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ARTICLE · 05 JANUARY 2023

Statutory Deductibles & Monetary Thresholds - Increased For MVA Claims

McCague Borlack LLP
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On January 1, 2023, the statutory deductibles and corresponding monetary thresholds in motor vehicle accident claims increased significantly by 6.9% due to inflation.

CanadaTransport
Eric W.D. Boate
Eric W.D. Boate
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On January 1, 2023, the statutory deductibles and corresponding monetary thresholds in motor vehicle accident claims increased significantly by 6.9% due to inflation.

As a result, the new statutory deductibles for 2023 are:

  • General Damages – $44,367.24 (increased from $41,503.50)
  • FLA s. 61(2) Damages – $22,183.63 (increased from $20,751.76)

The value at which the deductibles no longer apply for 2023 are:

  • General Damages – $147,889.59 (increased from $138,343.86)
  • FLA s. 61(2) Damages – $73,944.18 (increased from $69,171.36)

For example, there is a deductible of $44,367.24 for general damage awards valued under $147,889.59.

If the award is valued at $100,000.00, then the Defendant is entitled to reduce that amount by the deductible of $44,367.24. This would lower the amount received for general damages to $55,632.76.

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