Choosing the Right Ontario Car Insurance

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Auto insurance requirements differ from one province to another in Canada. While all provinces require drivers to carry liability coverage to protect third parties injured by your vehicle and accident benefits coverage to pay your medical expenses if you are injured, the minimum amount of coverage a driver must carry depends on the province in which you live. If you live in Ontario, there are a few things you should know to ensure you obtain the right car insurance.

Ontario minimum insurance requirements

Owners of vehicles in Ontario must obtain insurance with at least the following minimum coverages:

  • Third-party liability: This coverage pays claims arising when your vehicle is involved in an accident resulting in personal injuries, death or property damage to a third party. If the accident was your fault, your insurance company will defend you against claims and lawsuits filed by another party, and it will pay up to the policy limits to settle claims and judgments. You must have minimum coverage of $200,000 to comply with the law in Ontario. You can, if you wish, increase the coverage limit to provide you with additional protection in the event of an accident.
  • Accident benefits: This coverage pays benefits if you are injured in an accident regardless of who is responsible for causing it. Benefits include supplementary medical and rehabilitation expenses, expenses associated with a caregiver, and lost income replacement. Additional coverage can be purchased to provide you with additional protection.
  • Direct Compensation – Property damage: Provides reimbursement for damage to your car or to its contents caused by the fault of another party. Instead of making a claim against the other person, your insurance compensates you. Coverage is limited to accidents occurring in Ontario.
  • Uninsured automobile: If you or a passenger in your vehicle is injured by another driver who does not have liability insurance coverage, uninsured coverage pays your damages. This coverage also protects you if the driver of the other vehicle flees the scene.

Insurance agents, brokers or insurance companies selling directly to the public can advise you about optional coverages you can add to a car insurance policy to increase the protection it provides to you and to others riding in your vehicle.

No-fault insurance benefits

Most provinces have adopted some form of no-fault system to provide benefits to those individuals injured in motor vehicle accidents without forcing them to resort to lawsuits to determine who was at fault in causing the accident. Ontario is a hybrid no-fault system. This means your medical bills, rehabilitation costs and lost income resulting from injuries suffered in an accident are paid by your insurance company without regard to fault. You do not have to file a lawsuit against the driver who caused the accident to be compensated for the bills you incur for medical care and for the time you lost from work.

No-fault insurance paid through the accident benefits coverage of your insurance policy does not pay for property damage. It also does not compensate you or someone in your vehicle with you at the time of the accident for pain and suffering.

Your right to sue another driver for pain and suffering is restricted unless your injuries are serious enough to meet the threshold rules in the law. A personal injury lawyer is your best resource for advice and guidance about lawsuits after a car accident.

Personal Injury lawyers can help

If you are injured in a car accident, thepersonal injury lawyers at Diamond and Diamondare there to help you recover compensation. We have offices located throughout Ontario staffed by professionals to assist you. Call our 24/7 personal injury hotline at 1-800-567-HURT or visit our website to speak to one of our team members. We offer free consultations and case evaluations.