The non-government auto insurance schemes here all extend cover to insureds according of automobile accidents that occur within Canada, america, or on the vessel plying between the ports of these countries. But this must be read subject to conflict of law rules applicable to contract disputes. While there is absolutely nothing to prevent a non-resident from obtaining insurance in one of those provinces, the insurance will be governed by the “proper law” of the contract. This might have the effect of imposing on the contract the terms prescribed through the law of some jurisdiction other than that where the contract was made. Since the relation to no-fault insurance are usually prescribed by law, the details of coverage, including benefit levels, may be different from those appearing in the policy. In many provinces the option of law rule applicable during these circumstances is supplied by statute. In Ontario the relevant section states: Where the subject-matter of a contract of insurance coverage is property in Ontario or perhaps an insurable interest of the person resident in Ontario, anything of insurance, if signed, countersigned, issued or delivered in Ontario or dedicated to the post office or to any carrier, messenger or agent to become delivered or paid towards the insured, his assign or agent in Ontario shall be deemed to evidence a contract made therein, and also the contract will be construed according to the law thereof, and all moneys payable underneath the contract shall be paid in the office from the chief officer or agent in Ontario from the insurer in lawful money of Canada. Car insurance quotes in Californiaautoinsurancerates.org.
Thus, in an Ontario court, Ontario law will be applied if a person of the criteria, such as the insured being resident in the province, is met and the policy is signed or delivered there.
When the requirements of the section are not met, common law conflict of law rules may, in theory, still apply to bring an insurance policy underneath the law of the particular jurisdiction. In other words, the correct law of the contract may still be that of Ontario, for example, even if neither the subject matter can be found in Ontario nor the insured resident there. However, this is unlikely to become the case very often because it appears that the connection of the contract towards the jurisdiction should be more than the truth that the contract was prepared there. nKutzimerv. Allstate Insurance Co. , the insured would be a resident of recent Brunswick, the policy was delivered in New Brunswick and also the vehicle was registered there. The insurer s office was located in Ontario and the application for insurance was received and approval given in that province. The insured sought to recuperate no-fault death benefits at the level payable underneath the Ontario scheme. A legal court held that New Brunswick law was the correct law from the contract. In the result, the claimant was denied Ontario benefits through the Ontario court more here.