[37] Bill 166 Original (PDF)
Bill 166 2002
An Act to further stabilize
automobile insurance rates
Her Majesty, by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows:
PART I
AMENDMENTS TO THE INSURANCE ACT
1. (1) Subsection 121 (1) of the Insurance Act, as amended by the Statutes of Ontario, 1993, chapter 10, section 12, 1994, chapter 11, section 338, 1996, chapter 21, section 14, 1997, chapter 19, section 10, 1997, chapter 28, section 107, 1999, chapter 12, Schedule I, section 4 and 2000, chapter 26, Schedule G, section 1, is amended by adding the following paragraphs:
14.1 defining "automobile" for the purposes of Part VI of the Act and the Statutory Accident Benefits Schedule;
14.2 for the purpose of this Act or any provision of this Act, deeming payments for income loss or loss of earning capacity under an income continuation benefit plan to include payments prescribed by the regulations;
. . . . .
23.5.1 governing the procedure on a motion under subsection 267.5 (12) and prescribing the information that must be provided with respect to the motion;
23.5.2 prescribing rules of procedure and setting time limits in respect of an arbitration under section 267.8 and respecting the evidence to be adduced for the purpose of the arbitration;
23.5.3 prescribing limitations with respect to the nature and extent of services that may be claimed with respect to medical, rehabilitation and attendant care benefits under the Statutory Accident Benefits Schedule and setting aggregate limits for those services or for groups of those services;
23.5.4 excluding from coverage under the Statutory Accident Benefits Schedule goods or services provided by individuals or organizations identified or described in the regulations;
23.5.5 excluding from coverage under the Statutory Accident Benefits Schedule goods or services provided by individuals or organizations that have been associated with providing goods or services to victims of automobile accidents and that, pursuant to the regulations, have been found not to be reasonable or not to be necessary;
23.5.6 requiring individuals or organizations that provide goods or services to persons claiming benefits under the Statutory Accident Benefits Schedule to collect personal information from those persons and to submit it to the body specified in the regulations;
23.5.7 governing the use that the body specified in the regulations that receives personal information in accordance with regulations made under paragraph 23.5.6 may make of the information;
23.5.8 defining personal information for the purposes of regulations made under paragraphs 23.5.6 or 23.5.7;
23.5.9 prescribing the maximum charges that any person may make directly or indirectly related to the towing, removal or storage of an automobile that has suffered damage and governing the disposition of any automobile that is towed, removed or stored following an accident, including requiring vehicles to be removed only to locations described in the regulations or in guidelines issued by the Commission;
23.5.10 prescribing the circumstances in which an insurer may issue an endorsement for the purpose of section 268 and requiring an insurer to file a description or list of providers and to keep the filing current;
(2) Section 121 of the Act, as amended by the Statutes of Ontario, 1993, chapter 10, section 12, 1994, chapter 11, section 338, 1996, chapter 21, section 14, 1997, chapter 19, section 10, 1997, chapter 28, section 107, 1999, chapter 12, Schedule I, section 4 and 2000, chapter 26, Schedule G, section 1, is amended by adding the following subsection:
Definition
(5) In this section,
"Statutory Accident Benefits Schedule" has the same meaning as in Part VI.
2. (1) The definition of "automobile" in subsection 224 (1) of the Act is repealed and the following substituted:
"automobile" includes a motor vehicle or a self-propelled vehicle if the vehicle is required under any Act to be insured under a motor vehicle liability policy, subject to any regulation defining or limiting the term "automobile"; ("automobile")
(2) The definition of "health care" in subsection 224 (1) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 15, is repealed and the following substituted:
"health care" includes all goods and services for which payment is provided in whole or in part by the medical, rehabilitation, attendant care and other benefits provided for in the Statutory Accident Benefits Schedule; ("soins de santé")
3. Section 227 of the Act, as amended by the Statutes of Ontario, 1993, chapter 10, section 14, 1996, chapter 21, section 17 and 1997, chapter 28, section 111, is amended by adding the following subsections:
Endorsement restricting providers
(9) The Superintendent may approve an endorsement restricting providers of goods or services under the Statutory Accident Benefits Schedule to those providers that are reasonably accessible to the insured affected by the endorsement and that are identified or described on a list of providers filed by the insurer with the Superintendent, in accordance with the regulations, if the endorsement sets out a procedure that allows an insured to challenge whether the providers are appropriate for the needs of the insured when injured.
