Know More About Auto Insurance Legislation In Ontario

There are a growing number of lawyers that believe that the Ontario auto insurance legislation is becoming rapidly weighted against car accident victims. The unfairness starts with what rates and fees Ontario drivers pay for insurance.

The Ontario Trial Lawyers Association commissioned an independent report by York University into the rates Ontario drivers pay for insurance. The report revealed that between 2001 and 2013 it’s estimated that drivers have overpaid auto insurance by between 3$ to 4$ billion.

Many auto injury lawyers in Oakville believe that this is just a small sample of the trends of how auto insurance legislation in Ontario deteriorates the rights of those who have been injured in motor vehicle accidents. There have been many changes to auto insurance legislation in Ontario. Small changes that may not mean much to the general public on their own. However, these changes are significant enough to concern lawyers who fight for the rights of vehicle accident victims.

Here’s a look at some of the auto insurance legislation in Ontario that is slowly eroding the rights of the average motor vehicle victim.

Statutory Accident Benefit Schedule (SABs)

On September 1, 2010 SABs came into effect under the Ontario regulation 34/10. The SABs amended the catastrophic impairment definition and also reduced the catastrophic and non-catastrophic benefit limits along with non-earner benefits.

More changes showed up in auto insurance reforms in Ontario in 2016 which further amended the catastrophic impairment definition. In addition to this, the following changes were made to auto insurance legislation in Ontario.

• Benefits for medications and rehabilitation and attendant care were reduced to a maximum of $65,000 for both. Previously coverage limits for medications were at $50,000 and coverage for attendant care was at $36,000 for a total coverage of up to $86,000 for these services. New legislation has reduced coverage by $21,000.
• Non earner benefits were payable for life under the previous Ontario auto insurance legislation. With the changes, those who are not employed at the time of an accident will only receive benefits for a maximum of two years despite the level of the injuries they sustained.
• Individuals who didn’t experience catastrophic injuries will only receive rehabilitation for five years from the 10 years that they once received.

Legislation that Makes it More Difficult to Challenge Insurance Companies

The License Appeal Tribunal has eliminated the option for mediation in accident benefits disputes. This leaves those who have been injured and denied coverage no option to protect their interests by launching a lawsuit against the insurance company.

Many lawyers say that this is unethical and doesn’t allow for informed decision making. At one time, when major changes to automobile insurance legislation was being proposed in Ontario, the government would seek input from industry professional before any change was made. Industry professionals, stakeholders and consumer advocates would be consulted. New legislation does not do this. Policy changes are being pushed through government blindsiding those who represent the rights of car accident injury victims.

Auto insurance is required by law in Ontario. This mandatory insurance is supposed to protect Ontario drivers and passengers. With legislation that reduces the types of benefits an accident victim can receive, advocates are wondering who the legislation is supposed to protect.