License

License or licence is defined as granting permission. The license is the actual document demonstrating that permission.

A person operating a vehicle, the driver, must carry a valid license and registration for the vehicle that is being driven. If a driver has a suspended license then that person cannot legally operate a vehicle.

Driving license can range from a learners permit which is the lowest class available to the highest class which would be needed to drive a large truck like you see pulling the trailers on the nation's highways. Some provinces and territories have graduated licensing. This puts further restrictions on new drivers.

Your license affects your insurance because the underwriter will request a current abstract with a new application or they can also check when renewing your policy. The abstract declares how many tickets or convictions you have on your license in the last three year period. The result of this inquiry will help determine the premium for that vehicle. A "clean" license is one without any convictions. You can get an additional discount if you have a clean license.

Once a driver reaches a certain number of convictions or tickets resulting in a set number of points your license will be suspended. You can take a defensive driving course which will reduce the total points and stop the suspension. Insurance is not about the points. Insurance still sees the tickets and does not consider the points. This is an important issue and you need to be aware of the difference.

Insurance brokers and agents need to have licenses as well. They must pass exams and maintain education levels to keep their license in force. The insurance industry has standards and ethics that insurance personnel are to follow. If an insurance person failed in this then they could lose their license.

To be a car dealer or repair garage requires licensing. Most business owners require a license from the town or city where they operate. You need a license from the liquor control boards if you are going to distribute liquor, even at a wedding.

You can check with your registry office or your agent or broker about licensing requirements. You will find that some provinces split the responsibility for insuring and licensing and others keep it all together.