Imagine this scenario: While sitting at a traffic light, waiting for the right of way, another motorist rear-ends your vehicle. Clearly, she is at fault. Yet the police officer who arrives on the scene deems that “nobody is at fault.” How is this possible? What does the officer mean? And more importantly, how can you seek compensation for damage to your vehicle and costs related to your injuries?
The answers to these and other questions about no-fault car insurance will become clearer below. Many consumers are understandably confused about this form of insurance, and how it affects their coverage. Further confusing the matter, each province handles it differently. For example, Saskatchewan allows drivers to choose between a full tort system and a no-fault system. Manitoba, on the other hand, maintains a tort-free system (i.e. you cannot sue for compensation). The following discussion will focus exclusively on the no-fault system used in Ontario.