Direct Compensation For Property Damage (DCPD) in Alberta: Who Pays For Your Car After a Crash?

Unlike how car accident claims work in Alberta currently, the Direct Compensation for Property Damage (DCPD) is a mandatory auto insurance system that was set up in January of 2022 as part of insurance reforms. It is designed to streamline and speed up resolving property claims after a motor vehicle accident (MVA). It applies when an accident occurs in Alberta that involves at least two vehicles that are properly identified and insured.

In the past, you had to make a claim against the other driver’s insurance company in order to get your vehicle repaired or replaced after an accident. Dealing with your own insurance company can be a headache on a good day, but trying to get another driver’s insurer to pay for your car repairs, especially when you really need access to your vehicle, can lead to a world of issues and potential delays.

The DCPD now mandates that all MVA property claims be submitted to each owner’s own insurance company. That way, you can deal with your own company to get the repairs you need approved and arranged.

If you have been in a car accident, it is important that you speak with a Calgary car accident lawyer to discuss your situation. A legal professional can help you understand how your DCPD property claim might affect your insurance policy and rates after an accident.

At Preszler Injury Lawyers, we help many clients dealing with DCPD claims, and, although we primarily assist with their accompanying personal injury claims, we are always happy to help provide information and guide them as they navigate through the DCPD process. If you have been seriously injured in an auto accident, contact us today to find out how we may be able to help you.

How Does the DCPD Deal with Paying for My Property Claim?

Generally, the DCPD uses a high-level analysis of:

• What the vehicles were doing leading up to the accident,
• Where the damage is on the vehicles, and
• What the parties are saying happened

To resolve your claim sooner rather than later, the DCPD uses and references statutory rules, regulations, and diagrams to determine who is ‘responsible’ and allows insurers to reimburse their insured client directly.

Typically, if you are found 0% at fault for an accident, then your insurer will pay for all of your property damage claim. They may also pay the market value for replacement if the damage causes a “write off”. Otherwise, and unless you have collision or comprehensive coverage under your policy, they will usually only cover a percentage of the property damages as determined by your level of fault. So, if you are found 50% at fault, then your insurer would only pay for 50% of the damages, and you would be forced to pay the rest out of pocket.

How Does the DCPD Determine ‘Fault’ in My Car Property Damage Claim?

Sometimes it is clear who is at fault for an MVA, such as in a rear-end collision. In other cases, especially early on after a crash, it may not be clear who was at fault. Fault (or “liability”) for your injuries may not be properly determined until further evidence comes out as the litigation progresses.

Fault for your DCPD property claim is not the same as fault/liability for your injury claim. It is possible in some situations that your insurer will find you 100% ‘at fault’ for the purposes of their DCPD claim, but that you are ultimately found to be 0% at fault for your personal injury claim and are able to get full compensation for your injuries.

How the DCPD Assigns Fault: Exploring Scenarios

Below, we discuss how the DCPD might typically assign fault in common car accident scenarios. In addition, we explore how the fault the DCPD initially assigns to you might not be what is found to be true once that claim is fully explored through litigation:

Rear-End Accidents

The classic example is if you stopped at a red light and someone drove into the back of your car. In this case, the DCPD would usually assign 0% fault to the stopped vehicle and 100% fault to the vehicle that hit from behind.

However, if damage exists on the back of one car and on the front of another car, the real story of what happened might not be so simple. At Preszler Injury Lawyers, our team has dealt with claims where someone is stopped at a red light, and someone in front of them backs into their vehicle. In this case, a cursory look at damage, or conflicting stories from the drivers, may mean your property adjustor and the DCPD process can still assign you a portion of blame.

Left Turn Accidents

Another classic example is when one party is proceeding straight at an intersection, and another party is turning left. Typically, the DCPD would assign 0% blame on the driver proceeding straight and 100% fault on the party turning left. Again, not every case is the same, and sometimes the fault determination for the DCPD claim might not reflect the actual circumstances of an accident.

