Which location is NOT covered under ICBC Autoplan coverage territory?

Prepare for the IBABC Fundamentals of Insurance Exam with our detailed quizzes. Utilize flashcards and multiple-choice questions with hints and explanations to ace your exam!

The correct choice is based on the understanding of ICBC Autoplan coverage territory. The ICBC Autoplan primarily covers vehicles while they are driven within British Columbia, Canada. Coverage generally extends to other areas in Canada, such as Alberta. However, the Autoplan does not provide coverage for driving in the United States or Mexico.

The reason Mexico is not covered under ICBC Autoplan is due to the nature of insurance policies, which often restrict coverage to specific geographical areas where the insurance is valid. Since the Autoplan is designed specifically for British Columbia residents and their vehicles, driving outside this territory, particularly in Mexico, requires separate insurance arrangements.

British Columbia is clearly a covered location under ICBC Autoplan, as it is where the coverage is provided. Similarly, Alberta is within Canada and generally adheres to the broader inter-provincial agreements, meaning coverage typically extends there. Therefore, Mexico stands out as the correct answer, as it is outside the insured territory of ICBC Autoplan.

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