Ontario to make some auto insurance benefits optional starting July 1

Ontario drivers will see changes to auto insurance rules starting July 1, when some accident benefits that were previously mandatory become optional. The province says the update gives customers more flexibility, while insurance experts say it could also leave some people with less protection. Under the new rules, benefits such as income replacement, lost educational expenses, death benefits and funeral expenses will no longer be automatically included in standard policies. Mandatory coverage will be limited to medical care, rehabilitation and attendant care. Existing policies will not change unless they are renewed or updated after the new rules take effect. Insurance brokers say drivers may be able to lower premiums by dropping some optional coverage, but the savings may be modest compared with the risk of being underinsured. The changes also affect people who do not drive, including pedestrians and cyclists, because only certain people connected to the driver’s policy will be eligible for the optional benefits unless separate coverage applies.