Learn how Alberta’s auto insurance system manages rates, coverage, and policies.
Big changes are coming. On January 1, 2027, the system will move from today’s tort system to a Care-First model of insurance. Learn what’s changing and what it means for drivers and industry.
Alberta’s current auto insurance system is a tort‑based model, meaning injured people sue the at‑fault driver for damages beyond basic benefits covered by their insurance policy.
Injured individuals first access accident benefits (Section B) from their own insurer, which provide up to $50,000 in medical and rehabilitation, income replacement or other benefits covered by the policy for up to two years.
Starting January 1, 2027, Alberta is moving to a new Care-First insurance system to change how collision injuries are handled.
Under the Care-First system, injured parties will receive access to significantly enhanced benefits until recovery is achieved. In cases where recovery isn’t possible, benefits will be available until maximum expected improvement. All Albertans injured by an auto accident (at-fault, not at-fault, pedestrian, cyclists, etc.) will receive benefits under the Care-First system.
Albertans will still be able to sue an at-fault driver in certain cases (like if the other driver is convicted of a Criminal Code driving offense), and at-fault drivers will be held accountable through higher premiums.
Care-First changes how drivers receive support after a collision. Benefits will include quicker treatment, income replacement, and enhanced support for permanent injuries and death.
All auto insurance policies in Alberta will automatically switch to Care-First on January 1, 2027.
You don’t need to take additional action today, but understanding your coverage and how the new Care-First system works will help you be ready.
You can prepare by:
Get a detailed look at the new Care-First system, including its impact on cyclists and pedestrians.
Learn what’s changing in the new Care First system.
| Injury Type | Current Tort System | Care-First |
| Common injuries
(examples of common injuries include sprains, strains and cuts) |
Limited to 10 to 21 visits depending on severity. | Unlimited treatment as long as it supports recovery. |
| Serious injuries
(examples of serious injuries include broken bones, major whiplash and neurological complaints) |
Up to $50,000 for medical and rehabilitation benefits plus about $600 per week for lost income for 2 years, must sue for additional care. | Unlimited treatment as long as it supports recovery. |
| Catastrophic injuries
(examples of catastrophic injuries include quadriplegia, paraplegia and limb amputation) |
Up to $50,000 for medical and rehabilitation benefits plus about $600 per week for lost income for 2 years, must sue for additional care. | Unlimited treatment as long as it supports recovery. |
Care-First will significantly reshape insurer operations by shifting them from litigation-driven claims management to a care-delivery and recovery-focused model.