Parties can’t reduce B.C. auto injury awards by pointing to denied Ontario benefits, the province’s top trial court ruled in a decision with industry-wide impact.
The Supreme Court of British Columbia’s July 31, 2025, decision in Courchesne v. Chau makes it clear: if a claimant is denied benefits in one province, those amounts can’t be subtracted from a damages award in another. The ruling offers a pointed reminder to the industry - when it comes to cross-border claims, only proven entitlements count.
The facts are straightforward, but the implications reach across provincial borders. Chantal Courchesne, an Ontario resident, was injured on October 29, 2017, while riding in a taxi to Vancouver International Airport. After a trial, her damages were set at approximately $3.7 million. The parties - Tsz Chau, 1110486 BC Ltd., and GM Financial Canada Leasing Ltd. - argued that more than $1.3 million should be deducted from that award, pointing to benefits they claimed Courchesne could have received under both Ontario and B.C. insurance regimes.
Courchesne was insured in Ontario at the time of the accident. The legal dispute centered on whether she was entitled to additional benefits under B.C.’s “Part 7” accident benefits, and whether the parties could deduct up to $1 million for catastrophic impairment benefits available under Ontario’s Statutory Accident Benefits Schedule (SABS) - even though Courchesne had been denied that designation by her Ontario insurer and had no intention to appeal.
Justice Chan’s decision underscores the importance of actual entitlement, not just theoretical coverage. The court reviewed both the B.C. and Ontario insurance frameworks. Under B.C. law, Part 7 benefits are deducted from tort awards to avoid double recovery, but the onus is on the parties seeking deductions to prove what benefits are actually payable. In this case, both sides agreed that Ontario insurance was Courchesne’s primary coverage, and B.C. coverage was excess. Since she’d already received all she was entitled to from Ontario, the court found she could access any remaining B.C. Part 7 benefits.
The parties’ argument for a $1 million deduction hinged on the catastrophic impairment benefit under Ontario’s SABS. Courchesne applied for this in 2022 but was denied in July 2024. She made it clear she did not intend to appeal. The court found no legal or policy requirement for her to pursue an appeal, and no evidence that she would have received the benefit if she had. As Justice Chan put it, “Uncertainty about whether benefits would be paid must be resolved in favour of the plaintiff.” In other words, if it’s not certain the money would have been paid, the parties can’t just assume it should come off the damages.
The court also addressed income replacement benefits under SABS. To qualify, Courchesne would have needed to suffer a substantial inability to perform her job within 104 weeks of the accident. The evidence showed she continued to work on a modified basis until November 21, 2019 - about 107.5 weeks after the crash. Her insurer had already denied her claim for these benefits in January 2018, based on her physician’s assessment. The court found she did not meet the criteria for income replacement benefits, so nothing could be deducted on that front either.
For insurance professionals, the takeaway is clear: when it comes to cross-border claims, only actual, payable benefits count. If a claimant has been denied coverage in another province, or if there’s any doubt about what they’re entitled to, courts are likely to side with the injured party. The parties in this case couldn’t show Courchesne was entitled to more from Ontario, so her damages stand at about $3.7 million, minus any agreed deductions for B.C. Part 7 benefits. If the parties can’t agree on that number, they’ll be back before the court.
For those in the insurance business, this decision is a reminder to focus on what’s certain and documented, not on what might have been. When it comes to out-of-province claims, hypothetical benefits won’t shrink your exposure. The message from B.C.’s top trial court is simple: prove it, or pay up.
