The Ontario Automobile Policy (OAP 1, also called the Owner's Policy) is a regulation under the Ontario Insurance Act enacted by the Parliament of Ontario to cover financial damages to persons and property after a car crash. All private companies registered to sell auto insurance in Ontario, are required to use the OAP for their private car insurance policy. The OAP is the legal contract that connects an Ontario driver with every Ontario based insurance company.

Insurance coverage is divided up between several different portions of the policy. The circumstances of the accident determine which section is used. An often misunderstood one is the Direct Compensation Property Damage (DCPD). The OAP is a "No Fault" insurance rules for accidents within the province. DCPD is mandatory to purchase, and it says insured drivers claim through their own insurance companies for repairs, rental, and tow charges, even when they are not at fault for an accident. If the at fault driver in Ontario doesn't have DCPD, then a driver is covered by Uninsured Motorist Property Damage instead (UMPD). UMPD is also mandatory to buy.

Other sections of the policy are Specified Perils and Comprehensive, which insure events like hail, theft, and vandalism. Collision covers damages from at-fault accidents and hit and runs. All Perils combines Comprehensive and Collision but adds some coverage. Each is optional to buy, however lease and car loan companies usually require Collision and Comprehensive.

The Ontario Automobile Policy does have several extra insurance pages called Endorsements. These are optional to buy. The most common are rental insurance (Loss of Use) used for Collision and Comprehensive claims, and new parts/new vehicle replacement (43 Endorsement).

In Ontario accident fault is judged according to the Ontario Fault Determination Rules. Which means whether an auto claim is covered by DPCD, or Collision, or a mixture of both, depends on how the insurance adjuster evaluates a driver's fault rating after an accident.

Needed For Insurance Coverage

Every insurance section of the OAP has requirements that need to be met before a claim can be made under that section.

Coverage Required Section DCPD Accident happened inside Ontario. 6.1OAP 1.S. 6.1 "The coverage under this Section applies only if the accident takes place in Ontario and at least one other automobile involved is insured under a motor vehicle liability policy.". The driver has to be at least partially not at fault. 6.4.1OAP 1.S. 6.4.1 "The amount we (the insurance company) pay under this Section of your policy will be determined by the degree to which you or the driver were not at fault in the accident. Responsibility for an accident is determined by the Insurance Act (Ontario) and the Fault Determination Rules. These may find you or the driver wholly or partially responsible. The degree of responsibility is expressed as a percentage". At least one other vehicle involved has insurance from a company licensed in Ontario, or if outside of Ontario agree to join the Ontario DCPD club. 6.1OAP 1.S. 6.1 "The coverage under this Section applies only if the accident takes place in Ontario and at least one other automobile involved is insured under a motor vehicle liability policy. The policy covering the other automobile must be issued by an insurance company licensed in Ontario, or one that has filed with the Financial Services Commission of Ontario to provide this coverage.". Collision/Comprehensive/All Perils The vehicle damage is not eligible under DCPD insurance coverage. 7.1.1OAP 1.S. 7.1.1 "This Section applies only to the extent that a claim for damage to an automobile and its equipment would not be covered by Section 6, Direct Compensation - Property Damage Coverage of a motor vehicle liability policy.". Uninsured Motorist Neither the owner or driver of the responsible automobile have liability insurance. 5.1.2OAP 1.S. 5.1.2 "An uninsured automobile is one for which neither the owner nor driver has liability insurance to cover bodily injury or property damage arising out of its ownership, use or operation, or the insurance is not collectible.". The Uninsured Automobile cannot be owned/registered to the named insured or spouse. 5.1.2OAP 1.S. 5.1.2 "An uninsured automobile is one for which neither the owner nor driver has liability insurance to cover bodily injury or property damage arising out of its ownership, use or operation, or the insurance is not collectible. However, this does not include an automobile owned by or registered in the name of the insured person or their spouse.". Other Automobile in the accident is identified. 5.2.3OAP 1.S. 5.2.3 "We (the insurance company) will pay for damage to and for loss of use of the automobile or its contents, or to both, that you or other insured persons have a legal right to recover from the identified owner or driver of an uninsured automobile in an accident involving an automobile.". Other Automobile is legally liable. 5.2.3

What is covered

Each section of the OAP coverage certain events like car crashes, vandalism, and hit and runs. Below is a summary.

