Accident Benefit

In regards to an automobile accident, you have coverage for each person who sustains bodily injury or death by an accident, arising out of the operation and use of an automobile. This has to be independent of all other causes of death. In other words, you must be injured or die by a direct loss. This accident benefit coverage must be purchased, if you have bought Public Liability & Property Damage (PLPD). This part of your auto insurance, provides medical care and income replacement benefits to insured persons injured in a car collision. This is regardless of who caused the accident. In some parts of the country, this is referred to as “Section B.”

Some of the coverage included are for such items as surgical, dental, medical, chiropractic, hospital, ambulance service which are necessary for the rehabilitation and treatment of the injured person. This claim must be within two years of the date of the accident.

This coverage includes some payment for funeral services, and will pay a set amount, if there is a death or total disability of the person involved in the accident.

The amounts paid out for a death, is determined by how the person who is killed fits into the household, the largest amounts are paid out if the person killed is the head of the household. It is important to realize that there must be a survivor to receive this benefit. The amounts paid out on disability, also has considerations as to if the disability is wholly and continuously disabling. There is a period of seven days before the benefits will start. Again, the person's position in the household determines the minimum and maximum amounts. If you are a pedestrian ,then that vehicle's Accident Benefits will be applied for your medical payments, any total disability, death and funeral benefits. When you are in an accident out of your home province, then the rules of that province will apply.

It is important to let your adjuster know if you are experiencing any "after effects" from an accident. The immediate treatment will often help to prevent a minor injury from becoming a long-term debilitating condition. Seeing a medical practitioner right away also helps to establish that the injury is current and not after the fact.

Consult with your agent or broker, if you have questions about this coverage. You can also reference the government websites that define the coverage for each province or territory.