Ontario Auto Insurance | Preszler Law Toronto Injury Lawyer

In this video, John Philp from Preszler Injury Lawyers discusses the challenges faced by Ontario auto accident victims, particularly in light of recent cuts to auto insurance coverage. He explains the no-fault system in Ontario, where victims must apply to their own insurance for benefits like medical rehabilitation and income replacement. Philp highlights the difficulties in accessing these benefits, especially when insurers categorize injuries as minor, limiting available funds. He also addresses the option of pursuing a civil lawsuit against the at-fault driver for additional compensation. The conversation emphasizes the significant changes to the insurance system that have negatively impacted accident victims. For more information, viewers are encouraged to reach out to Preszler Injury Lawyers at 1-800-JUSTICE.

Well, this week, Ontario auto accident victims are protesting against the cuts to auto insurance coverage. Ontario already has the highest premiums in Canada and the lowest coverage, and about half of all claims are turned down by insurers, which means benefits are too difficult to access. Joining us to explain why this is happening and what it means for you is John Philp from Preszler Injury Lawyers. Good morning.

Good morning to you.

Okay, this is a big topic. So, if you are in an accident, we have a no-fault system. Let's assume you've done nothing wrong. How does that proceed?

Well, if you're in a motor vehicle accident in Ontario, you're absolutely right; it's a no-fault system in the sense that no matter what happens in the accident—even if you're sitting at the light and someone rear-ends you from behind and you're hurt—you have to apply to your own insurance company for what are called accident benefits. You have coverage for medical rehabilitation, so physiotherapy, chiropractic work. You also have income replacement benefits if you can't go back to work, up to a maximum of $400 a week. Additionally, you have attendant care benefits if you need someone to come and help you at home, like a personal support worker.

That doesn't sound like a lot if you're hurt and you can't work. So, what happens if you want to essentially go after more money? Is that when someone comes to talk to you?

Well, yeah, absolutely. There's kind of two sides of the same coin here, as I explain it to our clients. You can go after your own insurance company for your own benefits, but you would also pursue the at-fault driver in a civil lawsuit. You can pursue pain and suffering damages, and you can pursue income loss damages above and beyond what's going to be covered by your own insurance. There are various other categories of compensation you can seek in the civil lawsuit that are not covered by these benefits.

Okay, and that would be the same whether you are another motorist, a pedestrian, or on a bicycle?

Well, that's where it becomes very interesting. For example, say you're a pedestrian, you're just going for a walk, and you're crossing the crosswalk when someone hits you. If you don't have a car and you don't have insurance, you can actually apply to the insurance company of the vehicle that hit you for your accident benefits. Of course, you can also pursue a civil lawsuit against that driver.

If you apply for benefits to your insurance company, why would you be turned down, and what can you do if you are turned down?

Well, that's a very broad question in the sense that there's a lot to it. But inevitably, what happens is, let's say you need medical rehabilitation. A lot of the time, in cases that we deal with, people have injuries like whiplash or severe muscle spasms developing from car accidents. There are various categories involved in these accident benefits for medical rehabilitation. There's the minor injury guideline, which only allows for $3,500 in medical rehabilitation. Then there's the next category up, which is $50,000 for medical rehabilitation. The problem is that a lot of the time, the insurance company will put you into this first category because they believe your injury to be minor, and you only have $3,500 available to you for medical rehabilitation. We can help get people out of that category, but it's a very onerous process. You have to go through a commission, and it can sometimes take up to a year and a half before you're out of that category.

And there are some big changes coming as well, aren't there?

Yes, there have been some very big changes to the detriment, frankly, of accident victims, and a lot of people I don't think know about this. The April 2015 budget came down with some very serious changes, basically eroding the amount of money that's going to be available to people through their no-fault system. Whereas it used to be $50,000 for medical rehabilitation and $36,000 for attendant care, they are now combining these amounts to a total of $65,000. You used to also have a ten-year entitlement to these medical rehabilitation benefits, but they're now chopping that down to five years. These are some very significant changes to the detriment, as far as I'm concerned, of accident victims.

John Philp, thank you so much from Preszler Injury Lawyers. If you have any personal injury questions for John and his team at Preszler, visit our Facebook page at facebook.com/morningshowTO. Thank you.

Thank you. Let's take a look at traffic now. Here's Kim.