Effect of endorsement
(10) An endorsement approved under subsection (9),
(a) is effective and binding according to its terms even if they are inconsistent with or differ from any provision of this Part or the Statutory Accident Benefits Schedule; and
(b) is binding on any person who is an insured person with respect to a contract of insurance, whether named in it or not.
4. Section 228 of the Act is amended by adding the following subsection:
Effect on insurer's obligations
(2) Unless a contrary intention appears from this Part or the regulations, the obligations of an insurer arising from a contract of insurance, or a part of it, evidenced by an approved form, shall be read as subject to the terms, conditions, definitions, exclusions and limitations of the approved form, unless the context requires otherwise.
5. Subsection 230 (2) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 18, is repealed and the following substituted:
Information from agents
(2) An agent shall inform an applicant for automobile insurance that the agent represents only one insurer.
Request for written information
(3) The broker or agent shall provide the information referred to in subsection (1) or (2) in writing if the applicant so requests.
6. Section 232.1 of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 19, is repealed.
7. Subsection 236 (5) of the Act is repealed and the following substituted:
Non-application to temporary contract
(5) This section does not apply to a temporary insurance contract, temporary binder or interim receipt that includes a prominent warning that the insurance coverage evidenced by the document ceases according to the terms of the document.
8. The Act is amended by adding the following section immediately before the heading "Motor Vehicle Liability Policies":
Insurer's freedoms in contract
238.1 Despite sections 237 and 238 and any other provision of this Act, an insurer may,
(a) issue or renew a contract;
(b) charge a premium in a contract that is less than the premium indicated by any filing made by the insurer; or
(c) decline to issue a contract, terminate a contract, refuse to renew a contract, refuse to provide or continue a coverage or endorsement, or charge a premium in excess of any filing made by the insurer for any reason that is,
(i) reasonably predictive of the risk associated with the insured,
(ii) generally consistent with the insurer's current underwriting practices, and
(iii) not prohibited by the regulations.
9. Section 243 of the Act, as re-enacted by the Statutes of Ontario, 1996, chapter 21, section 20, is amended by adding the following subsection:
Same, coverage
(3) Unless the parties to a contract of insurance evidenced by a motor vehicle liability policy agree otherwise, there is no coverage under the contract for any loss or damage arising directly or indirectly out of the use or operation of an automobile outside of Canada, the United States of America and any other jurisdiction designated in the Statutory Accident Benefits Schedule, or on a vessel not plying between ports of Canada, the United States of America or a designated jurisdiction.
10. Subsection 258.3 (9) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 22, is repealed and the following substituted:
Failure to comply
(9) Despite subsection (1), a person may commence an action on or after the day section 10 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002 comes into force without complying with subsection (1), but the court in the action shall not award costs in favour of a person who has not complied with subsection (1).
Exception
(9.1) Despite subsection (9), the court may award costs in favour of a person who failed to comply with subsection (1) if the person was not represented by a lawyer or other paid representative and was unaware of the obligations imposed by subsection (1).
Compliance before judgement
(9.2) Despite subsection (9), if a plaintiff commences an action on or after the day section 10 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002 comes into force without complying with subsection (1) but complies with that subsection before the court issues its judgment, the court may award costs after compliance if,
(a) the plaintiff shows that there was a reasonable excuse for not complying with subsection (1); and
(b) the plaintiff complied with subsection (1) as soon as practicable in the circumstances.
Unnecessary steps
(9.3) The court shall not award costs with respect to any step or proceeding in an action commenced on or after the day section 10 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002 comes into force, or part of a proceeding, unless it is satisfied that the plaintiff's non-compliance with subsection (1) could not have contributed to the necessity of taking the step or proceeding.
Transitional
(9.4) Despite section 10 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002, subsection (9), as it existed immediately before the day section 10 of that Act comes into force, shall continue to apply in respect of an action commenced before that day.
11. (1) Subsections 267.5 (3) and (4) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, are repealed.
(2) Subsection 267.5 (5) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, is amended by adding "or for expenses that have been incurred or will be incurred for health care, resulting" after "Family Law Act".
(3) Subsection 267.5 (6) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, is amended by striking out "(3)".
