As an Ontario resident, you may have heard the term “no-fault insurance” and wondered what exactly it means.

These mishaps result in enormous losses and injuries of a physical, financial and emotional kind to the victims and their families.

When it comes to claiming compensation by the injured, there are two main options open to them. According to Ontario regulations, all those injured in motor-vehicle accidents are entitled to claim statutory benefits, regardless of fault. Additionally, injured victims can file a personal injury suit against the at-fault party. Both these settlements are made by the insurance-companies of all parties involved.

Statutory benefits or “no-fault insurance” is available to all those injured in the accident and there is no requirement to demonstrate whose fault or negligence caused the accident.

An experienced Owen Sound personal injury lawyer can assist you with the right information regarding these terms and the options  available to you to get the maximum possible compensation for your losses.

No-Fault Insurance

Though it may seem otherwise, no-fault insurance doesn’t mean that no one was at fault in the accident that caused your injuries. All it means is that the injured person can deal with their own insurance-company to receive compensation for damage to your vehicle and to cover your expenses if you’ve been injured. It also means you don’t have to pursue the at-fault party for a settlement.

This covers all passengers who were in your vehicle at the time of the accident who have car insurance policies of their own. They can approach their own insurance-companies for no-fault benefits. If they don’t have car insurance, then your insurance company may pay out these benefits. Similarly, the driver of the other vehicle, even if he/she is at fault can claim benefits from his/her own insurance company and so also their co-passengers.

Ontario is a no fault insurance province.

Such regulations help insurance-companies to deal with claims swiftly and more economically, rather than pursue a fault claim.

However the term “no-fault” doesn’t imply that the insurance-companies will not conduct investigations into determining who was at fault in the accident.

Fault Determination

Ontario’s insurance premiums are among the highest in Canada, although the accident rates are the lowest in the country. This means that vehicle-owners pay out nearly 50% more than the average Canadian in insurance premiums.

When an accident occurs, someone is deemed to be at fault either partially or completely. According to the law, insurance-companies are mandated to assign a degree of fault to each of the drivers involved in the accident. This is done by conducting investigations, interviewing witnesses, employing experts etc to apportion the fault to the parties involved.

Even if no police charges are made in the accident, the insurance-companies will use their Fault Determination Rules under the Insurance Act and assign fault accordingly.

The result can affect your premium rate and hence, it’s important to keep a meticulous record of all that occurred in the accident in case you need to dispute the insurance-company’s findings.

Contact an experienced Owen Sound personal injury lawyer to safeguard your rights and protect your interests.