Insurers ordered to pay for extensive home renovations but not the capital cost of a new house.
The applicant, who was left with partial quadriplegia following two motor vehicle accidents, sought statutory accident benefits for the purchase and renovation of a new home to accommodate his needs.
The insurers had advanced $135,000 based on the estimated cost of renovating his previous townhouse, arguing they were not responsible for the capital cost of a new home.
The arbitrator found that while the applicant reasonably required extensive home modifications, including an additional bedroom, an accessible bathroom, and an elevator, the insurers were not obligated to fund the purchase price of the freehold home itself.
The arbitrator ordered the insurers to pay $153,410 for renovations and the capital cost of an additional bedroom, plus a project management fee, but dismissed the claim for a special award, finding the insurers had not unreasonably withheld payments.
OFSCDRSOntario Financial Services Commission - Dispute Resolution ServicesMar 7, 2001
