The appellant insurer appealed an arbitration decision regarding a priority dispute over statutory accident benefits for a claimant injured on an all-terrain vehicle (ATV).
The arbitrator found that the respondent's policy, which specifically insured the ATV, met the definition of an 'accident' under the Statutory Accident Benefits Schedule (SABS).
However, the arbitrator erred by concluding that the appellant's general automobile policy, which did not cover the ATV, was still subject to the priority scheme in s. 268(2) of the Insurance Act.
The Superior Court of Justice held that the threshold for statutory accident benefits must be met under each specific policy before the priority scheme is engaged.
Since only the respondent's policy provided coverage, the priority scheme did not apply, and the appeal was granted.
