Illustration by The Globe and Mail
Q: I understand that with Ontario’s auto insurance changes that kicked in on July 1, certain aspects of my auto insurance policy could change. I have a secondary driver on my insurance as well. What if I’m happy with the coverage I have now? How will this affect us?
We asked Elliott Silverstein, director of government relations with CAA Insurance Company, to answer this one.
According to the Insurance Bureau of Canada, as of July 1, 2026, some accident benefits that were previously included in every Ontario auto insurance policy are now optional. This means that pedestrians, cyclists and, in some cases, other passengers who are involved in an accident may no longer be eligible for accident benefits.
“Since the changes took effect, the discussion has focused on which coverages are now optional, and educating drivers who are considering adjusting their policies,” Mr. Silverstein said. “For most existing customers, their current accident benefits coverage will continue at renewal unless they choose to change it.”
Under the new structure, coverages for medical treatment, rehabilitation services or attendant care following an accident remain mandatory in a driver’s auto insurance policy. Mr. Silverstein said optional benefits that were previously included in a driver’s insurance policy can be added based on one’s needs. “Benefits that are now optional include those for income replacement, caregiver benefits and funeral expenses.”
Mr. Silverstein recommended that consumers take the time to discuss their needs with their insurance representative, broker or agent to ensure they have the appropriate level of protection for themselves and all listed drivers on the policy before making any changes.
Some people may decide to reduce certain coverages to lower their premiums, while others may choose to maintain or enhance their protection. “The right choice depends on their individual circumstances and any other health or disability coverage they may already have through an employer or group benefits plan,” he said.
Ontario drivers who are satisfied with their current auto insurance coverage can generally continue with the protections they have today. The introduction of Ontario’s auto insurance reforms does not require consumers to change their existing coverage, Mr. Silverstein said, simply because the framework has evolved.
“However, when policyholders make changes to their policy, such as adding a driver, modifying coverage or shopping for a new insurer, it is important to carefully review their coverage options and understand how those changes may affect their policy,” he advised. In this case, adding another secondary driver to the policy “will change your risk and your coverage.”
The reforms are intended to lower costs and provide more flexibility for Ontario drivers. That said, Mr. Silverstein pointed out that with greater choice comes a greater need for consumers to understand the coverage they are selecting. “Drivers should not assume that all policies provide the same level of protection and should carefully review any changes before making decisions based solely on price.”
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