By Sabrina L. Seibel
Being injured in a motor vehicle collision is distressing, especially if it happens in another country. For Canadians, a car accident in the United States brings unique challenges. Here’s a guide to help you navigate this situation and understand your rights and options.
Medical Treatment: Always seek medical attention immediately after an accident, even if you’re worried about potential medical bills. Your health and safety should be the top priority.
Understanding Liability Limits
In the U.S., many states require motorists to carry very low minimum liability limits—some as low as $10,000 (USD). In some situations, the at-fault motorists may not have insurance coverage at all. In contrast, Ontario requires a minimum of $200,000 in third-party liability coverage, with most drivers carrying at least $1 million. This difference can create financial concerns in cross-border accidents.
Types of Compensation
Regardless of where the accident occurs, there are two main types of compensation you can seek:
- Accident Benefits: This includes income replacement benefits, medical and rehabilitation expenses, and visitor expenses. An application for Accident Benefits is submitted to your own insurance company, regardless of who was at fault for the accident. You can choose to apply for benefits under Ontario law (Statutory Accident Benefits) or those available in the U.S. state where the accident occurred. Generally, Ontario benefits are more comprehensive, but consult with an Ontario lawyer before deciding.
- Tort Claims: This is a claim against the at-fault motorist and includes compensation for pain and suffering, past and future loss of income, and other out-of-pocket expenses not covered by Accident Benefits.
Insurance Coverage
Ontario’s standard automobile insurance policy (OAP 1) provides up to $200,000 in coverage if the at-fault motorist is uninsured. This also applies to accidents that occur in the U.S. Most policies also include an OPCF-44 Family Protection Endorsement, allowing you to claim damages beyond the U.S. motorist’s liability limits, up to your policy limits. In other words, you can claim against your own policy, the damages that you would be able to claim against the at-fault motorist (without regard to their policy limits).
Example: If the at-fault motorist had $25,000 in liability limits, and you have an OCF-44 Family Protection Endorsement of $2 million, you can claim the remaining $1,975,000 from your own insurance company.
Legal Representation
You’ll likely need a lawyer in the state where the accident occurred to pursue maximum compensation from the at-fault motorist’s policy. It’s crucial to consult with an Ontario lawyer before agreeing to any settlement with a U.S. insurer, as it might limit your ability to claim from your own policy.
Seeking Legal Advice
Retain an Ontario lawyer first. They can guide you and help find a reputable U.S. lawyer to assist with your case. At Virk Personal Injury Law, we have a network of lawyers across the U.S. who can work with us to ensure that you get the best representation.
Contact a Lawyer Experienced in Cross-Border Claims
If you or a loved one has been injured in a motor vehicle collision in the U.S., seek professional advice and support immediately. At Virk Personal Injury Law, we offer free consultations to help you understand your rights and the necessary steps to secure the compensation you deserve.
For more information or to schedule a free consultation, please contact us. We are here to support you through this challenging time and ensure you receive the necessary legal representation.