Lawyer calls for increased mandatory auto liability coverage in Ontario

Published: December 6, 2018



Another industry expert has voiced concerns over current auto liability coverage in Ontario. Joseph Campisi of Campisi LLP Personal Injury Lawyers told Canadian Underwriter this week that the new Ontario government should increase liability coverage above current mandatory levels.

“I think everyone in the insurance industry would agree that $200,000 is far too low,” Campisi said. Mandatory third-party liability coverage is currently set at $200,000 in the province. It is widely accepted that this coverage amount is not enough and most auto insurance customers will pay for more liability.

“Is it time maybe to increase those statutory limits to $1 million? There is no insurance agent or broker in this province who would recommend that anyone purchase insurance coverage of $200,000 to drive in a big city like Toronto.”

Despite the system being broken, Campisi believes the government is unlikely to increase the limit. “The focus with the last government was to reduce auto insurance premiums at any cost, and that’s why you have this drastic reduction in accident benefits, so I don’t think this issue is on their radar.”

Campisi says cuts to accident benefits in 2010 and 2016 under the previous Liberal government has led to Ontarians needing to purchase additional medical and rehabilitation benefits, while also paying for added attendant care for non-catastrophic injuries.

“Accident benefits are almost meaningless now,” Campisi said Wednesday. “So after an accident and I turn to my own insurance company for benefits, I realize I am not properly compensated, so now I am going to turn to the tortfeasor [wrongdoer] for compensation.”

“The government wants to make sure that we don’t have anyone driving without any insurance, and it also recognizes the fact that some people might commit an intentional act using their vehicle for something for which the insurance company had no intention of ever insuring.”