Maybe you are the vehicle sitting at a green light and waiting for traffic to clear before making your left-hand turn. The light turns amber, then red, and you are left in the middle of the intersection with nowhere to go. You see cars stopping in some of the oncoming lanes and decide to proceed with your turn because you think it is safe to do so. Suddenly, just as you are almost done with the turn, a car runs the red light in the curb lane and T-bones your vehicle.

With conflicting stories from the drivers, the DCPD may find you 100% at fault at the beginning of your claim, even when clearly, at least some blame would fall on the other driver who ran a red light.

Lane Change Accidents

Sometimes, two vehicles are driving down a road travelling in the same direction, when suddenly there is a side-swipe collision. It may not be clear which driver left their lane, or if both did simultaneously. In this case, the DCPD would assign 50% fault to each driver, as without video evidence, it would be difficult to determine from damage alone who caused the accident.

Ultimately, your injury claim isn’t limited to what is decided in the DCPD process. Through litigation, it might come out that you weren’t at fault, and this makes it critical that you find a lawyer who will advocate strongly on your behalf. We at Preszler Injury Lawyers have spent more than 60 years fighting for our clients’ best interests, and we always ensure we explore every available avenue to get our clients the result they deserve.

How Does a Lawyer Determine or Prove Fault in an MVA Personal Injury Claim? Is this the Same as how the DCPD Operates?

In order to expedite your property claim, the DCPD does not use the same type of process and only uses the initial available information to determine fault for your property claim.

On the other hand, for your personal injury claim, it is often necessary to take further litigation steps, such as questioning the Defendant, which may reveal that they were actually at fault for an accident.

Other times, when it is difficult to determine fault, your lawyer, the insurer, or a lawyer for the other defendants may hire an engineering firm to make an Accident Reconstruction report regarding the circumstances that likely led to the MVA.

Using Accident Reconstruction in Alberta Motor Vehicle Accident Claims

‘Accident Reconstruction’ is the process of using scientific means and methodology to determine the mechanics, contributing factors, and circumstances surrounding an accident. This requires expertise in many disciplines, like physics, mathematics, vehicle dynamics, computer simulation, and photogrammetry. The expert hopes to answer questions such as:

• How fast were the vehicles travelling at impact?

• Did the vehicles attempt to stop?

• What angle did the vehicles impact at?

The Accident Reconstructionist will consider and rely on evidence from all available sources in creating their report, including witness statements, photographs of the vehicles, collision reports, maps, transcripts from questioning of the parties, or other available information.

They will also look at Emergency Medical Service records or medical reporting, which may include statements from the injured parties and injury information that can be used to support their opinions on the vehicle dynamics. Other relevant documents might include repair estimates, crash test reports, or vehicle specifications, which can assist in calculating the forces involved in the MVA.

An accident reconstruction expert will also likely want to see the vehicles involved in the collision in person, if possible. This is because pictures may not be sufficient to show all the damage or other relevant facts of the accident, such as the quantification of the crush profile or damages to the undercarriage of the vehicle.

Independent Witnesses in Alberta Personal Injury Claims

An independent witness to an accident (someone not in the vehicles involved) can also be extremely helpful in determining liability early on in a collision. After an accident, witnesses and injured parties often check on all the parties, and sometimes people forget to get the name or contact information for these independent witnesses. This can cause issues down the road. If your lawyer is unable to find or contact a witness, then we may have no evidence to determine liability. So, if you have been in an accident, ensure you get the name and contact information for any independent witnesses if you are able to do so.

Ultimately, determining fault for an accident is a final decision made by the courts, and settling prior to that final determination often leaves neither party formally admitting fault, meaning that your insurer may rely on their original DCPD determination in setting your ongoing rates and premiums.

How Can a Lawyer Help With a DCPD claim?

Although lawyers are usually only retained to assist with a personal injury claim, they can provide valuable information on how to deal with your insurer. They can also assist in navigating the DCPD process to ensure you are treated fairly. Getting a lawyer involved in your claim early will ensure that your rights are protected and that you are on the right track with dealing with your DCPD claim through your insurer.

If you or someone you know was injured in an accident, whether you have a DCPD claim or not, we would be happy to assist you in pursuing justice. Call us at Preszler Injury Lawyers at 1-888-494-7191 or contact us online today to schedule your FREE consultation.

We’re here to help.