Statutory Accident Benefits in Ontario, commonly referred to as SABS, is a no-fault system that entitles those injured in a car accident to access various benefits, including income replacement and medical benefits, through their automobile insurance policy. If the injured party does not have their own automobile insurance policy, these benefits can be claimed through alternate ways. For example, if you are a passenger in a motor vehicle, these benefits can be claimed through the driver’s insurer. If you are a pedestrian or cyclist, the benefits can be claimed through the insurer of the driver involved in the accident.
New System: Medical, Rehabilitation and Attendant Care Benefits ONLY
The Ontario Government has recently made significant changes to the SABS with respect to accessing these benefits. Effective July 1, 2026, most of the benefits provided under the SABS are now optional, leaving medical, rehabilitation, and attendant care benefits as the only mandatory portion of the policy. This means insured individuals will have the option to buy in to the additional benefits under their automobile insurance policy. Importantly, the insured must opt-in to these optional benefits, rather than opt-out, leaving a greater chance for reduced coverage.
Must OPT-IN for all Additional Coverage
What do these changes mean? In short, injured individuals may be left without access to the coverage necessary should they be involved in a serious collision. Given that purchasing automobile insurance is mandatory, and there has been no discussion of a reduction in premiums as a result of these changes, the concern is that those purchasing insurance will avoid opting in to the optional coverage to cut costs, and in the result, they will be left without adequate benefits coverage in the event of a collision.
This has significant consequences for those who do not have their own coverage. For example, those injured in a car accident who rely on another person’s insurance, such as passengers in a motor vehicle, cyclists, or pedestrians, will have reduced access to the benefits they require should the insured driver decline to purchase the optional benefits.
Summary of Changes
You don’t pay, you don’t get certain coverage. The chart below summarizes the differences between the current system and the optional benefits system effective July 1, 2026:
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Current System |
New System: No Options Purchased |
New System: Options available for Purchase |
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Subject to eligibility, coverage includes: 1. Medical, Rehabilitation and Attendant Care Benefits
2. Income Replacement Benefits The weekly amount is the lesser of A or B:
3. Non-Earner Benefits
4. Caregiver Benefits
5. Housekeeping and Home Maintenance Expenses
6. Lost Educational Expenses
7. Visitors Expenses
8. Damage to clothing, glasses, hearing aids, etc.
9. Cost of Examinations
10 Funeral Benefits
11. Death Benefits
12. Additional Optional Benefits
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Subject to eligibility, coverage includes:
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Subject to eligibility, only if purchased, coverage includes: 1. Income Replacement Benefits The weekly amount is the lesser of A or B:
2. Non-Earner Benefits
3. Caregiver Benefits
4. Housekeeping and Home Maintenance Expenses
5. Lost Educational Expenses
6. Visitors Expenses
7. Damage to clothing, glasses, hearing aids, etc.
8. Cost of Examinations
9. Funeral Benefits
10. Death Benefits
11. Additional Optional Benefits Various amounts depending on type of benefit and option selected |
Speak to your Insurance Broker to Explore your Options
Despite significant opposition from the Ontario Trial Lawyers Association, who vigorously cautioned against the proposed changes, the Ontario government proceeded with these amendments. The Ontario Trial Lawyers Association is continuing to lobby the government with respect to these changes before they take effect in 2026.
Before you renew your auto policy, for effect in the 2026 year, be sure to speak with your insurance broker to ensure that you are adequately covered, and that you purchase optional coverage, as personalized to your unique circumstances, to ensure peace of mind and sufficient coverage in the event of a motor vehicle accident.