(4) Subsection 267.5 (7) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, is repealed and the following substituted:
Amount of damages for non-pecuniary loss
(7) Subject to subsections (5), (12), (13) and (15), in an action for loss or damage from bodily injury or death arising directly or indirectly from the use or operation of an automobile, the court shall determine the amount of damages for non-pecuniary loss or for expenses that have been incurred or will be incurred for health care, to be awarded against a protected defendant in accordance with the following rules:
1. The court shall first determine the amount of damages for non-pecuniary loss or for expenses that have been incurred or will be incurred for health care, for which the protected defendant would be liable without regard to this Part.
2. The determination of the amount of damages for non-pecuniary loss under paragraph 1 shall be made in the same manner as a determination of the amount of damages for non-pecuniary loss in an action to which this section does not apply and, in particular, without regard to,
i. the statutory accident benefits provided for under subsection 268 (1),
ii. the provisions of this section that protect protected defendants from liability for damages for pecuniary loss, and
iii. the provisions of paragraph 3.
3. Subject to subsections (8) and (8.1), the amount of damages for non-pecuniary loss or for expenses that have been incurred or will be incurred for health care, to be awarded against the protected defendant shall be determined by reducing the amount determined under paragraph 1 by,
i. in the case of damages for non-pecuniary loss, other than damages for non-pecuniary loss under clause 61 (2) (e) of the Family Law Act, or for expenses that have been incurred or will be incurred for health care, the greater of,
A. $15,000, and
B. the amount prescribed by the regulations, and
ii. in the case of damages for non-pecuniary loss under clause 61 (2) (e) of the Family Law Act, the greater of,
A. $7,500, and
B. the amount prescribed by the regulations.
4. If fault or negligence on the part of the person entitled to damages for non-pecuniary loss or for expenses that have been incurred or will be incurred for health care contributed to those damages, the award for damages shall be reduced under paragraph 3 before the damages are apportioned under section 3 of the Negligence Act.
(5) Subsection 267.5 (8) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, is repealed and the following substituted:
Application of subpar. 3 i of subs. (7)
(8) Subparagraph 3 i of subsection (7) does not apply if the amount of damages for non-pecuniary loss other than damages for non-pecuniary loss under clause 61 (2) (e) of the Family Law Act would exceed $100,000 in the absence of that subparagraph.
Application of subpar. 3 ii of subs. (7)
(8.1) Subparagraph 3 ii of subsection (7) does not apply in respect of an incident that occurs on or after the day section 11 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002 comes into force if the amount of damages for non-pecuniary loss under clause 61 (2) (e) of the Family Law Act would exceed $50,000 in the absence of that subparagraph.
Application of subss. (7)-(8.1)
(8.2) Subsections (7), (8) and (8.1) apply in respect of each person who is entitled to damages for non-pecuniary loss in respect of an incident that occurs on or after the day section 11 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002 comes into force.
(6) Subsection 267.5 (10) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, is amended by striking out "(3)".
(7) Subsection 267.5 (11) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, is repealed.
(8) Subsection 267.5 (12) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, is repealed and the following substituted:
Motion to determine if threshold met;
non-pecuniary loss
(12) In an action for loss or damage from bodily injury or death, arising directly or indirectly from the use or operation of an automobile and commenced on or after the day section 11 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002 comes into force, a judge shall, on motion made before trial by any party or in accordance with an order of a judge who conducts a pre-trial conference, dismiss claims that are subject to subsection (5) unless the evidence put before the judge satisfies the judge that the court at trial might reasonably conclude that, as a result of the use or operation of the automobile, the injured person has died or has sustained,
(a) permanent serious disfigurement; or
(b) permanent serious impairment of an important physical, mental or psychological function.
(9) Subsection 267.5 (13) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, is amended by striking out "(11) or".
(10) Subsection 267.5 (14) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, is repealed.
(11) Subsection 267.5 (15) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, is repealed and the following substituted:
Determination at trial; non-pecuniary loss
(15) If no motion is made under subsection (12) or if the judge on that motion, in an action commenced on or after the day section 11 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002 comes into force, has not dismissed claims that are subject to subsection (5), the trial judge shall determine for the purpose of that subsection whether, as a result of the use or operation of the automobile, the injured person has died or has sustained,
(a) permanent serious disfigurement; or
(b) permanent serious impairment of an important physical, mental or psychological function.
Limit on vicarious liability
(16) No person vicariously liable for a person protected from liability by subsection (1) or (5) is vicariously liable for any amount greater than the liability of the person for whose actions they are liable.