Event DCPD Collision Comprehensive All Perils Specified Perils Uninsured Motorist Car accident (at fault) no yesOAP 1.S. 7.1.2.c "Collision or Upset - we (the insurance company) will pay for losses caused when a described automobile is involved in a collision with another object or tips over. Object includes: another automobile that is attached to the automobile,". no yesOAP 1.S. 7.1.2.d "All Perils -this option combines the coverages of Collision or Upset and Comprehensive.". no no Car accident in Ontario (50% at fault). partialOAP 1.S. 6.2 "We will pay the cost of damage to the automobile, its equipment, contents and for loss of use of the automobile or contents arising from an accident for which another person would have been legally responsible in the absence of section 263 of the Insurance Act (Ontario). Section 263 takes away your right to sue the other person for these losses.". (50%)OAP 1.S. 6.4.1 "The amount we pay under this Section of your policy will be determined by the degree to which you or the driver were not at fault in the accident. Responsibility for an accident is determined by the Insurance Act (Ontario) and the Fault Determination Rules. These may find you or the driver wholly or partially responsible. The degree of responsibility is expressed as a percentage.". yes no yes no no Car accident in Ontario (0% at fault). yes (100%) yes no yes no no Car accident (not at fault) outside Ontario. no yes no yes no no Car accident (not at fault) at fault driver has no insurance. no yes no yes no yesOAP 1.S. 5.2.3 "Claims for Certain Property Damage We will pay for damage to and for loss of use of the automobile or its contents, or to both, that you or other insured persons have a legal right to recover from the identified owner or driver of an uninsured automobile in an accident involving an automobile. Subject to the $300 deductible, we will pay up to $25,000.". Hit and Run (Identified driver) yes yes no yes no no Hit and Run (Unknown driver) no yes no yes no no Hitting the ground no yesOAP 1.S. 7.1.2.c "Collision or Upset - we (the insurance company) will pay for losses caused when a described automobile is involved in a collision with another object or tips over. Object includes: the surface of the ground, and any object in or on the ground.". no yes no no Hitting an object on the ground no yes no yes no no Turnover no yes no yes no no Theft or attempted theft no no yesOAP 1.S. 7.1.2.b "Comprehensive - we (the insurance company) will pay for losses, other than those covered by Collision or Upset, including: perils listed under Specified Perils,". yes yesOAP 1.S. 7.1.2.a "Specified Perils - we (the insurance company) will only pay for losses caused by ... theft or attempted thef ...". no Theft by a cohabitant no no excludedOAP 1.S. 7.2.3 "Certain Thefts Not Covered We (the insurance company) won't pay under either the Comprehensive or Specified Perils coverages for loss or damage caused when a person who lives in your household steals the automobile.". yesOAP 1.S. 7.1.2.d "All Perils - this option combines the coverages of Collision or Upset and Comprehensive. This coverage includes loss or damage caused if a person who lives in your household steals a described automobile. Coverage also applies if an employee who drives or uses, services or repairs a described automobile, steals it.". excluded no Theft by an employee no no excludedOAP 1.S. 7.2.3 "Certain Thefts Not Covered We (the insurance company) won't pay under either the Comprehensive or Specified Perils coverages for loss or damage caused when ... We (the insurance company) also won't pay under these coverages for loss or damage caused when an employee of yours steals the automobile and the employee's duties include driving, maintaining or repairing the automobile. This applies at any time, and not simply during working hours.". yes excluded no Fire no no yes yes yesOAP 1.S. 7.1.2.a "Specified Perils - we (the insurance company) will only pay for losses caused by fire...". no Lightning, windstorm, hail, or rising water; earthquake no no yes yes yesOAP 1.S. 7.1.2.a "Specified Perils - we (the insurance company) will only pay for losses caused by ... lightning, windstorm, hail, or rising water; earthquake ...". no Explosion no no yes yes yesOAP 1.S. 7.1.2.a "Specified Perils - we (the insurance company) will only pay for losses caused by ... explosion;". no Riot or civil disturbance no no yes yes yesOAP 1.S. 7.1.2.a "Specified Perils - we (the insurance company) will only pay for losses caused by ... riot or civil disturbance;". no Falling or forced landing of aircraft or parts of aircraft no no yes yes yesOAP 1.S. 7.1.2.a "Specified Perils - we (the insurance company) will only pay for losses caused by ... falling or forced landing of aircraft or parts of aircraft; ". no Damage while in transport no no yes yes yesOAP 1.S. 7.1.2.a "Specified Perils - we (the insurance company) will only pay for losses caused by ... the stranding, sinking, burning, derailment or collision of any kind of transport in, or upon which a described automobile is being carried on land or water.". no Falling or flying objects no no yesOAP 1.S. 7.1.2.b "Comprehensive - we (the insurance company) will pay for losses, other than those covered by Collision or Upset, including: ... falling or flying objects,". yes no no Missiles (ex. kicked up rocks) no no yesOAP 1.S. 7.1.2.b "Comprehensive - we (the insurance company) will pay for losses, other than those covered by Collision or Upset, including: ... missiles,". yes no no Vandalism no no yesOAP 1.S. 7.1.2.b "Comprehensive - we (the insurance company) will pay for losses, other than those covered by Collision or Upset, including: ... vandalism.". yes no no Anything else not a collision - and not specially excluded. (see list below) no no yesOAP 1.S. 7.1.2.b "Comprehensive - we (the insurance company) will pay for losses, other than those covered by Collision or Upset,...". yes no no

What is not covered

Each section of the OAP coverage does not cover certain events like car crashes, vandalism, and hit and runs. Below is a summary.