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Prince Edward Island · Knowledge Test · Instruction Permit · Highway Safety Division

Prince Edward Island Knowledge Test — Instruction Permit Practice Question

Knowledge test administered by Highway Safety Division for the Instruction Permit licence. 40 questions, 80% to pass.

Province progress 0 / 397
Accuracy —
Rules of the Road

PEI's auto insurance system is best described as:

Show Answer & Explanation
Correct Answer: B. Tort system with a minor-injury cap

Tort systems preserve the right to sue while caps prevent runaway claims for minor injuries.

Why the other answers are wrong

  • A.Pure no-fault — insurer pays own driver regardless of causePure no-fault applies in Manitoba and Quebec, not PEI.
  • C.Government-run monopoly insurerGovernment-run insurers are in BC (ICBC), MB (MPI), and SK (SGI) — PEI uses private insurers.
  • D.Federal poolAuto insurance is provincial; federal pools do not exist for personal auto.