Transitional
(17) Despite section 11 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002, subsections (3), (4), (5), (6), (7), (8), (10), (11), (13) and (14), as they existed immediately before the day section 11 of that Act comes into force, shall continue to apply in respect of an incident that occurs before that day.
Same
(18) Despite section 11 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002, subsections (12) and (15), as they existed immediately before the day section 11 of that Act comes into force, shall continue to apply in respect of an action commenced before that day.
12. (1) Subsections 267.8 (17) and (18) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, are repealed and the following substituted:
Limit on subrogation
(17) A person who has made a payment described in subsection (1), (4) or (6) is not subrogated to a right of recovery of the insured against another person in respect of that payment or in respect of any payment made after the trial of the action or in respect of any benefit for which the person may be liable.
Exception
(18) Subsection (17) does not apply with respect to a payment made by the Ministry of Health and Long-Term Care if the right of recovery is against a person other than a person insured under a motor vehicle liability policy issued in Ontario.
(2) Subsection 267.8 (19) of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29 and amended by 1997, chapter 16, section 9, is repealed and the following substituted:
Workplace Safety and Insurance
Board
(19) Subsection (17) and clause 258.3 (1) (a) do not apply with respect to a subrogated action brought under subsection 30 (10) or (11) of the Workplace Safety and Insurance Act, 1997.
(3) Section 267.8 of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29 and amended by 1997, chapter 16, section 9, is amended by adding the following subsections:
Arbitration for commutation
(23) If, within 120 days of the trial of an action mentioned in subsection (1), (4) or (6), an issue arises with respect to the plaintiff's entitlement to payments described in subsection (9) or (12), the plaintiff, the defendant or the defendant's insurer may require that a person responsible for the payments submit to arbitration under the Arbitration Act, 1991 for the purpose of commuting the benefits payable with respect to the plaintiff.
Effect of arbitration
(24) If, in accordance with this Act, the obligation of a collateral payer has been arbitrated for the purpose of commutation, subject to any appeal, the amount determined as an appropriate amount for commutation is the obligation of the collateral payer to the plaintiff.
Reduction of recovery
(25) In an action for loss or damage from bodily injury or death arising directly or indirectly from the use or operation of an automobile, the amount determined to be the commuted value of a collateral benefit by an arbitrator is the amount by which the plaintiff's entitlement shall be reduced.
Transitional
(26) Despite section 12 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002, this section, as it existed immediately before the day section 12 of that Act comes into force, shall continue to apply in respect of an action commenced before that day.
13. Section 267.11 of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 29, is amended by adding the following subsections:
Other exclusions
(3) An award against a protected defendant for damages shall not include any amount for income tax payable on the award with respect to,
(a) damages that might be paid periodically pursuant to section 267.10; or
(b) any component of the award that the defendant agrees to pay on a periodic basis.
Transitional
(4) Subsection (3) does not apply in respect of an action commenced before the day section 13 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002 comes into force.
14. Section 268 of the Act, as amended by the Statutes of Ontario, 1993, chapter 10, sections 1 and 26, 1996, chapter 21, section 30 and 1999, chapter 6, section 31, is amended by adding the following subsections:
Approval of Superintendent required
(9) Unless approved by the Superintendent, no insurer shall enter into a contract of insurance that,
(a) purports to directly or indirectly exclude or limit coverage with respect to losses arising directly or indirectly from the use or operation of an automobile; or
(b) purports to be excess coverage to the insurance mentioned in subsection (1).
Endorsement limiting providers
(10) An insurer who offers a motor vehicle liability policy to a prospective insured may, in addition to a contract to evidence the policy that complies with subsection (1), offer the policy with an endorsement that limits the benefits under the Statutory Accident Benefits Schedule to benefits for goods and services provided by providers that are identified or described in the list that the insurer has established for the purpose of the endorsement and filed in accordance with the regulations if the insurer complies with subsection (11) and the requirements of the regulations for issuing the endorsement.
Requirements for list
(11) An insurer shall not list or describe providers in the list unless,
(a) the insurer has set criteria for determining whether or not a provider or group of providers will be listed or described in the list;
(b) the insurer follows the criteria in establishing the list;
(c) when offering the endorsement, the insurer makes a description of the criteria available to the prospective insured; and
(d) provides a copy of the list to the insured upon request.
Validity of endorsement
(12) An endorsement mentioned in subsection (10) that is validly issued and a contract evidenced by a motor vehicle liability policy that contains the endorsement are enforceable according to its terms and conditions despite subsection (1) and any other provision in the Statutory Accident Benefits Schedule.
