Big changes are proposed to car insurance in Alberta.
The government of Alberta is planning to switch to a no-fault insurance system they are calling “Care-First.” On March 24, 2025, the government introduced Bill 47: The Automobile Insurance Act into the legislature as a proposed piece of legislation.
So, what does this mean? If you’re in a car accident in Alberta, your own insurance will likely cover your medical costs and other losses, no matter who’s at fault. But if you’ve seen any of the recent headlines from other provinces that have adopted a no-fault systems, you might have some concerns.
What the Proposed Care-First Model Could Change
If Alberta moves forward with the proposed Care-First no-fault insurance model, the way motor vehicle accident claims are handled in the province could change significantly.
Under the proposed system, most people injured in a collision would no longer be able to sue the at-fault driver for broader compensation. Instead, benefits for medical care, income replacement, rehabilitation, and other losses would generally be managed through their own insurance provider under a standardized framework.
Some of the concerns Albertans have raised about the proposed Care-First model include:
- Potential limits on compensation for pain and suffering
- Reduced ability to challenge denied treatments or benefit decisions
- More insurer oversight regarding medical care and rehabilitation approvals
- Less opportunity to hold negligent drivers financially accountable through the courts
For individuals facing serious or long-term injuries, many worry these changes could have lasting consequences. B.C.’s experience has become part of the broader conversation around what a Care-First system could mean for injured people in Alberta.
What Alberta Can Learn From British Columbia’s No-Fault System
As Alberta considers a possible transition to a no-fault model, many people have looked to British Columbia’s experience for insight into how these systems can function in practice.
Since B.C. introduced no-fault auto insurance, injured individuals, advocacy groups, legal professionals, and media outlets have publicly raised concerns about the impact on accident victims, particularly those with severe injuries.
Some of the issues reported in B.C. have included:
- Delays in obtaining treatment approvals or extended care
- Concerns about whether catastrophic injuries receive adequate long-term support
- Increased disputes between injured individuals and insurance providers
- Limited legal avenues to pursue additional compensation or court review
A number of Canadian media outlets have also published stories examining these concerns, including:
- BC’s no-fault insurance fails life-altering injury victims — a warning for Alberta Western Standard (April 2026)
- ICBC’s no-fault insurance denied recourse for mom’s death: family | CBC News CBC News (September 2024)
- BC man left seeing pink after car crash denied compensation under ICBC no-fault insurance Global News
- Questions mount over ICBC limits on treatment coverage for victims | Vancouver Sun Vancouver Sun (2024)
- Civil claim filed against ICBC’s no-fault insurance system | Insurance Business Insurance Business Magazine (2022)
Why Your Voice Matters
The regulations that are now being written will shape how this law actually works — what’s covered, what isn’t, and whether or not real accountability exists. That’s why now is the time to speak up.
If you or someone you know has ever been injured in a collision, you understand how important it is to have access to proper care, compensation, and legal support. These changes won’t impact past or current claims, but they will affect anyone injured in a motor vehicle accident after January 1, 2027.
How Could No-Fault Insurance Impact Injured Albertans?
Here’s the catch. You’ll no longer be able to sue the at fault party for compensation in most cases. And many injured Albertans will get no compensation at all for pain and suffering.
Starting in January 2027, insurance companies, not the courts, will decide what care and benefits you get. We believe strongly that this system will be worse for Albertans and will not deliver on the promise of reduced auto insurance premiums. It will simply mean more profits for insurance companies at the expense of injury victims and taxpayers.
“People get lured in by the big numbers, because the care-first system numbers that they’ve outlined, some of the numbers look pretty big. The question is, where’s that money going to come from if the insurers are already pleading poverty.”
– Fred Litwiniuk, Personal Injury Lawyer & Owner, Edmonton Journal.
While the government is in the early stages of making these changes, we want to address what this will mean for injured Albertans and those currently navigating injury claims.
Here’s what we know:
- The government intends to move towards a private no-fault model, which they are calling a “Care-First” system.
- No changes will take effect until January 2027. If you are injured in an accident before that date, you will still have up to two years from the date of your accident to file an injury claim.
- There will continue to be opportunities for public feedback, and we’ll make sure our voice is heard in those discussions. If you share concerns about these changes, we encourage you to contact your local MLA to voice your opinion and help ensure injured Albertans continue to receive fair treatment. Tell them to say no to no-fault.
The work we do has a profound impact on the lives of injured Albertans, ensuring they receive fair compensation and care when they need it most. A Care-First insurance system as it has been announced so far, is a “no-fault” type of system that shifts decision-making power from the courts to insurers. In other words, if you disagree with what the insurance company offers you, you won’t be able to hold them accountable in court. This massive power imbalance raises concerns about transparency and fairness for those navigating life after an injury.
At Litco Law, we’ll continue to advocate for injured Albertans, protecting their right to sue and seek fair compensation.
What This Means for You
If you are currently pursuing an injury claim, these discussions and any future changes will not impact your case. Additionally, if you are involved in an accident between now and January 2027, you will still have the right to hire a lawyer and pursue compensation. In the meantime, we’ll continue to support our clients and work to achieve the best possible outcome for you.
We believe that Albertans should have the right to seek fair compensation and hold at-fault parties accountable. As discussions progress, we will keep you informed, answer your questions, and continue to advocate for a system that prioritizes transparency and fairness for injured Albertans.
Here’s How You Can Take Action
Every voice matters — especially now, while the details are still being written.
Want to do even more? Here are a few additional ways you can help impact Bill 47:
- Contact Your MLA — MLAs are there to represent you, and they want to hear directly from people in their community. Make sure your voice is heard and share your concerns regarding Bill 47. Click here to contact your MLA.
- Contact Alberta’s Finance Minister, Nate Horner — As the minister responsible for overseeing Alberta’s insurance industry, Nate Horner plays a key role in Bill 47. Your voice could help shape this legislation. Click here for contact details.
Talk to your friends, family & coworkers and get them involved in the conversation.
We’ll continue to share updates as more information becomes available.
If you have questions or want to learn more, don’t hesitate to reach out to us to get in touch with a personal injury lawyer or visit AlbertaNoFault.
Additional resources:
- FAIR Alberta – Learn more about no-fault and what actions you can take
- Talk to your MLA – Make sure your voice is heard
Articles:
- Edmonton Journal “Alberta’s auto insurance system might not yield savings as promised”
- Calgary Herald “No-fault auto insurance means no accountability and no recourse”
- CTV News “Albertans cool on the idea of ‘no fault’ auto insurance, poll says”
- Penticton Herald “No-fault insurance is no good, says crash victim”
- UCalgary News “No-fault automobile insurance silences car crash victims and reduces benefits”
- CBA Alberta “Albertans skeptical of promised auto insurance savings, want to keep right to sue”
