Financial Services Commission des

Commission services financiers

of Ontario de l’Ontario

Neutral Citation: 2010 ONFSCDRS 13

FSCO A09-001448

BETWEEN:

MATHIYALAGAN MAHADEVAN

Applicant

and

SECURITY NATIONAL INSURANCE CO./MONNEX INSURANCE MGMT. INC.

Insurer

Before: Judith Killoran

Heard: January 14, 2010 at the Financial Services Commission of Ontario

Appearances: Alexander Voudouris for Mr. Mahadevan

Pamela A. Brownlee for Security National Insurance Co./Monnex Insurance Mgmt. Inc.

Issues:

The Applicant, Mathiyalagan Mahadevan, was involved in a motor vehicle accident on May 29, 2006. He applied for statutory accident benefits from Security National Insurance Co./Monnex Insurance Mgmt. Inc. (“Security National”), payable under the Schedule.¹ The parties were unable to resolve their disputes through mediation, and Mr. Mahadevan applied for arbitration at the Financial Services Commission of Ontario under the Insurance Act, R.S.O. 1990, c.I.8, as amended.

Mr. Mahadevan has brought a motion pursuant to section 67 of the Dispute Resolution Practice Code — Fourth Edition for interim benefits to be paid to him pending the resolution of his dispute with Security National.

The issue on this motion is:

Is Mr. Mahadevan entitled to interim income replacement benefits pursuant to section 279(4.1) of the Insurance Act?

Mr. Mahadevan also claims interest on any amounts owing and his expenses incurred on this motion.

Result:

Security National shall reinstate Mr. Mahadevan’s interim income replacement benefits at the rate of $400 per week from June 30, 2009 to date and ongoing until a final order of an arbitrator in these proceedings. Security National shall also pay all interest owing on the outstanding income replacement benefits from June 30, 2009.
Security National shall pay Mr. Mahadevan’s reasonable expenses of this motion.

EVIDENCE AND ANALYSIS:

Section 279(4.1) of the Insurance Act gives arbitrators the discretionary authority to make interim orders pending the final order in any matter.

At the motion before me, the parties reached an agreement that Mr. Mahadevan’s income replacement benefits shall be reinstated at the rate of $400 per week from June 30, 2009 to date and ongoing until a final order of an arbitrator in these proceedings. Security National also agreed to pay all interest owing on the outstanding income replacement benefits.

MOTION FOR ADJOURNMENT:

The parties requested an adjournment of the main hearing from May 17, 18, 19 and 20, 2010 due to the unavailability of Mr. Mahadevan’s counsel. I order that the main hearing shall be adjourned until July 26, 27, 28 and 29, 2010. The issues in dispute at the main hearing are outlined in the pre-hearing letter of October 20, 2009.

EXPENSES:

Security National agreed to pay Mr. Mahadevan’s expenses of this motion. If the parties are unable to agree on the amount of expenses, they may request a hearing before me for an assessment of expenses.

January 27, 2010

Judith Killoran Arbitrator

Date