Ontario Auto Reform – Bill 198
Effective September 1, 2010, Bill 198 in Ontario came into effect to address the rising cost of claims. Many of the changes were specific to accident benefits.
- Medical and rehabilitation expenses has been reduced from $100,000 to $50,000
- Attendant care expenses has been reduced from $76,000 to $36,000
- Cargiver, housekeeping and home maintenance expenses are no longer available for non-catastrophic injuries but are available for catastrophic injuries only
Although some coverages have been reduced, they can be increased for an additional premium. Below is a summary of the standard and optional accident benefits coverage:
| Optional Increased Accident Benefits Coverage | |
| The standard Ontario automobile insurance policy (OAP 1) includes basic accident benefits coverage. If you own a business, or are a high income earner, you should compare the standard and optional coverage to see if there are any limits that may have to be increased. | |
| Income Replacement | |
| All income replacement benefits are based on 70% of your gross weekly income.
Standard Coverage – $400 week |
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| Medical, Rehabilitation and Attendant Care Benefits | |
| The standard benefit pays up to $50,000 for medical and rehabilitation expenses, with a 10 year time limit in most cases, and up to $36,000 for attendant care expenses. If catastrophically impaired, the standard benefit pays up to $1,000,000 for medical and rehabilitation expenses and up to $1,000,000 for attendant care expenses.
Optional Coverage:
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| Increased Caregiver and Dependent Care Coverage | |
| The standard caregiver, housekeeping and home maintenance expenses benefit is available only for a person who is catastrophically impaired.
Optional Coverage:
Dependent Care There is no standard dependent care benefit for persons who are employed and care for dependents. You can purchase an optional benefit to receive additional weekly dependent care expenses of $75 for the first dependant, and $25 for each additional dependant, up to $150 per week. |
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| Increased Death Benefit | |
Standard Coverage:
Optional Coverage:
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| Indexation Benefits | |
| This optional coverage will ensure that certain weekly benefit payments and monetary limits will increase on an annual basis to reflect changes in the cost of living. | |
