How Does The No-Fault Principle In Ontario Work?

It’s essential to outline that Canada is country which is divided in provinces. This is important because each of those provinces is entitled to come up with legislation that could be enforced over the governmental statutes, provided that they are not contradicting. The province of Ontario has strict Fault Determination Rules which are enacted and have to be considered if you have been involved in a pedestrian or a car accident.

As an insurance contract

However, there is also the No-fault principle which refers to the insurance contracts. Under those contracts the person who has been insured is entitled to seek monetary compensation for the loss without having to establish who the fault party is. The main goal of this policy is to properly reduce the costs by getting rid of the need of a litigation process. This also makes it clear that victims of accidents are capable of receiving quick adequate payments for their injuries. It comes under the Tort Laws which lay down the regulations for compensation in personal injury cases.

Of course, this doesn’t mean that this insurance principle is going to provide the victims with absolute and proper justice as is the case in the common law. It is going to provide the involved with average justice which also has some benefits. Right of the bat, this principle ensures that the victim is going to receive a prompt compensation without having to go through extensive court battles which may take years. This also means that the victims won’t be required to pay court taxes and legal fees which can get rather expensive, depending on the monetary compensation that is being claimed.

However, there is also one more crucial thing that you would have to bear in mind. Even though it’s called a “No-fault” principle, the fault has to be determined by the insurance company. If you are the fault party, this is going to be added to your insurance records. You are still going to receive compensation as per the agreement that you have signed upon with your insurer. However, the fact that you have caused the accident is going to result in higher insurance policy increments that you would have to make if you want to continue your contract.

The best thing about this particular policy is that the rules are pretty standard. It’s easy for everyone in the city of Cambridge, and in the province of Ontario, for that matter, to contact their insurance company and get the compensation that is due. However, you have to make sure that the damages are properly assessed and it’s highly recommended to hire an attorney to assist you in the process.