Death and Funeral Benefits Available Through Statutory Accident Benefits
After a fatal motor vehicle accident, regardless of who was at fault for the accident, there are certain benefits available through the statutory accident benefits (also known as SABS, ABs or no-fault benefits).
The most important provisions provide:
The accident benefit insurer will pay a death benefit relating to anyone who dies because of an accident if the death was within 180 days of the accident or 156 weeks after the accident if the person did not recover after the accident.
For the spouse of the deceased, the death benefit is $25,000.
For any other dependant, the death benefit is $10,000 each. The amount may be higher if the deceased purchased optional increased benefits.
Up to $6000 is payable toward funeral expenses, unless additional optional coverage is available.
The Statutory Accident Benefits themselves provide as follows:
DEATH AND FUNERAL BENEFITS
(1) The insurer shall pay a death benefit in respect of an insured person if he or she dies as result of an accident,
(a) within 180 days after the accident; or
(b) within 156 weeks after the accident, if during that period the insured person was continuously disabled as a result of the accident. O. Reg. 403/96, s. 25 (1).
(2) The death benefit shall provide for the following payments:
1. A payment to the insured person’s spouse of,
i. $25,000, or
ii. if the optional death and funeral benefit referred to in section 27 has been purchased and is applicable to the insured person, the amount fixed by the optional benefit.
2. A payment to each of the insured person’s dependants, and to each person to whom the insured person had an obligation at the time of the accident to provide support under a domestic contract or court order, of,
i. $10,000, or
ii. if the optional death and funeral benefit referred to in section 27 has been purchased and is applicable to the insured person, the amount fixed by the optional benefit.
3. If no payment is required by paragraph 1, an additional payment to the insured person’s dependants and the persons, other than a former spouse of the insured person, to whom the insured person had an obligation at the time of the accident to provide support under a domestic contract or court order, to be divided equally among the persons entitled, in an amount equal to $25,000 if the accident occurred before October 1, 2003 or, if the accident occurred on or after October 1, 2003,
i. $25,000, or
ii. if the optional death and funeral benefit referred to in section 27 has been purchased and is applicable to the insured person, the amount fixed by the optional benefit.
4. A payment of $10,000 to each former spouse of the insured person to whom the insured person was obligated at the time of the accident to provide support under a domestic contract or court order.
5. A payment of $10,000 to,
i. a person in respect of whom the insured person was a dependant at the time of the accident,
ii. the spouse of a person in respect of whom the insured person was a dependant at the time of the accident, if the spouse was the insured person’s primary caregiver at the time of the accident and the person in respect of whom the insured person was a dependant at the time of the accident dies before the insured person or within 30 days after the insured person, or
iii. the dependants of a person in respect of whom the insured person was a dependant at the time of the accident, if no payment is required by subparagraph i or ii, to be divided equally among the persons entitled. O. Reg. 403/96, s. 25 (2); O. Reg. 114/00, s. 3 (1); O. Reg. 281/03, s. 8 (1); O. Reg. 314/05, s. 3 (1-3).
(3) No payment shall be made under this section to a person who dies before the insured person or within 30 days after the insured person. O. Reg. 403/96, s. 25 (3).
(4) If at the time of the accident the insured person had more than one spouse who is entitled to a payment under this section, the payment shall be divided equally among them. O. Reg. 403/96, s. 25 (4); O. Reg. 114/00, s. 3 (2); O. Reg. 314/05, s. 3 (4).
(4.1) If at the time of the accident the insured person was a dependant in respect of more than one person who is entitled to a payment under this section, the payment shall be divided equally among the persons in respect of whom the insured person was a dependant. O. Reg. 281/03, s. 8 (2).
(5) If requested by the insurer, a person who conducts an autopsy of the insured person shall provide a copy of his or her report to the insurer. O. Reg. 403/96, s. 25 (5).
(6) In this section,
“spouse” means a person who was, at the time of the accident,
(a) a spouse, or
(b) if the accident occurred before the definition of “same-sex partner” in Part VI of the Act was repealed, a same-sex partner within the meaning of that Part as it read on January 1, 2004. O. Reg. 314/05, s. 3 (5).
(1) The insurer shall pay a funeral benefit in respect of an insured person who dies as a result of an accident. O. Reg. 403/96, s. 26 (1).
(2) The funeral benefit shall pay for funeral expenses incurred in an amount not exceeding,
(a) $6,000; or
(b) if the optional death and funeral benefit referred to in section 27 has been purchased and is applicable to the insured person, the amount fixed by the optional benefit. O. Reg. 403/96, s. 26 (2).
