Understanding the minimum requirements for your car insurance policy in Ontario is pretty important, considering having insurance is mandatory. Many components make up an auto insurance policy, but it doesn’t have to be as complicated as one might think. All of the various parts and requirements are outlined below to help ensure your policy is adhering to the standards provided by the jurisdiction in which you live.
Compulsory Third-Party Liability Minimums
For a single accident, you need to have $200,000 in coverage. In the event that a claim involves both property damage and bodily injury meeting the $200,000 limit, property damage will not be allowed to exceed $10,000.
Minor injuries require a benefit of up to $3,500. Any non-catastrophic and non-minor injuries carry a limit of $50,000 per person for a maximum time of 10 years. In the event the injury was catastrophic, it requires a $1 million benefit. Non-minor and non-catastrophic accidents provide attendant care up to $36,000 for 104 weeks total. Catastrophic injuries provide you with $1 million in attendant care benefits.
If the policy has an optional indexation coverage purchased on it, the traditional amount is $6,000, but there are instances where the amount can be higher than that.
Disability Income Benefits
For those who are in need of income replacement benefits, you are entitled to receive 70% of your weekly gross wages up to a maximum weekly amount of $400. The minimum payment amount is $185 per week for a total of 104 weeks. If the victim is not able to pursue employment opportunities, they will be eligible for benefits beyond the 104 weeks. Nothing will be provided for the first seven days on disability.
If the injured party is unemployed, they are eligible to receive benefits of $185 per week for 104 weeks. The individual will need to wait 26 weeks before receiving any payments from the claim. Those who are enrolled in college full-time, disabled and unemployed or recently completed an education program without finding employment are eligible for benefits under the non-earner benefit plan. The maximum length of time is 104 weeks. If the student still remains disabled after the 104 week time period, the benefit amount will be $320 per week. In the event the insured is eligible for a caregiver benefit or income replacement coverage, the $320 per week will not be available to them.
In case death occurs within 180 days of the accident, or three years if the individual was disabled continually before death, the spouse is entitled to receive a minimum of $25,000, dependents receive $10,000 each and the parent or guardian receives $10,000. If the optional indexation coverage has been purchased, the amounts could be higher.
Impairment benefits are available through tort action.
Pain and Suffering Lawsuits
Individuals can sue for pain and suffering if the injury is that severe, but it is subject to a deductible. Lawsuits are only allowed when the person sustains a permanent injury or dies. In such cases, courts will assess any damages and deduct $30,000.