Consider Increasing Your Liability Limit

Last Updated:
March 22, 2019
Karen Spencer
Time to Read:

Ontario overhauled auto insurance coverage two years ago, giving consumers the ability to choose the level of coverage that best suits their needs. Since those reforms were introduced, we've worked closely with existing and new clients to make sure each has an appropriate level of coverage.

One of the things we noted was the fact that many of our policyholders continue to carry a $1 million liability limit.

This amount covers any damage or injury you may cause in the event of an accident.

While the $1 million level is well above the province's mandated minimum of $200,000, in most cases, it is likely too low to cover all the damages that could conceivably occur.

And, if the damages do exceed the $1 million level, you are responsible to pay the extra costs out of your own pocket.

In recent years overall costs have risen and we have, for better or worse, become a more litigious society. As a result, at Scrivens we now recommend that you increase your maximum liability to at least $2 million.

Yes, this may increase your premium, but we feel strongly that protection from potentially devastating damage payments is worth any additional cost.

We should note that Scrivens is not alone in recommending a higher limit. The $2 million figure is rapidly becoming the new norm in Ontario and across the country.

For more information about liability coverage and auto insurance reforms, please call Karen Spencer at 613-236-9101 or email