pays for the damage to your car and its contents, and for loss of use, to the extent you were not at fault and less any DCPD deductible, so you deal with your own company rather than the other driver’s.

Mandatory coverage and accident benefits

CoverageMinimum
Third-party liability$200,000
Accident benefitsStatutory
Uninsured automobileRequired
Direct compensation (DCPD)Required

New Brunswick’s standard accident benefits (Section B of the standard policy) pay:

BenefitAmount
Medical and rehabilitation$50,000, within four years of the accident
Income replacement80% of gross weekly employment income, up to $250 a week
Death benefit$50,000 for a head of household, $25,000 for a spouse, $5,000 for a dependant
Funeral expenses$2,500

Medical and rehabilitation benefits do not pay expenses covered by a health plan, a law or other insurance (other auto insurance aside). The income benefit is for people employed at the time of the accident, and other income-replacement payments are deducted from it.

The weekly income benefit replaces little of most incomes, which is why enhanced accident benefits are sold as an add-on; they matter most to drivers without disability coverage through work.

Liability can be raised above the $200,000 minimum, and any quote shows the cost of a higher limit.

Optional coverage

Collision and comprehensive cover your own car; the difference is explained in collision vs comprehensive insurance. Common add-ons include loss of use (a rental during repairs), accident forgiveness, and a waiver of depreciation for new vehicles.

What drivers pay

The only published average for the province is the General Insurance Statistical Agency’s: about $1,208 per private passenger vehicle in 2024, all coverages combined, up from $978 in 2020. Individual premiums spread widely around that figure: newly licensed and young drivers pay the most, an at-fault claim raises the price, and insurers rate each area of the province on its own claims history, so cities and rural areas are priced differently. The costs facing new drivers, and how to reduce them, are covered in car insurance for new drivers.

Shopping for coverage

Car insurance in New Brunswick is sold both through independent brokers, who quote several insurers at once, and directly by insurers that sell without a broker, so a complete comparison includes both. How the major companies compare is in best car insurance companies in Canada, and the discounts that apply in every province are in our guide to lowering a car insurance premium.

Claims and disputes

Claims go to your own insurer, and crashes must also be reported to police, immediately, where provincial law requires it, such as when someone is injured. If another driver caused the crash, direct compensation means your own company handles the claim for your vehicle. When repairs would cost more than the car is worth, the settlement follows the actual cash value process covered in what happens when your car is written off.

If you disagree with a claim decision and your insurer’s complaint process does not resolve it, the FCNB and the General Insurance OmbudService (GIO) both handle consumer complaints.

Sources

The figures and rules on this page come from these sources, last checked against them on September 25, 2026. How we check facts.