2) Who’s Covered By Your Auto Insurance Policy

Although your current policy will renew with the same coverage and limits, who is covered under your policy for these newly optional Accident Benefits will change on July 1, 2026, regardless of your renewal effective date. The following individuals may be eligible to claim benefits through your auto policy following an accident:

• The named insured on the auto policy
• The spouse of the named insured on the auto policy
• Dependents of the named insured on the auto policy and of the named insured’s spouse
• Persons specified in the auto policy as drivers of the insured vehicle

Who’s not covered under your policy?

Going forward, certain individuals may not have access to Optional Accident Benefits coverage through your policy if they don’t have their own applicable auto coverage, including:

• Passengers in your vehicle
• Pedestrians
• Bicyclists
• Individuals to whom you lend your vehicle
• Any person who is not otherwise insured under an automobile policy

Note: Mandatory Accident Benefits still apply to everyone.

3) Standard Coverage Will Change to “an Impairment” Coverage, which Includes Both Catastrophic and Non-Catastrophic Impairments

When your auto policy renews, it will renew with the current standard Catastrophic Impairment coverage, or the buy-up of additional coverage over and above the standard, if you’ve previously chosen one. From July 1 onwards, the standard coverage will change to “an Impairment” that will include both catastrophic and non-catastrophic impairment. If you wish to review or change your current coverage choices upon renewal, please reach out to us to discuss your options.

4) The Order of Who Pays First

As of July 1, 2026, auto insurers will become the first payor for medical and rehabilitation expenses (excluding medication) for injuries from an auto accident, before these expenses are paid under a supplementary health insurance plan like your work benefits.

Important: Auto Policies Renew Automatically—Please Renew Your Optional Statutory Accident Benefits Beforehand

Your Auto Insurance will renew automatically with your current coverage and limits, unless you agree with your insurer in writing to decline certain benefits that are becoming optional effective July 1 or make changes to them. If you would like to discuss any changes to your current policy after July 1, 2026, please reach out to our team. Before reaching out to us to discuss your options or to make any changes to your auto policy, it is advisable to review your personal or work benefits to see what’s covered.

Key Notes:

• Even if no changes are made, the eligibility rules for optional benefits will change, which will affect who qualifies for certain coverages.
• Your benefits can be updated at any time; however, only the coverage in place at the time of an accident will apply to a claim. Ongoing claims will not be affected and will continue to be processed based on the coverage in place at the time of the incident.

Summary of Accident Benefits as of July 1, 2026

For a full breakdown of mandatory and optional benefits and what’s covered, see below.

*Note: The specific coverage options and limits may vary based on your insurance company.

What Should You Do?

1) Review your current Auto Insurance policy.

Accident Benefits provide important financial protection during recovery. As Ontario’s coverage evolves, it’s important to understand what you already have in place. While these changes may offer more flexibility, they also place greater responsibility on drivers to ensure they have adequate overall coverage.

In situations where an injured party has limited or no applicable Optional Accident Benefits coverage available, there may be greater reliance on liability claims to recover damages and expenses. This can increase the potential exposure for drivers, particularly in accidents involving passengers, pedestrians, bicyclists, or other third parties.

For this reason, we strongly encourage clients to review their current liability limits and consider whether their existing protection remains adequate for today’s claims environment. You may also consider:

• Increasing your personal liability limits to $2 million or higher
• Reviewing whether Umbrella or Excess Liability coverage may be appropriate
• Ensuring your overall insurance program aligns with your financial assets and personal exposures

Umbrella and Excess Liability policies can provide an additional layer of protection above your underlying Home and Auto Insurance policies, helping protect against larger liability claims or legal judgments. If you would like to review your current coverage or discuss available options, our team is here to help.

2) Review your workplace or private benefits.

Many Ontarians also have coverage through employer benefit plans, private Health Insurance, Disability Insurance, or Life Insurance. Coverage varies between plans and should be considered alongside your Auto Insurance to help avoid unexpected costs if you need to make a claim.

3) Think about your needs, dependants, and lifestyle.

Your Statutory Accident Benefits should reflect your current lifestyle and responsibilities. If your circumstances change—such as a new job, returning to school, or caregiving responsibilities—your current coverage may no longer fully align with your needs.

You may wish to align coverage with your existing benefits or reassess based on life changes. However, any changes should be reviewed carefully; choosing to reduce or remove benefits may create gaps in coverage and can have significant consequences if not fully understood.

4) Speak to your broker. 

As your broker, PROLINK can help you navigate your coverage and how optional Accident Benefits apply to your situation. This includes reviewing potential gaps or overlaps in coverage, as well as how any changes may impact your protection and premiums.

If you choose to make changes, we’ll guide you through the process and help ensure they’re submitted to your insurer in writing.

Keep in mind: only the vehicle owner (the “named insured”) can add or remove optional Accident Benefits from the policy. Any changes apply to all individuals covered under the policy.

How We Can Help

Our team at PROLINK is here to support you through this transition, help you make sense of the changes, and ensure your coverage continues to meet your needs.

If you have any questions or concerns, or you’d like us to review your policy, please don’t hesitate to reach out to us at 1 800 663 6828 or personalinsurance@prolink.insure.