The mission of the Property and Casualty Insurance Compensation Corporation is to protect eligible policyholders from undue financial loss in the event that a member insurer becomes insolvent. We work to minimize the costs of insurer insolvencies and seek to maintain a high level of consumer and business confidence in Canada's property and casualty insurance industry through the financial protection we provide to policyholders.
For well over a century, hundreds of competing property and casualty insurance companies in Canada have honoured millions of claims - amounting to billions of dollars - promptly, and in full.
Insurance company failures, although rare, can and do occur. That's why Canada's property and casualty (P&C) insurance companies fund a special program, approved by government regulators, to protect policyholders and claimants.
In the unlikely event of the failure of a P&C insurer in Canada, the industry-funded, non-profit Property and Casualty Insurance Compensation Corporation (PACICC) will respond to claims of policyholders under most policies issued by P&C insurance companies. You don't need to apply for protection - it is extended automatically to eligible policies.
Members of PACICC are the private companies which insure the homes, cars, business and other property of Canadians. As part of its preparedness, PACICC maintains a liquidity fund that is sufficient to cover the early cash flow requirements of an insolvent insurer.
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