Automobile Insurance Act : rights, exceptions, and remedies after an accident

Published on November 03, 2025

The Automobile Insurance Act establishes Quebec’s compensation scheme for victims of road accidents. It guarantees financial compensation, regardless of responsibility, and governs the rights of those involved. This system aims to ensure justice and stability. Our firm can help you understand your rights under the Automobile Insurance Act and guide you through the necessary steps with the SAAQ.

Voiture endommagée écrasée par un arbre tombé, illustrant la Loi sur l’assurance automobile et la couverture des dommages matériels.

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In Quebec, victims of road accidents benefit from a no-fault compensation scheme. This regime is administered by the Société de l’assurance automobile du Québec (SAAQ) and derives directly from the Automobile Insurance Act (AIA).

This law defines victims’ rights and the conditions of compensation. Thus, understanding the legal framework of the Automobile Insurance Act is essential for anyone affected by an accident.

Who is considered a “victim” under the AIA?

Sections 5 to 9 of the Automobile Insurance Act define the notion of a victim. According to section 6, a victim is a person who suffers bodily injury as a result of an accident involving an automobile.

  • A person residing in Quebec is entitled to compensation, regardless of where the accident occurs (s. 7);
  • When an accident occurs in Quebec, a person is deemed to reside there if they are the owner, driver, or passenger of a vehicle registered in Quebec (s. 8);
  • Finally, a non-resident victim may be compensated, but only if they are not responsible for the accident. This, however, depends on agreements between the SAAQ and the foreign jurisdiction involved (s. 9).
In summary, the Automobile Insurance Act primarily protects Quebec residents but also applies, in certain cases, to non-residents.

What is “bodily injury”?

Section 2 of the Automobile Insurance Act defines bodily injury as any physical or psychological damage, including death.

Thus, physical aftereffects, psychological disorders, and certain minor material losses (such as damaged clothing) may entitle a victim to compensation.

This definition offers broad protection to victims by considering both the physical and mental impacts of an accident.

What is meant by “injury caused by an automobile”?

According to section 1 of the Automobile Insurance Act, an injury caused by an automobile includes any damage resulting :

  • From the use of an automobile or a change thereof;
  • Or from the use of a trailer attached to an automobile.
The Act, however, excludes certain situations :
  • Injury caused by an animal that is part of the change;
  • Or injury caused by a person during the maintenance, repair, modification, or improvement of a vehicle.
These exceptions mean that certain activities related to vehicle use are not covered by the AIA. They fall instead under common law, not under the protections provided in sections 108 to 114.

Main exceptions to automatic compensation (s. 10 AIA)

The Automobile Insurance Act also provides cases where the victim is not entitled to compensation from the SAAQ.

Section 10 lists the following situations in particular :

  • An accident caused by equipment operating independently of the vehicle, even if the vehicle is stationary on a public road (e.g., a crane or hydraulic device).
    • It must be proven that the equipment can function independently of the vehicle, even if it was not doing so at the time of the accident.
  • An accident involving agricultural or work equipment (tractor, equipment trailer, etc.) occurring off a public road.
    • This exception mainly applies to the construction and agricultural sectors.
  • An accident caused by a snowmobile or an off-road vehicle.
  • An accident occurring during a race, show, free trial, or automobile demonstration on a closed track.
  • An accident involving a motorized bicycle, electric scooter, golf cart, or motorized mobility aid.
In these cases, liability is determined according to the rules of common law. This means fault, injury, and causation must be proven to obtain compensation.

However, a victim may be compensated if a moving automobile is involved in the accident.

In summary

Quebec’s automobile insurance system is based on a fundamental principle: every victim of a road accident must be compensated, except for cases expressly excluded by the Automobile Insurance Act.

The nuances of this law relate to the definition of injury, conditions of application, and exclusions. However, these can make certain situations complex.

Conclusion

The Automobile Insurance Act is primarily designed to protect Quebec citizens and provide fair compensation to every victim. It also maintains a balance between victim protection and individual responsibility for road users.

However, the remedies provided under this law can sometimes be complex to understand or properly exercise. Therefore, it is essential to consult a lawyer to assess your situation and determine the best legal option.

If you have been involved in a road accident and wish to know your rights, our firm can assist you at every step. We can help interpret the Automobile Insurance Act, challenge an SAAQ decision, or claim fair compensation. Finally, we put our legal experience at your service to defend your interests and effectively protect your rights.

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