A: After the September 1, 2010 changes, Ontario’s Accident Benefits coverage – particularly its Medical and Rehabilitation benefit – remains the most generous in Canada, when compared to other provinces with similar systems of car insurance. Ontario’s standard $50,000 Medical and Rehabilitation benefit limit (for injuries that are neither Minor nor Catastrophic) compares favourably to $50,000 in Alberta and New Brunswick or $25,000 in Nova Scotia and Prince Edward Island.

Ontario is also the only province with privately delivered insurance that allows the purchase of additional coverage – as discussed in the MY CHOICE section of this website.

A: The government’s intent in making these changes is to stabilize pricing – not necessarily to lower it. Leading up to these changes, the cost of claims was increasing significantly each year…ultimately causing insurance companies to pay out far more than premiums covered. This is why many of you have experienced significant price increases in the past few years. These changes were designed to control the factors that have recently driven the price of insurance upward.

By making these changes to car insurance in Ontario, future claims costs should be reduced or stabilized. This should lessen or eliminate the need to continue the large rate increases experienced by many Ontario drivers over the past few years.