Effect of endorsement
(13) The insured under a policy that is subject to the endorsement is limited to receiving applicable goods and services from the providers who, at the time of an accident, are listed or described in the list that the insurer has established for the purpose of the endorsement and filed in accordance with the regulations, except that an insured is not required to obtain goods and services from a provider listed or described in the list if the provider is not reasonably accessible to the insured.
15. The Act is amended by adding the following section:
Effect of winding-up order on benefits
268.0.1 (1) The making of a winding-up order in respect of an insurer under the Winding Up and Restructuring Act (Canada) on or after the day section 14 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002 comes into force shall not be taken into account in determining under section 268 whether the insurer is liable to pay statutory accident benefits.
Who pays benefits
(2) If an insurer in respect of which a winding up order has been made under the Winding Up and Restructuring Act (Canada) on or after the day section 14 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002 comes into force is liable to pay statutory accident benefits under subsection (1), the Motor Vehicle Accident Claims Fund shall pay the benefits, including any benefits that were outstanding at the time the order was made.
16. Section 282 of the Act, as amended by the Statutes of Ontario, 1993, chapter 10, sections 1 and 33 and 1996, chapter 21, section 38, is amended by adding the following subsection:
Use of reasons for decision
(17) The reasons for decision for an arbitrator's order are not a binding precedent and may not be referred to except for the purpose of an appeal or for the purpose of enforcing or varying the order based on the reasons.
17. The Act is amended by adding the following section:
Further appeal
283.1 (1) A party to an appeal under section 283 commenced on or after the day section 17 of the Insurance Statute Law Amendment Act (Automobile Insurance), 2002 comes into force may appeal the order of the Director to the Superior Court of Justice on a question of law, with leave, within 30 days of receiving notice of the order.
Grounds for leave
(2) The court shall grant leave to appeal only if it is satisfied that,
(a) the importance to the parties of the matters at stake in the dispute justifies an appeal and a determination of the question of law at issue will significantly affect the rights of the parties; or
(b) the question of law at issue is of importance to the administration of statutory accident benefits.
Appeal to Court of Appeal
(3) A party may appeal the court's decision in an appeal under section (1) to the Court of Appeal, with leave of that court.
18. Section 410 of the Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 44 and amended by 1997, chapter 28, section 125, is repealed and the following substituted:
Filing risk classification system and rates
410. (1) Every insurer shall file with the Superintendent,
(a) the risk classification system it intends to use in determining the rates for each coverage and category of automobile insurance; and
(b) the rates it intends to use for each coverage and category of automobile insurance.
Exception
(2) An insurer is not required to file a risk classification system that the insurer is required to use under the regulations.
Form of filing
(3) A filing of a risk classification system or rates shall be in a form approved by the Superintendent and shall be filed together with the information, material and evidence that the Superintendent specifies.
Additional information
(4) The Superintendent may require an insurer who does a filing under subsection (1) to provide the information, material and evidence that the Superintendent considers necessary in addition to the information, material and evidence required to be provided in or with the filing.
Definition
(5) In this section,
"insurer" includes the Facility Association.
19. The following provisions of the Act are repealed:
1. Section 411, as enacted by the Statutes of Ontario, 1996, chapter 21, section 44 and amended by 1997, chapter 28, section 125.
2. Section 412, as re-enacted by the Statutes of Ontario, 1996, chapter 21, section 45 and amended by 1997, chapter 28, section 126.
3. Section 412.1, as re-enacted by the Statutes of Ontario, 1997, chapter 28, section 127.
4. Section 413, as amended by the Statutes of Ontario, 1993, chapter 10, section 40, 1996, chapter 21, section 46 and 1997, chapter 28, section 128.
5. Section 414, as amended by the Statutes of Ontario, 1993, chapter 10, section 42, 1996, chapter 21, section 47 and 1997, chapter 28, section 130.
20. (1) Subsection 415 (1) of the Act, as re-enacted by the Statutes of Ontario, 1993, chapter 10, section 43 and amended by 1996, chapter 21, section 48 and 1997, chapter 28, section 131, is repealed and the following substituted:
Reconsideration
(1) The Superintendent may notify the insurer, within 30 days of a filing under section 410, that he or she intends to make an order with respect to any risk classification system or rates for any coverage or category of automobile insurance of an insurer if the Superintendent is of the opinion that,
(a) the risk classification system or rates are not just and reasonable in the circumstances;
(b) the risk classification system is not reasonably predictive of risk or does not distinguish fairly between risks; or
(c) the rates would impair the solvency of the insurer or are excessive in relation to the financial circumstances of the insurer.
