Ontario Policy Change Form 5 (OPCF 5) is an endorsement added to your auto insurance policy when you lease a vehicle. It allows the lessor to lease the vehicle to you and extends coverage to you as though you were the named insured.
How does OPCF 5 work? Can you skip adding it to your policy? How does it differ from OPCF 23A? Read on to find out.
For this article, our team reviewed the official OPCF 5 form, FSRA’s endorsement summary and the current Ontario Automobile Policy.
OPCF 5 at a Glance
OPCF 5 is an endorsement used for leased vehicles.
It allows the lessor to lease the vehicle to the named lessee.
It extends coverage to the lessee as though they were the named insured.
Leasing companies commonly require it as part of the lease agreement.
It does not provide automatic gap insurance or guarantee that the remaining lease balance will be paid.
How OPCF 5 Works
OPCF 5 is added to your auto insurance policy when you lease a vehicle. The endorsement identifies the lessor and lessee and applies only to the vehicle shown on the insurance certificate.
It permits the lessor to rent or lease the vehicle to the lessee. It also provides coverage to the lessee as though the lessee were the named insured. Other people who use or operate the vehicle with the lessee’s permission may also be covered, subject to the policy.
The coverage cannot exceed the limits and amounts shown on the certificate.
While the government doesn’t require OPCF 5 for every insured driver, leasing companies commonly require it as part of the lease agreement.
What Are the Requirements for OPCF 5?
To add an OPCF 5 endorsement, you will generally need to:
- Have an Ontario auto insurance policy for the vehicle.
- Be leasing the vehicle rather than financing or owning it outright.
- Provide the insurer with the leasing company’s information.
- Check that the lessor, lessee and vehicle details are correct on the policy.
If you notice incorrect or missing information, contact your insurer and leasing company.
Read More: Compare Leasing and Financing a Car in Canada
OPCF 23A vs. OPCF 5
Many drivers confuse OPCF 5 with OPCF 23A. OPCF 5 applies when you lease a vehicle, while OPCF 23A protects a lienholder’s financial interest when a vehicle is financed.
Neither endorsement automatically provides gap insurance. If the insurance settlement is less than the remaining loan or lease balance, you may still owe the difference.
Read More: See How OPCF 23A and OPCF 23B Work
How Does OPCF 5 Work After a Claim?
The insurance certificate shows the coverage, limits and deductibles for the vehicle. The Ontario Automobile Policy and any other endorsements determine whether the loss is covered and how the claim will be settled.
Your lease agreement determines what you may still owe after the vehicle is repaired or declared a total loss.
OPCF 5 does not guarantee payment of the remaining lease balance, negative equity or every fee included in the lease.
What Happens If OPCF 5 Is Missing?
The outcome will depend on the insurance policy, lease agreement and circumstances. A missing endorsement does not automatically mean that every claim will be denied.
However, failing to maintain insurance required by the lease may violate the lease agreement. Contact your insurer and leasing company immediately if OPCF 5 is missing or the information is incorrect.
Bottom Line
Before leasing a vehicle, check the lease agreement to see whether OPCF 5 is required.
If you already lease a vehicle, review the insurance certificate to make sure the lessor, lessee and vehicle information are correct.
Ask your insurer to explain the coverage, limits and deductibles applying to the vehicle.
If OPCF 5 is missing, contact your insurer and leasing company rather than assuming the vehicle is properly listed.
Check whether you need separate gap protection or an OPCF 43A depreciation waiver.