Auto
Mississauga & Toronto No-Fault Auto Insurance 2025 Guide
By Katherine Le
No-Fault Auto Insurance in 2025: What Toronto & Mississauga Drivers Must Know!
Navigating auto insurance claims in Mississauga and Toronto can be confusing. Here is a plain-language overview of Ontario’s no-fault system and the accident-benefit changes that took effect on July 1, 2026.
What Exactly Is No-Fault Auto Insurance?
“No-fault” does not mean nobody is assigned responsibility. In Ontario, it generally means you deal with your own insurer for certain coverages after a collision, regardless of who caused it. Fault is still determined for other parts of a claim and may affect your driving record or premium.
Key Features:
- Your own auto insurer is generally the first payer for eligible medical and rehabilitation accident-benefit costs. Vehicle damage is handled by the applicable coverage in your policy.
- Fault is still assigned for determining premium adjustments and driving records.
- You can, in limited cases, still sue the other driver—but typically only for serious injuries or damages.
How Do Claims Work Under Ontario’s No-Fault System?
- Report promptly: Notify your insurance company within 7 days of the accident in Ontario.
- Claim application: Complete the accident benefits form within 30 days to secure access to statutory benefits.
- Vehicle damage: Your policy may respond through DCPD if that coverage applies. Collision coverage may also respond in situations covered by its terms; ask your insurer which section applies to your claim.
- Accident-benefit changes from July 1, 2026: Only medical, rehabilitation and attendant care benefits remain mandatory. Income replacement, non-earner, caregiver, death and funeral benefits are optional coverage choices.
What Does No-Fault Insurance Cover?
Since July 1, 2026, only medical, rehabilitation and attendant care accident benefits remain mandatory in Ontario. Income replacement, non-earner, caregiver, death and funeral benefits are optional. The auto insurer is generally the first payer for eligible medical and rehabilitation costs. Vehicle damage depends on the coverage in your policy.
If you have additional questions about who pays for what or how to increase your protection, your Mississauga or Toronto insurance broker can help you review all options—including optional upgrades and accident forgiveness coverage.
Frequently Asked Questions (FAQs)
Q1: Does “no-fault” mean my premiums won’t go up after an accident?
No, premiums may still rise if you’re found at fault for a collision.
Q2: If I’m not at fault, do I still use my own insurer?
Your own insurer is generally first payer for accident benefits. DCPD may apply to vehicle damage if it is included in your policy and the claim meets its terms.
Q3: Can I sue the at-fault driver in Mississauga or Toronto?
Only in specific cases with serious injuries or losses. Most minor accidents are handled by your own insurer.
Q4: Are there any changes to benefits in 2025?
Yes. Since July 1, 2026, only medical, rehabilitation and attendant care accident benefits remain mandatory. Income replacement, non-earner, caregiver, death and funeral benefits are optional.
Q5: What if the other driver is uninsured?
You’re still protected—your policy includes coverage for uninsured and underinsured motorists. rates
Why Work With a Local Broker?
As a Mississauga/Toronto insurance broker, our job is to simplify these rules, find coverage that really protects your budget and your family, and support you through any claim. We have relationships with leading Ontario insurers, know the streets you drive, and are ready to help you get the best deal—with service that feels personal.
Talk with Katherine
If you’d like help with your coverage, contact me or start a quote.
