How Car Insurance in Ontario Works

Auto Insurance in OntarioCar insurance in Ontario is a mandatory legal requirement for all vehicles in Ontario. The minimum insurance coverage required in Ontario is "Third Party Liability" with at least $200,000 of coverage. Third Party Liability coverage only covers you if someone is injured or killed, and/or someone’s property is damaged. Third Party Liability doesn’t cover any damage to your own vehicle, or increased coverage for your own injuries.

In Ontario, it’s common for most car insurance policies to have “Direct Compensation Property Damage Coverage”, meaning that if you are involved in an accident your insurance provider will cover a minimum set of costs related to the damage and/or injuries you’ve sustained. The misconception in Ontario is that all car insurance policies are relatively the same and offer the same protection; however depending on selected options you may not be as protected as you think.

Not All Car Insurance Is Equal

A vast majority of clients we’ve represented related to injuries sustained in car accidents, didn’t have optional accident benefits on their car insurance policies, simply because they thought their insurance policy was enough to cover them. Sadly, most car insurance policies cover only the minimum requirements of medical treatment, recovery costs, and long-term care expenses. 

Done Right: Optional Benefits Selected

  • Pays for physiotherapy, rehabilitation, medication, household modifications, mobility & mobile equipment.

  • Replaces 70% of your income if you can’t work.
  • Pays for care for your children while you recover.
  • Pays for help with housekeeping and outside / yard work.
  • Benefits can be accessed over lifetime.

Done Wrong: NO Optional Benefits

  • Provides bare minimal medical, rehabilitation and personal care for 5 years or less.
  • Pays a fraction of your income if you can’t work (maximum of $400 / week).
  • Does not provide care for your children. 
  • No housekeeping / outside help.

Car Insurance in Ontario

In most cases, optional accident benefits only cost between $200 and $300 per year! Many people buy extended warranties on electronics for the same price; protect your family and health the same way.

Protecting Your Family & Future

You may be asking, "why does this matter?" We know it’s boring and confusing and you don’t want to pay more than you have to for something you are forced to get. The reason is you can’t do without optional benefits. Seriously. We see people every day on the wrong end of an insurance claim that would gladly go back and get the coverage if they could, but it’s too late at that point. Protect your family now; call your insurance agent or broker and ask about optional coverage.

More specifically, ask your insurance broker about:

  • Accident Benefits – Income Replacement of 70% of gross per week.
  • Medical / Rehabilitation / Care - $1 Million “Serious Injury” | $2 Million to $3 Million “Catastrophic Injury”.
  • House Keeping & Child Care.

Still Wondering If You Need Optional Coverage?

Ask yourself these questions:

  • Do you think everyone on the road is a responsible and careful driver?
  • Are people injured every day from driving, riding in and being around motor vehicles?
  • Do you like your current life and abilities?
  • Do you like your home and belongings?
  • Can you live on $400 per week?
  • Do you want your children to be provided for, and always get the best care?

Remember, liability and family protection coverage protects you in two ways:

  1. If the other driver is at fault and severely injures you and others in a collision, but is not carrying enough insurance, you and your passengers are protected by your own policy.
  2. If you are the at-fault driver and injure others, you should carry enough insurance to protect your income and assets from claims and lawsuits against you.

Why Are We So Passionate About Extra Protection?

At Findlay Personal Injury Lawyers, we are fierce advocates and defenders of our clients’ rights. We are respected because we are an incredibly organized, focused, and skilled team, and we get the best results in the industry. We promise our clients transparency, compassion, fairness, and integrity. Client recovery and return to independence – physical, mental, emotional and financial – is the gold standard for how we measure our results.

Income Replacement Facts

If you earn:

  • $31-45,000 / year then you need $600 per week in income replacement.
  • $46-60,000 / year then you need $800 per week in income replacement.
  • $61,000 + / year then you need $1000 per week in income replacement.

Important points to remember:

  • OHIP pays for very little other than immediate hospital care and follow up visits to a medical doctor.
  • Treatment, medication and care are very expensive, and may be required long term.
  • The cost to care for a severely injured child or partner for a lifetime is millions of dollars.


Download our Auto Insurance Info Sheet

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Hamilton, Ontario L8N 2A1

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Disclaimer: The information throughout this website is not intended to be taken as legal advice. The information provided by Findlay Personal Injury Lawyers is intended to provide general information regarding personal injury law, catastrophic injury cases, wrongful death claims, medical malpractice lawsuits, car accidents, truck accidents, motorcycle accidents, and more for residents of Hamilton, Burlington, Stoney Creek, Brantford, Niagara Falls, and nearby areas in Ontario. This website is not intended for viewing or usage by European Union citizens. If you are interested in learning more about our law firm, please contact us for a personal consultation.

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