The appellant insurer appealed a Licence Appeal Tribunal decision finding that the respondent was entitled to statutory accident benefits following a motorcycle accident.
The respondent had purchased the motorcycle the day before the accident but had not yet notified the insurer, who insured his other vehicle.
The Divisional Court dismissed the appeal, holding that a motorcycle is a 'motor vehicle' required to be insured, and therefore an 'automobile' under the Insurance Act.
Consequently, the motorcycle qualified as a 'newly acquired automobile' under section 2.2.1 of the standard Ontario Automobile Policy, which provides automatic coverage for a 14-day grace period regardless of the insurer's internal policy against insuring motorcycles.