After a car accident, many people understandably want to know what kind of compensation they can expect.
Medical bills, missed work, and ongoing pain can all take a toll—not just physically, but financially and emotionally too. Under Ontario’s no- fault system, various benefits are available from one’s own insurer. In addition, if you are not 100% at fault, a claim may be possible against the other driver.
In Ontario, car accident settlements vary widely. There is no one-size-fits-all answer, but understanding the key factors involved can help you get a clearer picture of what your case might be worth.
What Does a Settlement Cover?
A settlement is an agreement to resolve your claim, usually with the insurance company of the at-fault driver. It may include compensation for:
- Pain and suffering (non-economic damages for physical or emotional hardship)
- Loss of income or earning capacity
- Medical and rehabilitation expenses
- Future care costs
- Out-of-pocket expenses (e.g., medication, travel to appointments)
- Loss of housekeeping or home maintenance ability
- Loss of enjoyment of life
The amount you receive depends on many different factors including how the accident has affected your life—and how well that impact is documented. It is also affected by deductibles applicable under the Insurance Act as well as the insurance policy limits and number of affected parties.
What Affects the Value of a Settlement?
Several factors will influence how much compensation you might receive:
- The severity of your injuries: More serious or long-term injuries usually lead to higher settlements.
- Your ability to work: If the accident has affected your ability to earn a living, this will be a major component of the claim.
- The impact on your daily life: If your injury prevents you from doing regular activities, hobbies, or family responsibilities, this is considered.
- Medical treatment: Ongoing or future medical care needs will also be factored in.
- The strength of your evidence: Medical records, expert opinions, and detailed documentation help support a stronger case.
- Who was at fault: Ontario uses a “fault-based” system when it comes to tort claims (lawsuits). If you were partially at fault, your compensation will be reduced.
What Are Some Typical Ranges?
While every case is different, here are a few very general ranges seen in Ontario personal injury settlements for pain and suffering:
- Minor injuries will typically not result in any recovery due to the verbal threshold requirement to prove a serious and permanent impairment or disfigurement
- Moderate injuries (longer recovery, some permanent impact): $50,000–$250,000
- Serious or catastrophic injuries (permanent disability, major life impact): $250,000–$1,000,000+
Compensation will be increased to include loss of income or future care needs, as well as other economic losses.
Do All Cases Settle?
Most personal injury cases in Ontario settle before going to court. However, many require that a lawsuit be commenced and various steps be taken before settlement is possible. A personal injury lawyer can help negotiate on your behalf and ensure you’re not pressured into accepting less than you’re entitled to.
Is There a Deadline to Settle?
In Ontario, you typically have two years from the date of the accident to start a lawsuit. Starting the process early can ensure your rights are protected, that your case is appropriately built and will increase the prospects of an early settlement.
If you’ve been in a car accident and want to understand what your case might be worth, we’re here to help. Contact our personal injury team at info@nelliganlaw.ca.
