The income replacement indemnity paid by the SAAQ compensates for the income lost by a person who can no longer work as a result of a traffic accident.
You have a maximum of 3 years as of the date of the accident, the onset of injury or death to file a compensation claim with the SAAQ.
The income replacement indemnity is an amount paid to a person who can no longer work as a result of a traffic accident.
The income replacement indemnity is calculated on the basis of the employment the person held at the time of the accident.
It corresponds to 90% of net annual income, calculated on the basis of a gross annual income of up to $88,000. The maximum amount of the indemnity is indexed every year.
No income replacement indemnity is paid for the first 7 days that follow the accident. After this period, it is paid every 14 days.
If you are imprisoned because you were convicted of a driving-related Criminal Code offence, the SAAQ may reduce the amount of your income replacement indemnity for the duration of your incarceration.
The income replacement indemnity you receive will be re-evaluated if you are still unable to work 6 months after the accident. At that time, it will be calculated on the basis of full-time employment. This employment could be the one you held at the time of the accident or a potential employment, i.e. one that you could have held at the time of the accident.
You may be entitled to an income replacement indemnity during the first 6 months that follow the accident only if, as a result of the accident, you are unable to hold employment you would have held during this period had the accident not occurred, or you are deprived of Employment Insurance benefits.
If you are still unable to work 6 months after the accident, your situation will be reassessed based on an employment you could have held at the time of the accident, taking into account, in particular, your training and work experience. You may be entitled to an income replacement indemnity based on this employment.
Your income replacement indemnity is paid for as long as we determine that you are unable to work. Starting on your 65th birthday, however, the indemnity will be reduced by 25%. It will then be reduced by 50% on your 66th birthday and by 75% on your 67th birthday, and will end completely on your 68th birthday.
Your income replacement indemnity is paid for as long as we determine that you are unable to work. However, it will be reduced by 25% as of the 2nd year after the date of the accident, by 50% as of the 3rd year, and by 75% as of the 4th year. Payment of your indemnity will cease completely at the end of the 4th year after the date of the accident.
You are entitled to an income replacement indemnity as long as that employment remains available and you are unfit to hold it because of the accident. However, the indemnity ceases to be paid at the end of the school year in which you turn 16.
You are entitled to an income replacement indemnity as long as the employment remains available and you are unfit to hold it because of the accident. However, the indemnity ceases to be paid on the scheduled date of completion of studies at the time of the accident.
You receive an income replacement indemnity, but you will be returning to work? You must inform the SAAQ, as your indemnity may be affected.
If you are gradually returning to work, or if you will be doing light work, and your income is lower than the income of the employment you held at the time of the accident, your income replacement indemnity is reduced by 75% of the net income derived from that employment.
If you are able to return to the employment you held at the time of the accident, payment of your income replacement indemnity ends.
Are you unable to return to work due to injuries sustained in the accident? The SAAQ will then assess your ability to hold another employment in order to identify employment that is compatible with your condition. This is called a determined employment.
After we determine an employment, you are entitled to an additional year of receiving a full income replacement indemnity. If you earn income during this additional year, your indemnity will be reduced by 75% of the net income derived from that employment.
What happens after the additional year?
If the income of the determined employment is lower than the income of the employment you held at the time of the accident, the SAAQ will award you a residual indemnity to compensate the loss of income. You will continue to receive this residual indemnity so long as your gross annual income is lower than the indexed gross income of the employment you held at the time of the accident.
In the event of a deterioration in your state of health – on condition that this deterioration is directly related to the same traffic accident–, you may request that we reassess your case.
About income replacement indemnities…
Last update: May 17, 2022
