It’s a question we hear often: “If my car is parked illegally and another driver hits me, am I at fault?”
The answer may surprise you, it depends on where the collision happens.
The Ontario Fault Determination Rules
In Ontario, insurance companies don’t assign fault based on police reports or personal opinion. They rely on the Fault Determination Rules (Regulation 668 under the Insurance Act). These rules outline dozens of accident scenarios, including parked vehicles, and they apply to every insurer in the province.
This means fault is decided the same way for everyone, whether you’re with a big company or a small brokerage like ours.
Rule 17: Parked Vehicles
Here’s what the rules say:
• If your car is parked (legally or illegally) in a city, town, or village and another vehicle strikes it, you are not at fault. The driver of the moving vehicle is 100% at fault.
• If your car is illegally parked on a road outside a city, town, or village (for example, on a rural highway or country road) and another vehicle strikes it, then you are considered 100% at fault.
Why the Difference?
The logic comes down to expectations of drivers in different environments:
• In cities and towns, moving drivers are expected to be alert and avoid obstacles, whether they are legally parked cars, illegally stopped vehicles, or even delivery trucks pulled over. Fault lies with the moving driver.
• In rural areas, parked cars are not normally expected on the roadway. If you stop illegally, the law treats your vehicle as creating the hazard, so you are responsible if someone hits you.
Real-Life Example
Recently, one of our clients in Newmarket (a town) was struck by a school bus while parked in a no-parking zone. Even though their car was in a restricted spot, the Fault Determination Rules made it clear: the bus driver was 100% at fault.
Had the same accident occurred on a country road outside of town, our client would have been considered at fault instead.
What This Means for Drivers
• Illegal parking may still earn you a ticket, but that’s separate from insurance fault.
• Where you park matters, the same scenario has different outcomes depending on whether it’s inside or outside a city, town, or village.
• Fault rules are strict, insurers cannot make exceptions, even if a situation seems unfair.
Final Word
The Ontario Fault Determination Rules are designed to keep claims consistent and avoid drawn-out disputes. While the details can be confusing, knowing how they apply can help you understand what to expect if you’re ever in an accident.
If you have questions about how fault might be applied in your situation , or if you’ve been in a collision and aren’t sure how it will affect your insurance, our team is here to help.
👉 Contact us anytime for expert advice on your auto insurance claim.
