Skip Navigation

News and Updates

Mythbuster: No-fault insurance does not mean no one is at fault

You were in an accident but your no-fault car insurance means it doesn’t matter who caused it, right? You certainly can't be blamed for being confused by the term "no-fault" insurance. Get the facts on this commonly misunderstood term.

Myth: “No-fault insurance means it doesn’t matter who caused the collision.”

Reality: It does matter who caused the collision.

No-fault insurance doesn't mean the insurance company lets you off the hook if you cause an accident. Despite the misleading name, it does matter who caused the accident. If you are found to be at fault, either completely or partially, it will go on your insurance record and you will have to pay the penalty. That means you may experience an increase in future premiums.

No-fault means you deal with your own insurance company.

No-fault insurance really means that if you are injured or your car is damaged in an accident, you deal with your own insurance company, regardless of who is at fault. The coverage pays for some or all of the insured person’s loss regardless of who caused that loss. You don’t have to go after the at-fault driver for vehicle damage reports and for the health care and income replacement benefits to which you are entitled.

For example, if you were injured in a car collision, you would be able to access any medical benefits offered under your policy immediately from your company, even if you were to blame for the accident. You can get the help you need right away, instead of having to wait for the insurance companies to decide who was at fault before paying out any benefits.

OTIP is here to help. If you have questions about your auto insurance coverage, call 1-800-267-6847 to speak to a service representative today.

More information on no-fault insurance and how insurance companies determine fault can be found at the Insurance Bureau of Canada’s website at

Need help?
How can we help?