What Ontario Drivers Need to Know about 2026 Accident Benefits Reforms
Statutory Accident Benefits (SABs) are an important part of your auto insurance policy. Starting July 1, 2026, Ontario is making more accident benefits optional including income replacement and caregiver benefits. Medical, rehabilitation and attendant care benefits will remain mandatory to ensure everyone has access to essential recovery support.
Who is covered for the optional benefits under your policy will also change. Optional accident benefits will no longer apply to pedestrians, cyclists and passengers who aren’t specifically included on an auto insurance policy with these benefits.
We strongly recommend talking to your insurance provider about these changes to make sure you’re prepared and protected for Ontario’s new auto insurance landscape. The information in this article will give you the facts you need to start making informed decisions about your new coverage options. If you have questions or need advice from a licensed broker, Team Onlia, is always happy to evaluate your coverage needs and design a customized policy for you.
What are Statutory Accident Benefits?
Statutory Accident Benefits can provide financial support if you are injured in an auto accident. These benefits can be available regardless of who caused the accident and can cover things like medical treatment, rehabilitation and income if you can’t work because of your injuries.
How are SABs Changing in Ontario?
Starting July 1, 2026, Ontario drivers will have new choices to make about their car insurance coverage. While certain essential benefits will remain mandatory, others will become optional and can be selected or removed when purchasing or renewing your policy.
If you’re an existing customer, your policy will renew with the same coverage and limits, unless you agree with your insurer in writing to decline the benefits or make changes to them. However, who is covered under your policy for newly optional benefits will change on July 1, 2026, regardless of renewal effective date. Before making changes, check if your personal or work benefits already provide similar coverage.
Customers who are purchasing or renewing a policy on or after July 1, 2026, can choose which optional accident benefits they would like to purchase.
Essential accident benefits coverage remains mandatory
Standard medical, rehabilitation and attendant care benefits will continue to be included in all auto insurance policies. These benefits are available regardless of who caused the accident. They cover medical expenses, therapy, and personal care assistance for injuries from an accident including doctor visits, physiotherapy, and help with daily activities like bathing and dressing.
Optional benefits you can now choose to add
The following auto insurance accident benefits will become optional. You can choose to remove or add these to your policy, for yourself or other covered persons, depending on your needs.
| Optional benefit | What it covers |
|---|---|
| Income replacement | Helps replace income you or another covered person may lose because of an auto accident. |
| Non-earner | If you or another covered person is a student or unemployed and an auto accident keeps you from leading a normal life, this benefit can provide financial support while you recover. |
| Caregiver benefits | Helps cover caregiving expenses if you or another covered person is injured in an auto accident and can no longer provide care for a household member, such as a child or aging parent, who needs it. |
| Lost educational expenses | If an auto accident keeps you or another covered person from attending school or an education program, this benefit can help cover the costs you have lost. |
| Expenses of visitors | Helps cover reasonable and necessary expenses of visitors, such as a sibling or parents, if you or another covered person is injured in an auto accident. |
| Housekeeping and home maintenance | Helps cover costs if you or another covered person is unable to perform the housekeeping and home maintenance tasks normally done before an auto accident. |
| Damage to personal items | Helps cover the cost to repair or replace personal items (e.g., clothing, prescription eyewear, hearing aids, etc.) damaged in an auto accident. |
| Death benefits | Compensates some family members if you or another covered person die due to an auto accident. |
| Funeral benefits | Helps cover some funeral costs if you or another covered person die due to an auto accident. |
Benefits that will remain optional
You can still choose to add the following benefits to your policy:
| Optional Benefit | What it covers |
|---|---|
| Supplementary medical, rehabilitation and attendant care benefits | Helps cover expenses for medical benefits beyond the standard limits. |
| Dependant care benefits | Helps cover reasonable and necessary additional expenses associated with caring for dependants such as a child, spouse, or aging parent. |
| Indexation benefits | Helps to ensure certain weekly benefit payments and monetary limits are adjusted annually to reflect changes in the cost of living. |
Disclaimer
The descriptions of the statutory accident benefits on this page is a summary of the statutory accident benefits in Ontario Regulation 34/10 (the “SABS”). Do not rely on this summary alone. For full details, refer to the SABS or speak with your insurer, agent, or broker.
Who is covered under Ontario’s newly optional accident benefits?
Although existing policies will renew with the same coverage and limits, who is covered under policies for newly optional accident benefits will change on July 1, 2026, regardless of renewal effective date.
Optional accident benefits under your auto policy will only cover the following individuals:
The named insured
The spouse of the named insured
Dependants of the named insured and of the named insured’s spouse
Persons specified in the policy as drivers of the automobile
What Steps Should I Take to Ensure I Have the Right Coverage?
Review your current coverage to understand what benefits you have today in your auto insurance policy.
Review coverage you may already have through your workplace, private benefits plan, or life and health insurance providers.
Think about your needs. Consider which coverage is right for you.
Speak to your insurer, agent, or broker to learn more about your options.
It’s important to remember that the additional cost of the newly optional accident benefits can offer you crucial protection if you need to make a claim.
Need help navigating your Ontario car insurance options? Onlia can help with expert broker advice!
Making it to the end of this article is an excellent first step to ensuring you make informed decisions and choose the benefits that best fit your needs and budget. Our team of insurance experts is always happy to help you find the most affordable coverage options that will work the hardest to protect what matters most.
Start a live chat or call us at 1-844-472-7905 to discus custom insurance solutions with advice from our licensed brokers.
You can also get a quote with your preferred coverage options online, right here.
Have more questions about SABs optional coverage changes?
Check out our 2026 Accident Benefit Reforms Frequently Asked Questions page for more answers and advice.
FAQ - 2026 Accident Benefits Reforms