Major changes are coming to the Statutory Accident Benefits Schedule, the regulation outlining the benefits available under auto insurance policies in Ontario. Starting July 1st, 2026, the only mandatory benefits included in your policy will be medical, rehabilitation, and attendant care benefits. All other benefits will become optional, including:
- Income replacement benefits;
- Non-earner benefits;
- Caregiver benefits;
- Death and funeral benefits;
- Optional dependent care benefits; and
- Other expenses (including lost educational expenses, visitor expenses, damage to clothing, eyewear, hearing aids, housekeeping, and home maintenance)
This means that if you purchase or renew your auto insurance policy on or after July 1st, 2026, you will only be covered for these optional benefits if you specifically choose to purchase them. This results in less coverage up front, and places the responsibility on you to ensure that you have adequate protection in the event of an accident.
Tips to Prepare: Protecting Yourself and Your Loved Ones
Consider the following in order to best protect yourself and your loved ones.
First, review your coverage. Speak with your insurance broker or provider to understand what your policy includes, and what it does not include.
Second, know who is covered under your policy. Under the new changes, optional benefits will apply to the named insured, their spouse, their dependents, and any listed drivers. Make sure everyone who relies on your policy is protected.
Finally, assess your needs. Think about your financial and family responsibilities. One of the best ways to do that is consider purchasing income replacement benefits. If you are injured and unable to work, this benefit helps replace lost income, acting as a safety net for you and your family.
Final Thoughts
Trying to understand the world of auto insurance is daunting and complex, but staying informed is the best way to protect yourself. As these changes approach, take the time to understand your options, ask the right questions, and choose the coverage that meets your needs.
