Can I tow a car without insurance?
7 minute read Published on Aug 6, 2025 by BrokerLink Communications
Every year, more than 300,000 drivers in Ontario need a tow, according to the Ontario Newsroom. And in Alberta, the Alberta Motor Association (AMA) helps with over 200,000 tows through their roadside assistance program. Whether it’s a breakdown, a flat tire, or an accident, towing is a common part of life on the road in Canada.
But what if you find yourself in need of a tow without insurance? What then? Can you still have your car towed? And if the tow truck operator has insurance, do you even need it? We answer these questions and more below.
Can I have my car towed in Canada if I don't have coverage for a tow truck?
Yes, you can still get your car towed in Canada, even if your car insurance policy doesn’t cover it. You’ll just have to pay for it out of pocket. Tow truck companies are available 24/7, but the cost depends on things like distance, time of day, and where you’re located.
If you don’t have towing insurance coverage, such as roadside assistance through your insurer, you can call a local towing company, check if your credit card or car manufacturer offers towing benefits, or use a service like CAA (Canadian Automobile Association).
Is it legal to tow an uninsured car in Canada?
If your car is uninsured, it cannot be driven on public roads. It is illegal to operate a motor vehicle in all provinces without valid car insurance. However, having it towed is different. If the car is securely loaded onto a flatbed tow truck, it is not considered “in use,” meaning it doesn’t need active insurance and, therefore, you can have it towed.
That said, if you plan to tow the vehicle using a tow dolly, trailer, or another vehicle, things get more complicated. Some provinces require any towed vehicle with wheels on the road to have valid insurance and registration. If you’re caught towing an uninsured vehicle this way, you could face fines, vehicle impoundment, or legal penalties.
What is car towing, and how does it work?
Car towing is the process of moving a vehicle using another vehicle or specialized equipment when it’s unable to be driven. This is typically done by tow truck operators or private individuals using proper towing methods, such as:
- Flatbed towing
- Tow dolly
- Tow bar
- Rope towing
Licensed tow truck operators are authorized to tow vehicles legally. However, private individuals can tow a car if they follow their provincial regulations, use proper equipment, and ensure the vehicle is insured if required.
If the tow truck operator has insurance, why do I need insurance on my car as well?
Towing a car without insurance comes with several risks, both financial and legal, depending on how and where the vehicle is being towed. Here are some of the risks to consider:
The tow truck's insurance may not cover your car completely
Most tow truck companies have liability insurance, but this typically covers damage caused by the tow truck operator, not damage to your vehicle due to other factors like accidents, vandalism, or theft while in transit. Plus, many tow companies require you to sign a waiver before towing your car, which states that they’re not responsible for any damages that occur during transport. If your car gets damaged and their insurance doesn’t cover it, you’d have no way to recover the costs without your own policy.
Your vehicle could cause an accident
If your car comes loose while being towed and hits another vehicle or property, you could be held responsible for the damages. Without insurance, you’d have to pay out of pocket for any injuries, repairs, or legal fees that result from the accident.
Some provinces require you to have car insurance
In some provinces, if a vehicle is being towed with its wheels on the road (e.g., using a tow dolly or flat towing), it may be legally required to have valid insurance and registration.
You'll need it to get your car out of the impound lot
If your uninsured vehicle was towed away for being parked on the road, it will likely be taken to a local impound lot. In order to get your car out of impound, one of the requirements is providing proof of insurance. If you don't have insurance, you will need to obtain valid car insurance, as well as pay any towing and storage fees, before you can get your car back.
Can a tow truck driver tow my vehicle if they don't have insurance?
Not legally. In Canada, tow truck drivers are generally required to have insurance before they can legally operate. For example, as of January 2024, in order to cover any potential damages, Ontario tow truck drivers need to carry:
- At least $2 million in liability insurance
- $100,000 in consumer vehicle coverage
- $50,000 in cargo liability insurance
If a tow truck driver doesn’t have insurance, they’re not following provincial regulations, and that could put you at risk. Without proper coverage, any damage to your car while being towed might not be covered, leaving you to pay for repairs out of pocket.
Before handing over your keys, it’s a good idea to ask the tow truck company about their insurance coverage. If something feels off or they refuse to provide proof, it’s best to look for a different, properly insured towing service to avoid any unnecessary headaches.
Steps to take before having your car towed
If you need a tow truck to get your car to a repair shop or its new home, take a moment to think about your safety, time, and money before making the call. Not all tow services are the same, and choosing the wrong one could lead to unnecessary towing costs or delays.
To protect yourself and your vehicle, follow these simple steps before agreeing to a tow to help ensure you're dealing with a licensed, insured, and reputable tow truck operator while avoiding any surprise fees or scams:
1. Check if your car is still driveable
If you've been in an accident, then before calling a tow truck, see if your car is still safe to drive. If the hood latches properly, there are no leaks, the brakes and steering work, and the lights and mirrors are intact, you might be able to drive yourself to a repair shop. If you're unsure, ask a police officer on the scene for clarification. Skipping a tow could save you time and money.
2. Call your insurance provider
If you're towing an uninsured car, you can skip this step. Your insurance company deals with accidents all the time, so give them a call before deciding on a tow truck. They can guide you on what to do next and may even have a list of trusted towing companies for you to contact. If you have an insurance broker, they may be able to help as well.
3. Pinpoint your location
Before calling for a tow, be sure you know exactly where you are. Look for street signs, highway mile markers, exit signs, or nearby landmarks to help the tow truck find you quickly.
4. Prepare your car for towing
If you've been in an accident, take photos of your car, any other vehicles involved, and the accident scene before the tow truck arrives. These can be useful for insurance claims. Also, remove any valuables from your car, including your phone, wallet, or purse, just in case your vehicle is held at a tow yard.
If you're just looking to tow your vehicle to its new home, you likely won't need to do much to prepare it. However, you can double-check that there's nothing left behind by the previous owner (or yourself!) if you're towing a used car.
5. Read the tow agreement carefully
When the tow truck arrives, double-check that it’s from the company you called. Some tow drivers show up uninvited and try to take advantage of stranded drivers.
Once you get the towing agreement, read it carefully. You should receive a clear, itemized invoice detailing the costs. If the price seems too high, don’t be afraid to call another company. Some provinces have standardized towing rates, so check online to see if you’re being overcharged.
Also, make sure that your tow truck driver is certified and has insurance. This way, you'll know that they can legally tow your vehicle and are protected if something happens.
6. Be careful of towing scams
It's important to watch out for towing scams. Some tow truck drivers (known as "chasers") may push you toward certain repair shops in exchange for a referral fee. But remember, they cannot tow your vehicle to a repair business unless you agree to it.
In fact, Southway Towing in Ottawa landed in hot water after facing nine charges under the Towing and Storage Safety and Enforcement Act for towing vehicles without authorization and demanding payments without consent. Don't let the towing company push you into taking your vehicle to a repair shop you don't know. It's always best to stick with the repair shop recommended by your insurance provider or one you trust.
Get a free car insurance quote from BrokerLink
Are you currently without car insurance and in need of a policy? BrokerLink can help. We work with some of the top insurance providers across Canada to help bring you the best policy and the best price for your needs. We can also help you in reviewing your current policy to tell you whether towing is included as part of your coverage.
You can reach us by phone, email, or in person at any one of our locations throughout Canada. No matter how you choose to get in touch, a BrokerLink insurance advisor will be happy to assist you. We also encourage you to take advantage of our free online quote tool that can provide you with a competitive quote in minutes.