Auto insurance

Personal vehicles

Replacement or repair cost coverage

This Auto Pak coverage option helps protect you against depreciation and rising repair costs, and supplies you with adequate protection for your new vehicle, in case of an unforeseen loss. As well, it protects you from spending more money to replace your vehicle.

If you own or lease a new private passenger vehicle, farm truck, van or motorhome, this option is for you. This option is only available for 120 days after you buy your vehicle.

Coverage features

• You may purchase the replacement or repair cost option any time within 120 days of delivery of your new vehicle.
• If we decide to replace damaged parts instead of repairing them, we will use new parts (not salvaged parts).
• If you own your new car and it is written off during the first 24 months, we will replace it with a brand new vehicle of the same make and model with similar equipment, no matter what the cost. Colour may vary.
  • Replacement during the remaining 12 months is based on the original purchase price, plus inflation.
• For owned vehicles, this option includes inflation protection of 6% for the 3rd year.
• For vehicles registered as a leased vehicle, you can obtain broadened coverage over the normal gap coverage offered by other insurers.
  • Gap coverage only makes up the difference between what the policyholder owes the leasing company at the time of loss (residual value) and the licence plate insurance actual cash value (ACV) settlement.
  • Gap coverage doesn’t protect the original cash down payment or the depreciation on the vehicle. If a loss occurs, SGI CANADA will pay the difference between the ACV settlement up to the amount shown on your policy.
• New equipment added after you purchased your vehicle is also covered, but it must be added to the policy within 120 days of delivery of the vehicle.
• Dents that can be repaired without repainting – known in the auto industry simply as paintless dent repair (PDR) – are covered for amounts under $150 for policies with a $100 or $200 deductible. The policy deductible is waived on these losses.
• Your policy deductible will be waived if the vehicle has been deemed a total loss.

3-year protection

First and 2nd year (24 months)

Your replacement or repair cost option applies to collisions and all losses covered by an Auto Pak policy.

Third year

You’re protected for the same types of losses as the first 24 months, except for fire, theft, water, vandalism and malicious mischief.