Starting July 1, 2026, Ontario drivers will have more choice and control over their coverage. While certain essential benefits will remain mandatory, many others will be optional and can be modified when purchasing or renewing your policy.
We recommend that you continue to carry optional Accident Benefits coverage and not reduce any limits. Higher limit options may be available.
What are Statutory Accident Benefits?
Statutory Accident Benefits (SABS) provide financial support if you are injured in a car accident. These benefits are available regardless of who caused the accident and can cover things like medical treatment, rehabilitation and income if you can’t work because of your injuries.
What’s staying the same? Standard medical rehabilitation and attendant care benefits will continue to be mandatory. These benefits cover medical expenses, therapy, and personal care assistance for injuries from an accident including doctor visits, physiotherapy, and help with daily activities like bathing and dressing.
You still have the option to purchase additional or increased benefits and coverages, such as supplementary medical, rehabilitation and attendant care, dependent care, and indexation benefits.
What is becoming optional?
The following auto insurance accident benefits will become optional. You can choose to customize these to your policy, for yourself or other covered persons, depending on your needs.
| Optional Benefit | What it covers |
| Income replacement | Helps replace income you lose because of an accident. |
| Non-earner | If you’re a student or unemployed and an accident keeps you from leading a normal life, this provides financial support while you recover. |
| Caregiver benefits | Covers caregiving expenses if you or another covered person is injured and can no longer provide care for a household member such as a child or aging parent who needs it. |
| Lost educational expenses | If a car accident keeps you from attending school or an education program, this benefit helps cover the costs you’ve lost. |
| Expenses of Visitors | Covers reasonable and necessary expenses of visitors if you or another covered person is injured in an accident. |
| Housekeeping & Home Maintenance | Helps cover costs if you or another covered person is unable to perform the housekeeping and home maintenance tasks normally done before the accident. |
| Damage to personal items | Covers the cost to repair or replace personal items (e.g., clothing, prescription eyewear, hearing aids, etc.) that were damaged in the accident. |
| Death benefits | Compensates some family members if you or a covered person dies due to an accident. |
| Funeral benefits | Helps cover some funeral costs. |
Note: Housekeeping & Home Maintenance and Caregiver benefits now include a non-catastrophic impairment option effective July 1, 2026
Benefits that will remain optional
You can still choose to add the following benefits to your policy.
| Optional Benefit | What it covers |
| Supplementary medical, rehabilitation and attendant care benefits | Help cover expenses for medical benefits beyond the standard limits. |
| Dependant care benefits | Help cover costs associated with caring for dependants such as a child, or spouse or aging parent. |
| Indexation benefits | Help to ensure the income replacement benefit is adjusted to reflect the cost of living changes each year. |
Who is covered under Statutory Accident Benefits?
Starting July 1, 2026, optional benefits under your auto policy will only apply to:
- The named insured
- The spouse of the named insured
- Dependants of the named insured and of the named insured’s spouse
- Persons specified in the policy as drivers of the automobile
This means that some people, such as pedestrians, cyclists, and certain passengers who may have been covered in the past may no longer be eligible for optional accident benefits unless they are included in the categories listed above.
What this means for you
If you’re an existing customer
Your policy will renew automatically with your current coverage and limits, unless you agree with your broker in writing to modify the benefits. However, who is covered under your policy for newly optional benefits will change on July 1, 2026, regardless of renewal effective date, as described in the list above. You can review and update your coverage based on your needs. Before making changes, check if your personal or work benefits already provide similar coverage.
If I’m buying insurance for the first time or starting a new policy on or after July 1, 2026?
Customers who are purchasing or starting a new policy on or after July 1, 2026, can choose which optional accident benefits they would like to purchase. Ask your broker which benefits are included in your quote. You may want to add optional benefits to your policy based on your needs.
If you’re a commercial customer or employee
Speak to your broker to learn more about how this change impacts you or your employees.
Can I make changes to my optional benefits before renewal?
Please review your auto insurance policy and contact your broker to discuss making changes to your optional benefits prior to renewal.
How can I add optional benefits to my policy?
Speak to your broker to add the optional accident benefits to your auto insurance policy.
Can I change my optional benefits after I’ve selected them?
You may need to change your optional accident benefits if your situation changes, such as starting a new job, having children, or taking on caregiving responsibilities. You can change your optional benefits at any time, but only the coverage in place at the time of an auto accident will apply to your claim. To update your coverage, speak to your broker to review your options and make sure your policy reflects your current needs.
Will these changes affect all drivers / types of auto insurance policies?
Yes, the changes to accident benefits optionality will impact all drivers and auto insurance policies in Ontario, including personal private passenger, commercial, motorcycle, snowmobile and all-terrain vehicle policies.
Do accident benefits, including the optional coverages I purchased, apply when renting a car?
You may be covered for certain accident benefits coverage when renting a car. Remember to review your auto insurance policy and the rental contract to understand what you’re covered for.
What should I do if I have an ongoing claim when the changes take effect?
There is no impact to ongoing claims, the auto insurance coverage you had at the time of the accident applies to your claim.
If I have both auto insurance and a supplementary health insurance plan, which one do I claim from first if I’m injured in a car accident?
If you’re injured in an auto accident, you may have coverage through both your auto insurance and your supplementary health insurance plan. Starting July 1, 2026, Ontario is making changes to ensure that auto insurance will pay first for medical or rehabilitation benefits (except for medication costs) for any injury sustained in an auto accident. This means your auto insurance provider will cover these costs before your workplace or private health plan, helping you preserve those benefits for other life events.
How does modifying optional benefits affect my insurance premiums?
If you choose to modify benefits that have now become optional from your existing coverage, it may impact your premium.
What steps should I take?
- Review your current coverage to understand what benefits you have today in your auto insurance policy.
- Review coverage you may already have through your workplace, private benefits plan, or life and health insurance providers.
- Think about your needs. Consider which coverage is right for you.
- Speak to your broker to learn more about your options and help you make informed choices that best fit your needs.
Disclaimer
The descriptions of the statutory accident benefits in this document is a summary of the statutory accident benefits in Ontario Regulation 34/10 (the “SABS”). Do not rely on this summary alone. For full details, refer to the SABS or speak with your broker.
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