Contents of notice
(1.0.1) The notice shall include the proposed order and the Superintendent's reasons for it.
(2) The following provisions of the Act are repealed:
1. Subsections 415 (2) and (2.1), as re-enacted by the Statutes of Ontario, 1997, chapter 28, section 131.
2. Subsection 415 (4), as amended by the Statutes of Ontario, 1997, chapter 28, section 131.
21. Section 417 of the Act, as amended by the Statutes of Ontario, 1993, chapter 10, section 45 and 1997, chapter 28, section 133, is repealed.
PART II
AMENDMENTS TO OTHER ACTS
22. Clause 15 (1) (c.2) of the Compulsory Automobile Insurance Act, as enacted by the Statutes of Ontario, 1996, chapter 21, section 50, is repealed and the following substituted:
(c.2) requiring an insurer, a class of insurers, the Association or agents to provide the Minister of Transportation, or any organization designated by the Minister of Transportation, with all information that is prescribed by the regulations, including personal information, subject to the conditions prescribed by the regulations.
23. Subsection 36.0.1 (3) of the Health Insurance Act, as enacted by the Statutes of Ontario, 1999, chapter 10, section 1, is amended by striking out "or" at the end of clause (b) and by adding the following clause:
(b.1) against the owner or operator of a motor vehicle that is insured under a motor vehicle liability policy issued in Ontario; or
PART III
COMMENCEMENT AND SHORT TITLE
Commencement
24. This Act comes into force on a day to be named by proclamation of the Lieutenant Governor.
Short title
25. The short title of this Act is the Insurance Statute Law Amendment Act (Automobile Insurance), 2002.
EXPLANATORY NOTE
The Bill amends the Insurance Act with respect to automobile insurance. The following are the major changes:
1. The Superintendent of Financial Services may approve an endorsement restricting providers of goods or services under the Statutory Accident Benefits Schedule to those providers that are reasonably accessible to the insured affected by the endorsement and that are identified or described on a list of providers filed by the insurer with the Superintendent. An insurer who offers a motor vehicle liability policy to a prospective insured with that endorsement is also required to offer a policy without that endorsement.
2. An agent shall inform an applicant for automobile insurance that the agent represents only one insurer.
3. An insurer may decline to issue a contract, terminate a contract, refuse to renew a contract, refuse to provide or continue a coverage or endorsement, or charge a premium in excess of any filing made by the insurer for any reason that is reasonably predictive of the risk associated with the insured, generally consistent with the insurer's current underwriting practices, and not prohibited by the regulations.
4. The Bill amends section 267.5 of the Act to remove the protection from liability of an owner of an automobile or its occupants with respect to claims for health care expenses by persons who are seriously and permanently injured.
5. The deductible amounts set out in section 267.5 of the Act that apply to awards for non-pecuniary loss arising from automobile accidents are eliminated in the case of damages for non-pecuniary loss that exceed $100,000 (or $50,000, in the case of damages for non-pecuniary loss under the Family Law Act).
6. On a pre-trial motion in an action for non-pecuniary loss to determine whether the loss or bodily injury sustained by the plaintiff in the action meets the threshold set out in section 267.5 of the Act, the judge shall dismiss claims unless satisfied on evidence that the court at trial might reasonably conclude that the threshold has been met.
7. The Workplace Safety and Insurance Board's right of subrogation under the Workplace Safety and Insurance Act, 1997 will apply to automobile accident claims.
8. The plaintiff, the defendant or the defendant's insurer may require that a person responsible for payments described in section 267.8 of the Act submit to arbitration under the Arbitration Act, 1991 for the purpose of commuting the benefits payable with respect to the plaintiff.
9. The Motor Vehicle Accident Claims Fund is required to pay statutory accident benefits owing by an insurer that is subject to a winding-up order made under the Winding-up and Restructuring Act (Canada).
10. An arbitrator's order that is appealed to the Director of arbitrations under section 283 of the Act can be appealed further to the courts on a question of law.
11. An insurer is required to file with the Superintendent of Financial Services the risk classification system it intends to use in determining the rates for each coverage and category of automobile insurance and the rates it intends to use for each coverage and category of automobile insurance.