In this edition of our newsletter, we will be discussing recent changes made to the Statutory Accident Benefits Schedule (SABS) and what these changes may mean for individuals following a motor vehicle accident.
As of July 1, 2026, significant changes have been made to the Statutory Accident Benefits coverage in Ontario [1].
These changes were intended to give consumers greater flexibility in choosing what coverage fits their needs and budget following an accident.
However, this flexibility also means that certain benefits that were previously included, are now optional and must be purchased.
Standard medical, rehabilitation, and attendant care benefits will continue to be included in all auto insurance policies. These benefits provide coverage for essential support and reasonable and necessary services and expenses related to an impairment sustained in a motor vehicle accident.
Recent changes to the SABS include optional accident benefits coverage and must be added to an insurance policy for an additional cost.
Previously, income replacement benefits were automatically included in all auto insurance policies, but this must be opted-in as of July 1, 2026.
For those who choose to purchase optional benefits, these may include:
- ➢ Non-earner benefits, to provide financial support to individuals who were unemployed and unable to return to their normal lives because of their accident-related impairment;
- ➢ Caregiver benefits, to cover expenses for caregiving services required following the accident;
- ➢ Lost educational expenses, to cover certain expenses, including tuition and books, for individuals who were attending school or enrolled in an education program;
- ➢ Visitor expenses, to cover reasonable and necessary costs for visitors following the accident;
- ➢ Housekeeping and home maintenance, to cover costs for individuals who are unable to perform housekeeping and home maintenance activities because of their accident-related impairment;
- ➢ Damage to personal items, to provide coverage to replace personal items damaged in the accident; and
- ➢ Death and funeral benefits, to provide compensation to family members and cover funeral expenses if an individual passes away as a result of the accident.
Other additional benefits also remain available for purchase, including increased medical, rehabilitation, and attendant care benefits, dependant care benefits, and indexation benefits.
- ➢ Increased medical, rehabilitation, and attendant care benefits can provide individuals with increased benefit amounts than what is standardly available under the SABS.
- ➢ Increase of Income replacement benefits, to provide financial support when an individual is unable to work because of their accident-related impairment;
- ➢ Dependant care benefits provide reimbursement for employed parents or caregivers for childcare expenses when they are injured in a motor vehicle accident.
- ➢ Indexation benefits ensure your benefit amounts increase over time with inflation.
If one chooses not to pay the extra cost and opt-in to these benefits, you will not be entitled to these benefits.
Another important change to the SABS includes who is covered by optional accident benefits.
This may be particularly important for pedestrians, passengers, and cyclists involved in a motor vehicle accident who are no longer automatically included in the policy.
For example, if an individual is injured in a collision with a driver who has not purchased certain optional benefits, the injured person may not have access to those same benefits through the driver’s policy.
As a result, individuals who are not at fault for a collision, can be left in a vulnerable position and can face financial gaps when navigating available supports following the collision.
These changes may have different implications for individuals. People who do not have additional insurance coverage, and choose not to purchase optional accident benefits, may have fewer sources of financial support available to them following an accident.
This may lead to financial bankruptcy and increased financial stress. They may rely on government collateral benefits, including Employment Insurance or ODSP, as their primary income source, which may not be sufficient to cover the costs of their needs.
The additional cost of optional benefits further increases financial vulnerability, as many may choose to select the most affordable benefits plan with less coverage.
This can make it more difficult to access the care needed following an accident, and for individuals to focus on their rehabilitation rather than their financial situation.
Additionally, this can place increased strain on family members, community services, and the healthcare system.
In conclusion, the new changes made to the SABS may be good for those who wish to opt-out of certain benefits, but also negatively impacts those who may not have the same financial ability to afford care and services following an accident.
As the SABS continue to evolve, being informed about changes to accident benefits can help individuals better understand their coverage to make informed decisions about the supports and services that may be available to them following a motor vehicle accident.
At GLA Rehab, we recognize that navigating the accident benefits can be complex and the changes made to optional accident benefits may significantly impact clients, especially while recovering from an injury.
We are adapting to the new changes and are developing certain strategies to address the effect of these changes on our clients.
References:
[1] O. Reg. 34/10: Statutory Accident Benefits Schedule – Effective September 1, 2010, https://www.ontario.ca/laws/regulation/100034