Losing a loved one in a motor vehicle accident is one of the most painful experiences a family can endure. To help ease the financial strain that follows such a loss, Ontario’s Statutory Accident Benefits Schedule (SABS) provides death and funeral benefits for eligible survivors. These benefits are available regardless of who was at fault in the accident.
Financial Support for Grieving Families
Death benefits are intended to offer financial compensation to the deceased’s spouse and dependents. The benefits are paid out as a one-time lump sum and are designed to help surviving family members cover immediate expenses and begin the long process of adjusting to life after loss.
Who Can Receive Death Benefits?
Eligibility depends on the claimant’s relationship to the deceased. Those who may qualify include:
- The spouse of the individual who died
- Dependent children
- Individuals who were legally entitled to receive support from the deceased through a court order or domestic contract
Payment Amounts for Death Benefits
Under the standard policy:
- The spouse may receive a $25,000 lump sum
- Each dependent child may be entitled to $10,000
These amounts may be higher if optional policy upgrades were purchased.
What Do Funeral Benefits Cover?
Funeral benefits are designed to reimburse the reasonable costs associated with burial or cremation. Covered expenses may include:
- Funeral home services
- Burial or cremation costs
- Transporting the deceased
- Memorial or service arrangements
- Other reasonable related expenses
Who Can Claim Funeral Expenses?
Typically, the person who arranges the funeral—whether a family member, executor, or legal representative—can file for reimbursement under the funeral benefit provision.
Maximum Coverage for Funeral Costs
Under a standard auto insurance policy in Ontario, the maximum amount payable for funeral expenses is $6,000. Some enhanced policies may offer additional coverage.
Steps to File a Claim
- Notify the Insurance Provider: Contact the deceased’s insurer as soon as possible after the accident.
- Complete Necessary Forms: The insurance company will provide the required documents to initiate the claim.
- Submit Documentation: Include the death certificate, proof of dependency, and funeral expense receipts.
- Seek Legal Guidance if Needed: A personal injury lawyer can help you navigate the paperwork and ensure you receive the full benefits you’re entitled to.
Key Things to Keep in Mind
- Strict deadlines apply, so it’s essential to begin the claims process promptly.
- Documentation is critical: Proof of relationship and financial dependency will be required.
- Legal assistance is highly recommended, especially in complex situations or when disputes arise.
Final Thoughts
While no amount of financial assistance can replace a loved one, the death and funeral benefits available under Ontario’s insurance laws can help families manage their immediate needs. Understanding your rights and taking timely action can make a significant difference in how you cope financially during such a difficult time.