FPQ 5, Endorsement 43A or 43D: Which one to choose in 2026?
Three different types of protection against the loss of value of your vehicle. All useful, but in very different situations. Here is the clear comparison and use cases.
Compare coverage for freeYou have just bought a vehicle in Quebec and your broker — or dealer — offers you a ” replacement cost .” There are three formulas: the FPQ 5 contract, the 43A endorsement and the 43D endorsement. They look similar at first glance, but each has its own rules, duration, mechanism and cost. This guide helps you choose the right formula for your situation.
The comparison in a table
| Feature | FPQ 5 | Endorsement 43A | Endorsement 43D |
|---|---|---|---|
| Legal | Stand-aloneContract | Auto Policy Endorsement | Auto Policy Endorsement |
| Eligible vehicles | New, demo, used up to 10 years | New only | New and recent used |
| Duration | 24 to 84 months depending on vehicle | Often 24 months / 40,000 km | 24 to 60 months |
| Premium Payment | Cash, 3 instalments or monthly for up to 60 months | Included in annual car premium | Included in annual car premium |
| Impact on Auto | ✅ Policy None — separate | ⚠️ contract Can affect history | ⚠️ Can affect history |
| Long-term | ✅ rental Compatible | ❌ Not | ✅ compatible |
| Early termination | Yes, prorated repayment | Yes, policy amendment | Yes, policy amendment Yes, policy amendment |
| Renewable | ❌ No | ✅ Yes, with the car | ✅ policy Yes, with the car policy |
When to choose the FPQ 5
✅ FPQ 5 is the right choice if:
- You want the claim not to penalise your file with the car insurer (independent contract);
- You are buying a used vehicle that is 10 years old or less (only FPQ 5 covers it);
- You want a long term (72 or 84 months) — not possible with 43A or 43D;
- You are in a long-term rental and want a fixed term that follows your lease;
- You want to pay the premium at once (often financed with the car loan) rather than see it increase every year.
When Endorsement 43A is preferable
The 43A is an endorsement added directly to your FPQ 1 policy. It pays off the replacement cost over a short period of time — typically 24 months or 40,000 km, whichever comes first. After this period, the coverage switches to a sliding scale.
Choose 43A if:
- You buy a new vehicle and plan to replace it within 2 to 3 years;
- You don’t drive much (less than 20,000 km/year) — the 40k km window remains protective;
- You’re comfortable having the premium added to your car policy (and the claim can appear there).
When the 43D endorsement is right
The 43D is closer to the FPQ 5 in its mechanism: fixed duration of 24 to 60 months, valid for new or used. The major difference: there is still an endorsement on the car policy, so the claim impacts your file and its premium.
Choose 43D if:
- Your insurer does not offer FPQ 5 directly (or at a competitive price);
- You want to centralize everything in one policy and pay annually;
- The maximum term of 60 months is sufficient for you (no need for 72 or 84 months).
The broker’s advice
On a vehicle valued ≥ $40,000 held for more than 3 years, the FPQ 5 is almost always the most flexible and economical option in the long run. On a vehicle under $25,000 for 2 years, a simple 43A is often enough. Always ask for all 3 prices to compare.
Compare before you sign
Dealers often offer only one package — usually the one with which they have a commercial agreement. An independent brokerage firm compares the 3 coverages with several insurers authorized by the AMF and shows you the real price differences. Compare takes 3 minutes and can save several hundred dollars over the total time.
Frequently Asked Questions
Can I combine FPQ 5 and a 43A or 43D endorsement?
Is FPQ 5 still more expensive than 43A?
Can I change my mind after signing a 43A?
Is the 43D mandatory for a long-term rental vehicle?
Where can I take out these protections?
Not sure which formula to choose?
Our brokers compare FPQ 5, 43A and 43D with several insurers for your exact situation. No fees, no commitments.
