Auto Insurance Scheme Comparison

Bill 59

Royal Assent June 27, 1996
Effective Date November 1, 1996

General Damages		Claimant has no right to sue an owner, occupant or any person at accident scene("protected persons") unless damages exceed a verbal threshold and subject to a monetary deductible: 1. Verbal Threshold: (a) permanent serious disfigurement; or (b) permanent serious impairment of an important physical, mental or psychological function. Clearly a higher threshold than Bill 164. Note the re-inclusion of "permanent". Note also that the addition of non-physical injuries has been retained. 2. Monetary Deductible: claimant's award is to be reduced by statutory deductible of $15,000.00. Each Family Law Act claimant's award is to be reduced by a statutory deductible of $7,500.00. Note higher deductible. Deductible applies only to non pecuniary losses. The deductible is to be applied to the award of damages before any split in liability.
Pecuniary Losses		Neither the threshold nor the deductible applies to pecuniary loss claims. No claim for income losses suffered in first seven days after accident may be made. Claims for pre-trial income loss are restricted to 80% of net income. Claims for post-trial income loss will be 100% of gross. No claims will be allowed for health care expenses unless the plaintiff has sustained a catastrophic impairment (as defined in the regulations). Insured is entitled to recover pecuniary losses from insured's own insurer (accident benefits). Range of benefits available including: income replacement; caregiver; medical, rehabilitation and attendant care; death and funeral; and other expenses. Weekly income benefits: paid to claimant who suffers substantial inability to perform the essential tasks of his or her occupation or employment. Benefits at the lesser of 80% of net income or $400 per week for 2 years while entitled. After two years claimant receives benefits only where the injury "continuously prevents the insured from engaging in any occupation or employment for which he or she is reasonably suited by education, training or experience."
Collateral Benefits		The following Collateral Benefits are statutorily required to be deducted from Tort award. Re: income loss: a) all A-B's received or available for income loss up to date of trial; b) all payments received or available under a legislated income continuation plan or an income continuation benefit plan up to the date of trial; c) all payments received under a sick leave plan up to the date of trial. Similar statutory provisions require that health care expenses and other economic loss claim awards be reduced by collateral benefits received or available up to the date of trial. Benefit deemed not available if the insured has made an application for the benefit and been denied provided the application was made in good faith. Collateral benefits are not to be deducted from general damage awards for non-economic losses. Future Benefits payable will be subject to a statutorily codified Cox v.Carter Order. The plaintiff can recover from tortfeasor for future pecuniary losses without regard to future collateral benefits. Plaintiff is required to hold all future benefits received in trust for the tortfeasor. Alternatively Court may Order that plaintiff assign future rights to collateral benefits over to tortfeasor and to co-operate with tortfeasor in the future collection of benefits.
Direct Property Damage		Insured to be compensated by own insurer for property damage. It is not anticipated that there will be any major modifications to Section 263 as it presently stands.

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© 1996, Rogers Partners LLP
The information contained in this chart is a summary of the legislation and it is not meant to represent or replace legal advice.

© Rogers Partners LLP - 1997

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