Ontario's July 2026 Accident Benefits Changes: What Injured People Need to Know
Since July 1, 2026, most accident benefits in Ontario are optional. Here is what is still covered, who is left out, and how to protect your claim after a collision.
Key takeaways
- Medical, rehabilitation and attendant care benefits remain mandatory on every Ontario auto policy.
- Income replacement, non-earner, caregiver, housekeeping, death and funeral and other benefits are now optional. You only have them if they were on the policy.
- Optional benefits only cover the named insured, their spouse, their dependants and drivers listed on the policy.
- For accidents on or after July 1, 2026, your auto insurer pays medical and rehabilitation expenses first, before your workplace health plan (except medication).
- If you have no income replacement benefit, your lost income must be pursued through other coverage and a claim against the at-fault driver.
On July 1, 2026, Ontario made the biggest change to accident benefits in more than a decade. Benefits that used to come with every auto policy, including income replacement, are now add-ons that a driver has to choose and pay for. For many people injured in a collision, that changes where the money for lost income and help at home comes from. This guide explains the new rules in plain language.
What changed on July 1, 2026
Accident benefits are the no-fault benefits you claim from your own auto insurer after a collision, whoever caused it. Until July 2026, every Ontario policy included a standard package. The amendments to the Statutory Accident Benefits Schedule made three main changes:
- Only medical, rehabilitation and attendant care benefits are mandatory. Everything else is optional coverage.
- Optional benefits follow the policy, not the person. They cover the named insured, their spouse and dependants, and drivers listed on the policy.
- Auto insurance pays first for medical and rehabilitation expenses (except medication) for accidents on or after July 1, 2026.
Benefits that are still mandatory
Every Ontario auto policy still includes medical, rehabilitation and attendant care benefits. The standard limits are:
| Injury | Combined limit |
|---|---|
| Minor injuries (sprains, strains, whiplash) | $3,500 under the Minor Injury Guideline |
| Non-catastrophic injuries | $65,000 |
| Catastrophic injuries | $1,000,000 |
Higher limits can be purchased as optional coverage. Limits apply to the combined total of medical, rehabilitation and attendant care.
These benefits pay for treatment such as physiotherapy, psychological counselling, assistive devices, home modifications and care at home, when the insurer approves the treatment plan. If the insurer refuses, the dispute goes to the Licence Appeal Tribunal. See accident benefits and insurer denials.
Benefits that are now optional
These benefits are only available if they were purchased on the policy that responds to your claim:
- Income replacement benefit: a weekly payment if you cannot work because of your injuries. The standard benefit is 70% of gross weekly income, to a maximum of $400 a week, after a seven-day waiting period. Higher amounts can be purchased.
- Non-earner benefit: a weekly payment for people who were not working and suffer a complete inability to carry on a normal life.
- Caregiver benefit: help paying for care of children or dependants you looked after before the accident.
- Housekeeping and home maintenance.
- Death and funeral benefits.
- Lost educational expenses, visitors' expenses and damage to personal items such as glasses, hearing aids and clothing.
If your claim depends on one of these benefits, the first question is whether it was on the policy. Ask the insurer for the declarations page and any optional benefits form you or your broker signed.
Who optional benefits cover
Optional benefits only apply to people connected to the policy:
- the named insured (the policyholder)
- the named insured's spouse
- their dependants
- drivers listed on the policy
That matters most for people who do not have their own car insurance and do not live with someone who does. Passengers, pedestrians, cyclists and rideshare riders can still claim the mandatory medical, rehabilitation and attendant care benefits, usually through the insurer of a vehicle involved in the collision. But they may have no income replacement, caregiver or housekeeping benefit at all.
We explain the rules for people without a policy in accident benefits if you don't have car insurance.
Your auto insurer now pays first
Before the changes, people with workplace or private health plans had to claim there first, and the auto insurer only paid what the plan did not cover. For accidents on or after July 1, 2026, the auto insurer is the first payer for medical and rehabilitation expenses, except medication, which still goes to your health plan first.
In practice this should mean fewer delays at the start of treatment. It also means your $65,000 non-catastrophic limit can be used up faster, because the auto insurer now pays expenses your work plan used to cover. If your injuries are serious, keep track of how much of the limit has been spent.
Which rules apply to your accident
Two dates matter: the date of the accident and the date of the policy.
- Accidents before July 1, 2026 are governed by the earlier rules, including the old standard package of benefits.
- Policies in force before July 1, 2026 generally kept the coverage they had until renewal or until the policyholder asked for a change. Some insurers allow mid-term changes.
- Policies issued or renewed on or after July 1, 2026 start with the mandatory benefits only, plus any optional benefits the policyholder chose.
Whatever the dates, the coverage in place on the day of the collision decides your benefits. If you did not understand what you were declining when you renewed, tell your lawyer. Questions about the advice you received from a broker or insurer can sometimes become a separate claim.
If you have no income replacement benefit
If you were working and have no income replacement benefit, look at every other source as early as possible:
- Short-term and long-term disability through your employer or a private policy. Apply promptly; these policies have their own deadlines.
- Employment Insurance sickness benefits, for up to 26 weeks if you qualify. Apply soon after you stop working.
- CPP disability if your disability is severe and prolonged.
- A claim against the at-fault driver. Lost income before trial is generally recoverable at 70% of gross income lost, and future loss of earning capacity can also be claimed. See what decides the value of a car accident claim.
Because income loss now often has to be proven in the lawsuit rather than paid weekly by your insurer, good records matter more than ever: pay stubs, T4s, tax returns, employer letters, and notes from your doctor about why you cannot work.
What to do after a collision now
- Get medical care and follow your treatment plan. Keep every appointment.
- Report the collision to police or a collision reporting centre.
- Tell your own auto insurer within seven days that you intend to claim, even if you were not driving and even if you think you have no optional benefits.
- Ask the insurer for the declarations page and confirm which optional benefits apply to you.
- If you have workplace benefits, tell HR and apply for short-term disability if you cannot work.
- Keep records of time off work, expenses and help you receive at home.
- Speak with an injury lawyer before you sign anything or give a recorded statement to the other driver's insurer.
Our step-by-step guide covers the scene and first week in more detail: what to do after a car accident in Ontario.
Deadlines have not changed
- 7 days to notify your auto insurer that you intend to claim accident benefits.
- 30 days to return the application form after the insurer sends it.
- 2 years from a benefit denial to apply to the Licence Appeal Tribunal.
- 120 days to give written notice of a claim to the at-fault driver.
- 2 years to start a lawsuit in most cases.
Late notice does not always end a claim, but it can make it harder. Ask a lawyer about your exact dates.
How SLG Lawyers can help
We review the collision, your injuries and every policy that may respond, confirm which benefits you are entitled to, and make sure notices go out on time. If benefits are refused, we take the dispute to the Licence Appeal Tribunal, and we pursue the at-fault driver for losses benefits do not cover. Injury consultations are free, and most files are handled on a contingency fee: a sliding scale of 28% to 36% of the amount recovered, to a maximum of 36%. See accident benefits and insurer denials and injury fees and costs.
Frequently asked questions
Are accident benefits still mandatory in Ontario?
I was a passenger and do not own a car. What can I claim?
My policy started before July 1, 2026. Do the changes affect me?
Do I still have to use my workplace benefits first?
Can I still sue the at-fault driver?
Sources
General information only, not legal advice. Coverage depends on the policy in force on the date of the accident; check your declarations page. Every claim depends on its own facts. Book a free consultation for advice on yours.