Can my car insurance company take my disability payment?

In Ontario, if you have been in a motor vehicle accident, in most cases, you can’t get paid twice for your lost income. 

Your auto insurance company is usually a payor of last resort. So if you get income replacement benefits from your insurer and then, as a result of the same motor vehicle accident, you get short or long term disability payments, you will have to reimburse your insurance company some or all of the STD or LTD you received.

Although you can’t be paid twice, you might be entitled to a “top up” from your no fault insurer.

The rules are different for Employment Insurance Sick Benefits, OW (Ontario Works) and ODSP (Ontario Disability Support Program).

The rules are also different if you are receiving LTD or STD for a disability not caused by the car, motorcycle or other motor vehicle accident.

The law and rules are very complex and have changed a number of times throughout the years so it is hard to give an uncomplicated answer to what seems like a simple question.

This is without a doubt an area where you should get advice from a lawyer specific to your circumstances.