Generally speaking, an accident victim receives accident benefits from their own insurance, and a tort claim is made against the driver that is at fault for the accident. However, there are certain situations where there may be no insurance available to respond to a claim. For example, when a person does not have access to insurance and was a passenger in a vehicle involved in a car accident where neither driver was insured, or the person was walking or cycling and the driver of the vehicle involved did not have insurance.
If you were injured in a motor vehicle accident where there is no insurance, you may claim for compensation for your injuries through the Motor Vehicle Accident Claims Fund (“MVACF”). The MVACF is the “payor of last resort”, which means that you must have exhausted any other potential sources of insurance before the MVACF will respond to any claim. The MVACF was set up by the Ontario government to act as a safety net when no other car insurance policy exists.
There are certain requirements that must be met in order for an individual to apply for compensation through the MVACF. The person must live in Ontario, be involved in a collision in Ontario where no one had car insurance, and were injured or have property damage that is over $100.
The MVACF can provide accident benefits, death and funeral benefits, as well as compensation for personal injury or property damage.
If there was property damage as a result of a car accident, the MVACF may pay up to $10,000 including interest, plus legal costs; however, there is a $100 deductible and the MVACF does not compensate for damages to vehicles. For a lawsuit for personal injury, the MVACF can compensate Ontario’s minimum liability limits of up to $200,000, plus legal costs.
Knowing which insurance company is responsible, and whether the MVACF will respond to your car accident claim can be confusing. If you or a loved one has been involved in a car accident, please contact our experienced team at Reybroek Law for a free consultation.