Starting July 1, 2026, the Government of Ontario has made changes to how auto insurance works in the province.
Some Statutory Accident Benefits (SABs) that were previously included in every auto insurance policy will now be optional, giving you more flexibility to choose the protection that best fits your needs.
Existing clients
If you are already insured with MutualONE:
If you decide you would like to remove any optional accident benefits, your agent or broker will be happy to help guide you through your options.
New customers
If you are new to MutualONE:
Commercial clients
If you’re an existing commercial client:
Statutory Accident Benefits (SABs) are financial protections built into every Ontario auto insurance policy. If you’re injured in a car accident, they can help cover things like medical care, rehabilitation, and lost income, regardless of who caused the accident.
Passengers, pedestrians, cyclists, and others who are not listed on the policy may not have access to these optional benefits, even if they were available under policies in the past
Here’s how the key benefits change on July 1, 2026
| Benefit | Staying Mandatory |
Staying Optional |
Becoming Optional |
|---|---|---|---|
|
Medical, Rehabilitation & Attendant Care
Covers reasonable and necessary medical expenses, rehabilitation costs, and attendant care services for injuries due to an automobile accident.
|
✓ | ||
|
Supplementary Medical, Rehabilitation & Attendant Care limit increase
Enhances your standard benefits with increased coverage limits for added protection.
|
✓ | ||
|
Dependant Care
Covers additional expenses for caring for dependants such as a child, spouse, or aging parent.
|
✓ | ||
|
Indexation
Ensures certain weekly benefit payments and monetary limits are adjusted annually to reflect cost-of-living changes.
|
✓ | ||
|
Income Replacement
Helps replace employment income lost due to an automobile accident.
|
✓ | ||
|
Non-earner
Provides financial support for students or unemployed persons whose normal life is impacted by an automobile accident.
|
✓ | ||
|
Caregiver
Covers caregiving expenses if a covered person can no longer serve as the primary caregiver for a household member due to an automobile accident.
|
✓ | ||
|
Death
Provides financial compensation to a spouse and/or dependents of a covered person who dies due to an automobile accident.
|
✓ | ||
|
Funeral
Helps cover funeral costs if a covered person passes away due to an automobile accident.
|
✓ | ||
|
Lost Educational Expenses
Helps recover costs if an automobile accident prevents completion of school or an education program.
|
✓ | ||
|
Housekeeping & Home Maintenance
Covers costs when a covered person is unable to perform household tasks normally done before an automobile accident injury.
|
✓ | ||
|
Expenses of Visitors
Covers reasonable and necessary expenses for visitors such as siblings or parents when a covered person is injured in an automobile accident.
|
✓ | ||
|
Damage to Personal Items
Covers repair or replacement of personal items (e.g. clothing, prescription eyewear, hearing aids) damaged in an automobile accident.
|
✓ |
This is one of the more significant changes. Before July 1, 2026, most Statutory Accident Benefits were automatically included in every auto insurance policy, providing a consistent level of coverage for individuals injured in an accident.
After July 1, 2026, many of these benefits such as income replacement, caregiver, and non-earner benefits become optional. This means they may no longer be included in every policy by default. In addition, even when these optional benefits are purchased, they are generally only available to specified insured persons (such as the named insured, spouse, dependants, and listed drivers), which can limit who is eligible to claim them compared to the previous system.
It’s important to note that standard benefits such as medical, rehabilitation, and attendant care remain available to people injured in an accident, regardless of who they are.
Optional accident benefits (such as income replacement or caregiver benefits) are generally only available to specific individuals listed on the policy, including:
This means that passengers, pedestrians, cyclists, and others who are not listed on the policy may not have access to these optional benefits, even if they were available under policies in the past.
Why This Matters
Under the new system:
If you have family members or others who regularly use your vehicle and don’t have their own policy, it’s important to review your coverage carefully.
Standard accident benefits (medical, rehabilitation, and attendant care) still apply to everyone involved in an accident in Ontario, including pedestrians and cyclists.
As of July 1, 2026, the ‘First Payor’ of a claim has changed:
Quick links:
To drive in Ontario, you must carry minimum required auto insurance.
Beyond that, you can customize your coverage:
| Coverage | Description |
|---|---|
| Liability Insurance | Required by law (minimum $200,000)
An at-fault accident could cost you more than your car. If you injure someone and the courts find you responsible, liability insurance will pay all legal costs the law requires, up to the policy’s limits. Higher limits (e.g. $1M-$2M) are recommended. We have options to increase liability coverage so you can drive with peace of mind. |
| Accident Benefits
|
Collisions can happen even to the safest of drivers.
Covers injuries regardless of fault. Includes mandatory benefits and optional enhancements. |
| Optional Physical Damage Coverage
|
Collision or Upset
Covers damage if your vehicle is involved in an at-fault accident. Comprehensive Covers non-collision events (e.g., theft, fire, weather damage). All Perils Combines collision and comprehensive, plus additional protections. |
You can also purchase extra insurance that provides more protection:
| Coverage | Description |
|---|---|
| Accident Forgiveness (Protection Plus) | Available for eligible drivers that protects your driving record in the event of an at-fault accident. |
| Minor Conviction Protection
|
Available for eligible drivers, that protects your driving record.
|
| Loss of use (Rental Vehicle Coverage)
|
Pays for a rental car or alternate transportation (such as taxi or train fares) while your vehicle is in for repair.
|
| Rental Vehicle Damage Coverage (OPCF 27) | Coverage if you damage a vehicle you don’t own while in your care and control, such as a rental car. |
| Waiver of depreciation (OPCF 43/43a)
|
Waiver of depreciation ensures you receive the total value of what you paid for your new vehicle without depreciation, if the damage is beyond repair due to an accident, conditions apply. |
Talk to one of our agents or brokers.
Our team is here to help you:
Disclaimer
This material is provided for informational purposes only. Please refer to your policy for applicable coverage details, limitations and exclusions.
