How much car insurance do you need in Ontario? The legal floor includes at least $200,000 of third-party liability, mandatory medical, rehabilitation and attendant care accident benefits, Uninsured Automobile Coverage, and DCPD unless you elect not to recover. That floor is not automatically the right financial limit. You must choose liability, optional accident benefits and physical-damage coverage around the losses you could not absorb yourself.
For this guide, our team reviewed FSRA’s current standard-policy summary, its July 2026 accident-benefit reform page, the July 2026 Ontario Automobile Policy and OPCF 49.
Keep reading for a coverage-by-coverage decision, the July 2026 accident-benefit choices and the questions to ask before accepting the cheapest quote.
Read More: When Should I Get Full Coverage Car Insurance?
What Coverage Is Mandatory in Ontario?
| Coverage | Legal or standard- policy position | Decision to make |
|---|---|---|
| Third-party liability | At least $200,000 is required by law. | Compare higher limits such as $1 million and $2 million based on the liability you could not pay yourself. |
| Accident benefits | For a new policy on or after July 1, 2026, medical, rehabilitation and attendant care remain mandatory; other accident benefits are optional. | Review income replacement, caregiver, housekeeping, non-earner, death and funeral benefits against work and family needs. |
| Uninsured Automobile | Mandatory under the standard policy. | Understand the bodily-injury limit and the narrower rules for vehicle damage. |
| DCPD | Included in the standard policy, but you may elect not to recover. | Review the OPCF 49 warning before considering the premium reduction. |
Read More: Learn About Other Coverages and Their Costs in Ontario
How Much Liability Coverage Should You Choose?
The $200,000 statutory minimum can leave you personally responsible when a covered claim exceeds the limit. FSRA tells consumers they may want to increase the limit to $1 million or $2 million, depending on their comfort with risk.
Ask for otherwise identical quotes at each available limit. Consider regular travel outside Ontario, the number of passengers you carry, your assets and income, and whether an umbrella policy requires a particular auto limit. There is no universal $2 million answer for every household, but choosing the legal minimum should be a deliberate decision, not a default.
Which Accident Benefits Should You Keep?
As of July 1, 2026, only medical, rehabilitation and attendant care benefits are mandatory on a new policy. Other accident benefits can be purchased as options. Review what your employer plan, disability coverage and household savings would actually replace before removing them.
| Question | Coverage to review |
|---|---|
| Would an injury stop your employment or self-employment income? | Income replacement and any available increase. |
| Do you provide unpaid care to a dependant? | Caregiver and housekeeping or home-maintenance options. |
| Would your family face immediate costs after a death? | Death and funeral benefits. |
| Who needs the optional protection? | Confirm how the named insured, spouse, dependants and listed drivers are treated. |
| What other plans respond first? | Compare workplace health, disability and private insurance with the auto-policy wording. |
Read More: 2026 Ontario Accident Benefits Reform Explained
Should You Keep DCPD?
OPCF 49 is not a simple deletion of one small benefit. If you sign it, collision damage to the listed vehicle will not be compensated under DCPD, Collision or Upset, or the collision part of All Perils. You also agree not to recover from the at-fault driver or that person’s insurer. A lender or lessor may object.
Based on MyChoice quote data from 50,000 real quotes collected since the beginning of 2026, DCPD represented about $624 of the standardized Ontario annual premium. That is a portfolio estimate, not the saving any one driver will receive by opting out. Ask for the exact written reduction and compare it with the full loss you would retain.
Do You Need Collision and Comprehensive Coverage?
Collision can protect against covered crashes and rollovers. Comprehensive covers many non-collision losses such as theft, vandalism, fire and falling objects. A finance or lease agreement may require physical-damage coverage even though Ontario law does not.
For an owned vehicle, compare its current actual cash value, the deductible, the annual premium for the coverage and your ability to replace the car. Ask for quotes with and without each option. Do not drop coverage only because the vehicle is old, and do not keep it only because you have always had it.
Read More: Comprehensive vs. Collision Coverage in Ontario
Which Endorsements Solve a Real Problem for You?
| Need | Option to ask about | Check before buying |
|---|---|---|
| A replacement vehicle during a covered claim | OPCF 20 Loss of Use | Daily limit, total limit, covered causes and waiting rules. |
| Physical-damage protection on a rented or borrowed car | OPCF 27 | Vehicle types, value limit, territory, term and exclusions. |
| Protection against an underinsured at-fault driver | OPCF 44R | Eligible insured people, limit and coordination with other insurance. |
| Depreciation protection on an eligible new vehicle | OPCF 43 | Eligibility period, settlement formula, deductible and exclusions. |
| Accident forgiveness | Insurer-specific endorsement or feature | Which accident qualifies, driver eligibility and what happens after switching insurers. |