More choice. More control.
Ontario's auto insurance reforms put you in the driver's seat.
Statutory Accident Benefits are changing.
What Ontario drivers need to know.
Starting July 1, 2026, Ontario is making auto insurance more flexible. Some accident benefits that were previously included in every auto insurance policy will become optional, giving you more choice to select coverage that fits your needs and budget.
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 included in all auto insurance policies. These benefits help cover essential recovery support after an accident.
You still have the option to purchase additional or increased benefits and coverages, such as supplementary medical, rehabilitation and attendant care, dependant care and indexation benefits.
What's becoming optional?
The following auto insurance accident benefits will become optional:
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 and 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.
Who is covered under Statutory Accident Benefits (SABS)?
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 accident benefits unless they are included in the categories listed above.
What this means for you
If you're an existing client
Your current coverage will automatically continue unless you let your broker know you would like to make specific changes to your auto insurance policy.Â
You will need to review and decide whether you would like to keep, add, or remove coverage.
If you're a new client
Starting July 1, 2026, new clients may 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 client or employee
Speak to your broker to learn more about how this change impacts you or your employees.
What steps should I take?
Review your current coverage
Know what benefits you already have today through your auto insurance policy.
Review your workplace or private benefits plan
Avoid duplication, you may already have coverage through your workplace, private benefits plan, or life and health insurance providers.
Think about your needs
Consider what coverage is right for you.
Speak to your broker
They can help explain your options.
Make informed decisions; choose the benefits that best fit your needs.
Use our self-assessment checklist
Optional accident benefits - which ones fit your needs?
This checklist can help you decide which optional benefits may be right for your or others covered under your policy. You may be able to add or remove these benefits based on your needs.
If you have a private or workplace benefits plan, you may already have the coverage for some of the following benefits. Before making changes to the optional benefits on your auto insurance policy, review your exisiting workplace or private plan or speak with your benefits advisor to confirm that you have appropriate coverage.
Quick Links
tailoring your benefits
Here are nine examples of life situations that show how auto insurance can be tailored to better protect individuals and families
ontariobrokers.ca
The Insurance Brokers Association of Ontario has created a brochure summarizing the changes to Standard Accident Benefits coverage.
Legislation
Statutory Accident Benefits Legislation: Ontario Regulation 34/10
Ontario Automobile Policy Owner’s Policy
Note: both these links will take you to an external website.
Frequently Asked Questions
Why would someone choose to add or remove or decline optional benefits?
Some Ontarians already pay for benefits through their employer or private insurance plans. These reforms eliminate a one-size-fits-all approach, and consumers will no longer have to pay for benefits they may already have elsewhere or do not want to buy.
As of July 1, 2026, you can tailor your auto insurance to fit your personal situation. That means you will not have to pay for benefits you do not need, and you can choose to add benefits that provide extra protection for you and your family.
How does removing optional benefits affect my insurance premiums?
If you choose to remove benefits that have now become optional from your existing coverage, it may reduce your premium. If you would like to remove any of the optional benefits, ask your broker for a quote. This will help you determine if the difference in premium is worth the potential financial impact of not having the coverage. Â
What steps should I follow to determine which optional benefits suit my needs and confirm if I have the appropriate coverage?
Carefully review your current coverage to determine what benefits you have through your auto policy. Review your workplace or private benefits plan. You may already have coverage through your employer, private benefits plan or life and health insurance providers. Consider which coverage is right for you and whether opting out is practical. Speak to your broker who can explain your options in relation to your auto insurance coverage.
What information do I need to know before speaking to my broker?
Before speaking with your broker, you should review your current auto insurance policy to better understand what coverage you currently have and think about your needs. Thoroughly review your existing workplace and private benefits plans to see what other coverage you may already have.
To help you get started, you can view or download our self-assessment checklist.
What if I have an existing policy? Will these changes affect me?
Your auto policy will renew automatically with your current coverage and limits, unless you agree with your insurer in writing to decline certain benefits that are become optional effective July 1, 2026 or make changes to them.Â
What if I have an existing policy? Will these changes affect me?
If you add a new vehicle to your existing policy, you will be able to choose which optional accident benefits you would like to add to your coverage.
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.
Will passengers in my car still be covered if I opt-out of certain coverages?
As of July 1, 2026, optional accident benefits coverage will only apply to the named insured, their spouse, dependants of the named insured and of the named insured’s spouse and listed drivers. Passengers injured in an auto accident will not be covered for optional benefits unless they fall into one of these groups under an auto insurance policy that includes optional benefits. However, standard accident benefits will still apply to all passengers.
What happens to uninsured pedestrians and cyclists?
Standard accident benefits will still apply to uninsured pedestrians and cyclists. Optional accident benefits coverage will only apply to the named insured, their spouse, dependants of the named insured, the name insured’s spouse, and drivers listed in the policy. Pedestrians and cyclists injured in an auto accident will not be covered for optional benefits unless they fall into one of these groups under an auto insurance policy that includes optional benefits.
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.Â