Increased for MVA Claims
On January 1, 2023, the statutory deductibles and corresponding monetary thresholds in motor vehicle accident claims increased significantly by 6.9% due to inflation.
As a result, the new statutory deductibles for 2023 are:
- General Damages – $44,367.24 (increased from $41,503.50)
- FLA s. 61(2) Damages – $22,183.63 (increased from $20,751.76)
The value at which the deductibles no longer apply for 2023 are:
- General Damages – $147,889.59 (increased from $138,343.86)
- FLA s. 61(2) Damages – $73,944.18 (increased from $69,171.36)
For example, there is a deductible of $44,367.24 for general damage awards valued under $147,889.59.
If the award is valued at $100,000.00, then the Defendant is entitled to reduce that amount by the deductible of $44,367.24. This would lower the amount received for general damages to $55,632.76.
However, if the claim is valued at $147,889.59 or greater, then the deductible does not apply.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.