Facility Association Insurance

The Facility Association serves Alberta, Yukon, Northwest Territories, Nunavut, Ontario, New Brunswick, Nova Scotia, Prince Edward Island, and Newfoundland & Labrador. This non-profit organization is made up of every Canadian insurer that writes automobile liability insurance in those provinces and territories. Every member of the Facility Association must abide by the rules set out in the Plan of Operation.

Plan of Operation

You can download a copy the Plan of Operation by clicking here. It is available on the Facility Association website. The document outlines the operating principles of the association and it is broken up into four sections: general, servicing carriers, brokers, and risk sharing pools.

High Risk Insurance

Facility Association is not able to provide car insurance but they are an organization that tries to help high risk drivers find insurance. You may be a high risk driver because of a poor driving record, a history of cancelling your insurance, a history of at-fault accidents, or a history of not paying your premiums. The Facility Association works with certain insurance companies to issue car coverage, and also to help handle claims on its behalf. When you get insurance through the Facility Association (or their affiliated insurers) your premiums will start to decrease as time elapses since your last conviction or accident.

How Do I Get Insurance From the Facility Association?

You can buy Facility Association auto insurance from any licensed insurance agent or broker in the provinces listed at the top of this page. Be warned – premiums are going to cost a lot more than with traditional car insurance policies. This is because you are deemed to be a high risk driver. If you have been denied insurance, the insurance company can issue a declination letter. You will need to submit this ether to the Facility Association to apply for insurance with them.

Why You Might Need This Coverage

If you have a poor driving record, or no driving record, then you might not be able to purchase coverage from a traditional insurance company; in this case you would have to contact an agent or broker about Facility Insurance. If you have two or more moving violations on your record you might also have trouble finding insurance. Only a very small fraction of Canadians need to purchase Facility Association car insurance but if you have been denied coverage in the past you might want to consider it.

Having to buy Facility Association insurance isn’t a life sentence. If your driving record improves or if the insurance marketplace changes then you will eventually be able to find coverage from other insurers. This coverage should be significantly less expensive. The best thing you can do is drive appropriately and build up a good driving record.