In June of 2016, the Government of Ontario implemented an auto insurance reform of which all policyholders should be aware. This reform changes the way your policy responds when it comes to accident benefits claims.


What are Accident Benefits?

If you’ve been injured in an auto accident, regardless of who is at fault, the accident benefits portion of your policy will cover expenses not covered by OHIP such as rehabilitation, caregiving and loss of income.


What Changed on June 1, 2016?

First, the government has decreased the amount insurance companies can payout in the event of a loss. For example, prior to June 2016, the limits for Medical, Rehabilitation & Attendant Care for non-catastrophic injuries were as follows:

  • Medical & Rehabilitation = $50,000 limit
  • Attendant Care = $36,000 limit

The June 2016 auto reform saw these two limits combined into one lower lump sum:

  • Medical, Rehabilitation & Attendant Care = $65,000 limit

Second, the government has narrowed the definition of a catastrophic injury and changed the guidelines for how doctors classify head injuries. This means it’s more difficult to be classified as a catastrophic injury and therefore harder to access the greater catastrophic injury limits, especially when it comes to head injuries.


What Should You Do Now?

The good news is there are now several optional accident benefits coverages that policyholders can purchase in order to off-set the changes made by our Federal Government. Over the next several posts, we’ll be exploring some of the different benefits available for purchase. You can also get more information by visiting our 2016 Auto Reform Information page here:

In the meantime, it’s important to contact your insurance broker today to review your current accident benefits coverage. Don’t wait until you’ve had an accident to find out you don’t have the coverage you need.