Insurer ordered to pay over $3 million in interest and a $750,000 special award for unreasonably withholding benefits.
The Applicant was catastrophically injured in a motor vehicle accident and previously awarded statutory accident benefits, including income replacement, attendant care, and nutritional counselling.
In this resumed hearing, the Arbitrator determined the Applicant's entitlement to interest on overdue benefits and a special award.
The Arbitrator found the Insurer liable for interest on all three benefit categories, noting the Insurer had sufficient information to adjust the claims early on despite procedural delays by the Applicant.
Furthermore, the Arbitrator ordered a special award of $750,000 against the Insurer under section 282(10) of the Insurance Act, finding the Insurer's conduct in handling the attendant care and nutritional counselling claims to be significantly blameworthy and in breach of its statutory obligations.
OFSCDRSOntario Financial Services Commission - Dispute Resolution ServicesNov 20, 2014
