CANADIAN INSURANCE TERM
Collision Coverage
Optional automobile physical-damage coverage that can respond to certain damage to the insured vehicle caused by collision with another object or by upset, subject to the policy wording and deductible.
Plain-language definition. A real policy, endorsement and provincial law can use more specific wording than a glossary summary.
TermCollision Coverage
ContextCanadian insurance
Source typeIndustry glossary
Policy wordingControls claim
What does Collision Coverage mean?
Optional automobile physical-damage coverage that can respond to certain damage to the insured vehicle caused by collision with another object or by upset, subject to the policy wording and deductible.
Collision coverage is separate from mandatory liability coverage and separate from comprehensive coverage for many non-collision losses.
Collision Coverage in practice
Damage to your insured vehicle after striking another vehicle may fall under collision coverage, subject to the circumstances and policy terms.