When Henry Ford trundled out the very first automobile, his Model T, he could hardly have surmised the massive impact it would come to have. In truth, he was probably just excited to be able to move through the streets without trailing the smell of horses around town. Over a century later, cars are at the forefront of issues local and international, from Toronto City Council’s decision regarding the Gardener Expressway to one of the cruxes of the Trans-Pacific Partnership trade agreement. And, like the far-reaching impact of the automobile, an auto accident settlement can be equally complex. Rather than getting bogged down in the mire of a settlement by thrashing through your case alone, a Toronto personal injury lawyer can help you to understand the law and get the settlement you deserve.
No-Fault Insurance Coverage
As with the rest of the provinces (spare Newfoundland and Labrador), Ontario’s insurance system employs no-fault coverage. In a no-fault insurance system, all the drivers involved in an accident are entitled to insurance coverage, regardless of which driver was actually responsible. For instance, imagine that a northbound car gets T-boned by a westbound driver who did not look both ways before merging onto the northbound road. Clearly, the westbound driver is “at fault” in this scenario, but for insurance purposes, both drivers will receive coverage.
The caveat of a pure no-fault system is that neither driver is allowed to further sue for damages after an accident. So, to use our example above, the northbound driver could not sue the westbound driver, because the law assumes that the insurance coverage will be adequate for both parties. However, in Ontario, things are slightly different.
Ontario’s Threshold No-Fault System
Ontario uses what lawmakers, insurance companies, and Toronto personal injury lawyers refer to as a “threshold” no-fault system. Where a pure no-fault system completely forbids suing after an auto accident in lieu of insurance coverage, the threshold system guarantees a maximum amount of damages but allows you to sue if your injuries exceed that number. In an Ontario auto accident settlement, the maximum amount of coverage for severe injuries is $50,000. So, if a Toronto personal injury lawyer can prove that your general damages and out of pocket expenses amounted to more than $50,000, it will be more than worthwhile for you to proceed with a case.
However, keep in mind that you can only sue for compensation if you qualify for the highest level of injury, known in insurance law as “severe” or “catastrophic”. The legal definition for a severe injury is somewhat specific, thus limiting the amount of people who are permitted to file suit. Consult with a Toronto personal injury law firm during your auto accident settlement, as they have experience assessing injuries and placing those injuries within the Ontario legal framework.
If you’ve been in a motor vehicle accident, book a free consultation at an Ontario law firm today, and make sure that you don’t end up struggling with your financial well-being after a serious personal injury.
Sources:
http://prc.canadianpaincoalition.ca/media/ms_surv_pers_inj_ed2_2012.pdf
http://www.thestar.com/business/2012/06/21/ontario_plans_to_cut_benefits_to_worst_accident_victims_groups_charge.html