Under Ontario’s Statutory Accident Benefits Schedule (SABS), your auto insurance provides up to $8,000 CAD for funeral expenses. It also pays a $25,000 lump sum death benefit to a surviving spouse, regardless of who caused the fatal crash in Markham.
A fatal car accident on Highway 407 or a busy Markham intersection is an unimaginable tragedy. Amidst the intense grief, families are suddenly forced to navigate the high costs of arranging a dignified funeral. Thankfully, Ontario operates under a “no-fault” auto insurance system. This means that immediate financial relief is available directly through your own insurance policy, even if your loved one was responsible for the collision.
These mandatory benefits are outlined in the Statutory Accident Benefits Schedule (SABS) and apply uniformly across the province. Whether the deceased was a driver, passenger, or a pedestrian crossing a Markham street, these funds are designed to prevent immediate financial hardship. 📖 This guide details how to access funeral benefits, the current compensation limits as of May 2026, and the steps required to file a claim.
Step-by-Step Process in Ontario
Claiming accident benefits requires strict adherence to tight provincial deadlines. Because insurance companies demand specific paperwork, many families in Markham choose to have a personal injury lawyer manage the entire SABS application process on their behalf.
Step 1: Notify the Insurance Company
By law, you must inform the deceased person’s auto insurance provider about the fatal accident within 7 days. If the deceased did not have auto insurance (for example, if they were a pedestrian), the claim can usually be filed through the insurance policy of the driver who struck them. Prompt notification is essential to open the claim.
Step 2: Submit the OCF-1 Form
Once notified, the insurance adjuster will send you an Application for Accident Benefits, known as the OCF-1 form. You must fill out this comprehensive document and return it within 30 days. The form asks for details about the accident, the deceased’s employment history, and their surviving dependents.
Step 3: Provide Official Documentation
To release the funds, the insurance company will require official proof of the tragic event. 📝 You will need to provide an original Death Certificate (often arranged by your Markham funeral director) and all itemized receipts for the burial, cremation, or memorial service. Ensure you keep copies of absolutely everything.
How Much Does it Cost in Markham?
Funeral costs in the Greater Toronto Area can easily range from $5,000 to over $15,000 CAD depending on your family’s cultural and religious traditions. Here is what the standard Ontario auto insurance policy covers.
- Funeral Expenses Benefit: The standard policy reimburses up to $8,000 CAD for funeral, burial, or cremation expenses. If the deceased purchased optional enhanced coverage, this limit may increase to $12,000 CAD.
- Spousal Death Benefit: A lump sum of $25,000 CAD is paid directly to the surviving spouse. (Enhanced policies may increase this to $50,000 CAD).
- Dependent Death Benefit: Each surviving dependent child is entitled to a lump sum of $10,000 CAD.
- Loss of Income: If a third party was at fault for the crash, your family may also sue the at-fault driver’s insurance for long-term loss of financial support through the Family Law Act.
| SABS Benefit Type | Standard Limit (CAD) | Primary Recipient |
| Funeral Expenses | Up to $8,000 | The person who paid the funeral bill |
| Spousal Benefit | $25,000 | Surviving Spouse |
| Dependent Benefit | $10,000 | Each Surviving Dependent |
How Long Does the Process Take?
The SABS system is designed to provide rapid assistance. Once you submit the completed OCF-1 form alongside the Death Certificate and funeral receipts, the insurance company is legally required to process the payment quickly. Typically, funeral expense cheques are mailed within 30 to 45 days. 📅
However, if you are also pursuing a wrongful death lawsuit against an at-fault driver at the Superior Court of Justice, that separate civil process takes much longer. Securing a full settlement for lost future wages and loss of companionship generally takes between 2 and 4 years.
Frequently Asked Questions (FAQ)
What if the funeral costs more than $8,000?
If the funeral exceeds the $8,000 SABS limit, the family must cover the difference out-of-pocket. However, if another driver was at fault for the accident, you can sue them in a civil claim to recover these excess funeral expenses.
Do we get benefits if the driver was impaired?
Yes. Even if the deceased was facing an indictable offence like impaired driving at the time of the crash, the family is still entitled to standard funeral and death benefits under Ontario’s no-fault system.
What if the victim was a pedestrian with no car?
If a pedestrian is killed and they do not have their own auto insurance, the claim is processed through the insurance policy of the vehicle that struck them. If it was a hit-and-run, claims can be made through Ontario’s Motor Vehicle Accident Claims Fund (MVACF).
Is common-law marriage recognized for the spousal benefit?
Yes. Under Ontario insurance law, a common-law partner is eligible for the $25,000 spousal death benefit if the couple lived together for at least three years, or lived together for at least one year and share a child.
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