Beginning June 1, 2016, if you are injured in a car accident in Ontario your insurance company may pay far fewer of your medical expenses than they once did. This is due to changes made by the provincial government in an attempt to make insurance premiums more affordable.
The changes entail a reduction in medical, rehabilitation and attendant care coverage. The cuts are large, reducing the $86,000 combined limit for these three types of coverage to just $65,000. Limits for catastrophic injuries will be cut in half, from $2 million to $1 million.
Insurance companies have recently begun notifying policy holders of the new limits. Current policy holders will not face reduced coverage until June, 2017, but new policies that go into effect after June 1st will include the new compensation limits. Although coverage is being reduced, any driver who wants additional coverage can purchase it by paying a higher premium.
In addition to the reductions in coverage, June 1 marks the start date for a variety of other insurance injury changes, such as an increase in standard deductibles for comprehensive coverage. The deductibles, which were previously $300, will escalate to $500.
Luckily for drivers, some of the changes will benefit them. For one, the interest rate insurers can charge drivers who make monthly payments on annual plans will drop from 3% to 1.3%. Drivers will also be pleased to find out that their premiums cannot be increased for small accidents where they are at fault.
If you’d like to know more about the changes that will take effect in June, click here to read the full article.
Remember that it’s important to stay abreast of insurance coverage changes and adjust your plan as required so you are protected if you are injured in an accident. If you experience an accident, the best way to get the maximum compensation you deserve is to connect with a personal injury lawyer as soon as possible.
If you are involved an accident and need legal assistance to better understand your rights, talk to a personal injury lawyer today.
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