Coward v Motor Insurance Bureau: Understanding The Case

In a long-running case, Coward v Motor Insurance Bureau, the Supreme Court of Canada recently handed down its judgment. The case involved a claim for compensation from a road traffic accident involving a drunk driver. It was the first time the Supreme Court had heard an appeal concerning the Motor Insurance Bureau (MIB).

The MIB is an insurance agency which compensates victims of road accidents where the driver of the vehicle responsible is either uninsured or unidentified. The MIB is funded through the premiums that all registered motor vehicle owners in Canada must pay. In this case, the injured driver was uninsured and the other driver, who was drunk, was identified but had no insurance coverage.

The Court’s Judgment

The court found that the injured driver was entitled to compensation from the MIB, despite the fact that the accident was caused by an uninsured driver. The court reasoned that the MIB was created to provide compensation to victims of such accidents, and that this was its primary purpose. Therefore, the court held that the MIB was liable for the injured driver’s loss.

The court also held that the MIB was not entitled to any set-off or reduction in the amount of damages it was required to pay. The court found that the MIB was not entitled to a set-off or reduction in the amount of damages it was required to pay because it had not established that the driver was uninsured at the time of the accident. The court also found that the MIB was not entitled to a set-off or reduction in the amount of damages it was required to pay because the driver had not acted in a way that was likely to cause harm to the injured driver.

The Impact of the Judgment

The court’s judgment is significant for a number of reasons. Firstly, it establishes that victims of road accidents involving uninsured or unidentified drivers will be entitled to compensation from the MIB. This means that victims of such accidents will be able to obtain compensation for their losses, even if the driver who caused the accident cannot be identified. Secondly, the judgment has clarified the liability of the MIB in such cases. The court’s judgment means that the MIB will not be able to set-off or reduce the amount of damages it is required to pay.

Conclusion

The case of Coward v Motor Insurance Bureau has provided much-needed clarification on the liability of the MIB in cases involving uninsured or unidentified drivers. The court’s judgment establishes that victims of such accidents will be entitled to compensation from the MIB, and that the MIB will not be able to set-off or reduce the amount of damages it is required to pay. This is an important decision for victims of road accidents involving uninsured or unidentified drivers, as it ensures that they are able to obtain compensation for their losses.