Spontaneous Acceleration
Remember the allegations of spontaneous acceleration that Toyota vehicles had to deal with a few years ago? They ended up recalling 3.8 million vehicles. It was a public relations disaster for the company.
Is Ford facing a similar problem? Worse, has the company been trying to hide a dangerous problem it has known about for seven years?
This week the province of Nova Scotia announced the annual increase to Nova Scotia’s new “minor injury” cap on non-pecuniary damages in auto accidents.
In 2010 the province of Nova Scotia changed the legislation governing automobile accidents in Nova Scotia. The cap on payments for non-pecuniary damages (“pain and suffering”) for injuries that were deemed to be “minor” was increased from $2,500.00 to $7,500.00.
The new legislation required that the cap increase every year to account for the cost of living.
Today Graham Steele, the Minister responsible for Nova Scotia’s Insurance Act announced new legislation to improve automobile insurance coverage in Nova Scotia. The Fair Automobile Insurance (2011) Act, will be introduced in the legislature today.
I was part of the Review Committe that provided advice to the province regarding what improvements needed to be made to Nova Scotia’s Insurance system: McKiggan Appointed to Provincial Insurance Review Committee
Highlights of Changes
Defective Products and Negligence
If a defective product is recalled does that prove that the product was negligently manufactured? That was one of the issues that Justice Murphy of the Nova Scotia Supreme Court had to decide in the recent case of Johansson et al v. General Motors of Canada Limited.
Driver Injured in Car Accident
Since 2003 Nova Scotia has had some form of a cap on the amount of compensation innocent accident victims are entitled to receive for their non-pecunaiary damages (what most people refer to as “pain and suffering”). For more information you can read:
Nova Scotia’s Cap on Compensation for ‘Minor Injuries’ in Car Crashes (2003 – 2010)
Although the cap has been in place now for eight years there are few reported decisions where the courts have interpreted what the definitions in the legislation actually mean. As a result, there is still debate between lawyers and insurance adjusters and defence lawyers about what injuries are “capped”.
Baby Dragged By Car
The Ottawa Citizen reported that a 6 month old boy suffered head injuries after being dragged 12 meters by the family car when it rolled backwards down their driveway after being knocked into gear by his 3 year old sister.
The infant’s 14 year old sister was helping her mom get the family ready for a trip. The baby had been buckled into a car seat and the car seat was placed on the driveway beside the family car. The family’s 3 year old daughter was playing in the front seat of the car and managed to knock the car into gear. The car started rolling backwards and dragged the infant in his car seat for almost 12 meters. Media reports list the baby as being in stable but serious condition.
“What Caused My Injury?”
A defendant is only responsible for compensating a plaintiff for injuries caused by the defendant’s negligent conduct. Proving what injuries were, or were not, caused by the defendant’s conduct is often the biggest battle in many personal injury trials. See for example, Causation in Personal Injury Claims.
There has been some legal debate as to how the Supreme Court of Canada’s decisions in Athey v Leonati and the more recent decision of Resurfice Corp v. Hanke relate to one another.
“Are Whiplash Claims Capped?”
Recent changes to Nova Scotia’s so-called “minor injury” compensation cap rate the injury using what is known as the Whiplash Associated Disorder (WAD) Scale. Compensation for non-pecuniary damages for WAD 0, WAD 1 and WAD 2 injuries are “capped” at $7,500.00.
But compensation for more severe forms of whiplash WAD 3 and WAD 4 injuries are not subject to the “minor injury” cap.
I noticed this report today and I thought I would pass it along.
New Brunswick’s Insurance Board is holding hearings investigating whether Pembridge Insurance – owned by All State Insurance, has overcharged consumers.
Paula Elliot, an actuary hired by the province to review rates charged by the insurance company, suggested Pembridge made enormous profits in New Brunswick between 2004 and 2008 and would make too much again last year unless its rates are reduced by at least 3.6 per cent and a rebate offered on the difference.
The Department of Transportation has announced plans to introduce legislation this fall to reduce speed limits in school zones from 50 km/h to 30 km/h.
The goal of the new limits is to protect students and make roads safer.
Bill Estabrooks, Minister of Transportation and Infrastructure Renewal stated:
