Challenge to Nova Scotia’s insurance cap dismissed

The Nova Scotia Appeals court today dismissed a challenge to the province’s $2,500 cap on claims for minor injuries suffered in car accidents.

“We always envisioned that this was a case that would likely go tot he Supreme Court of Canada,” says Barry Mason, the lawyer involved in the challenge.

“So I anticipate that that’s what my instructions will be is to appeal it further to the Supreme Court of Canada.”

Changes to the Insurance Act capped awards for soft tissue injuries suffered in car crashes to $2500. A cap Mason says is unfair to those injured in accidents.

The Dexter government has indicated it plans to remove the cap during the Spring session of the legislature, Mason says that’s welcome news.

Finance Minister Graham Steele said Monday the government is expecting a report back about the cap sometime this week.

“We fully support them in doing that, I know that there are many Nova Scotians that have been affected by injuries in an accident that weren’t their fault, and this government has said they’ll stand up for them, so we hope they will,” says Mason.  

The Insurance Bureau of Canada says removing the cap runs the risk of driving up the cost of insurance.

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