Can Ontario LAT Extend a Late SABs Claim for Chronic Pain?

What Is the Deadline to Apply for Accident Benefits in Ontario?

You generally have two years from the date your insurer denies a benefit to file a dispute at the Licence Appeal Tribunal (LAT). Missing that window can be fatal to your claim — even if your injuries are serious and ongoing. The LAT does have the power to extend that deadline in certain circumstances, but it is not required to do so.

In Vellejos v Co-operators General Insurance Company, 2026 CanLII 62982 (ON LAT), the Tribunal was asked to exercise that discretion in favour of an applicant dealing with chronic pain and psychological conditions following a motor vehicle accident. The Tribunal declined.

Can Chronic Pain Excuse a Late Insurance Claim?

Chronic pain can be a relevant factor in a late filing, but it is not automatically enough on its own. The Tribunal looks at whether the medical condition actually prevented or meaningfully impaired the applicant’s ability to bring the claim within the required time. Simply having a diagnosis of chronic pain does not satisfy that test.

In this case, the Tribunal accepted that the applicant experienced ongoing physical and psychological difficulties. However, the evidence did not clearly establish that those difficulties were the reason the deadline was missed. That gap in the evidence was decisive.

What About Psychological Injuries After a Car Accident?

Accident-related psychological conditions — such as anxiety, depression, or PTSD — are taken seriously by the LAT and can, in the right circumstances, support a request to extend a limitation period. The key is demonstrating a direct link between the psychological condition and the applicant’s inability to pursue their legal rights in time.

The Tribunal in this case considered the psychological component of the applicant’s condition but found it insufficient to justify the delay. This does not mean psychological injuries are irrelevant — it means the evidence presented here did not bridge the gap between the diagnosis and the missed deadline.

How Does the LAT Decide Whether to Extend a Limitation Period?

The LAT applies a multi-factor analysis when deciding whether to grant an extension. Relevant considerations typically include the length of the delay, whether the applicant had a bona fide intention to pursue the claim, the prejudice to the insurer if the extension is granted, and the merits of the underlying claim. No single factor is automatically determinative.

Crucially, the Tribunal has discretion — it is not obligated to grant an extension even if some factors favour the applicant. In this case, the Tribunal weighed those factors and concluded that the circumstances did not warrant exercising its discretion in the applicant’s favour.

What Happens If the LAT Refuses to Extend the Deadline?

If the LAT declines to extend the limitation period, the application is dismissed without a hearing on the merits. That means the underlying questions — whether the applicant is entitled to income replacement benefits, medical and rehabilitation benefits, or other SABs — are never decided. The claim is effectively over at the procedural stage.

This is why limitation period issues are among the most consequential in accident benefits litigation. A procedural dismissal can leave an injured person without compensation regardless of how serious their injuries are.

Practical Takeaways for Accident Benefits Claimants

• Track all insurer correspondence carefully. Every denial letter from your insurer starts a two-year clock. Missing that date can end your claim before it begins.
• Do not wait to seek legal advice. If you have received a denial — even one you plan to dispute informally — consult a lawyer as soon as possible to understand your deadlines.
• Document how your injuries affect your daily functioning. If you are struggling to manage your affairs because of chronic pain or psychological symptoms, that should be documented by a healthcare provider contemporaneously, not just at the time of a hearing.
• A serious injury alone is not enough. The connection between your condition and the reason you missed the deadline must be clearly established through evidence.
• Act even if you feel unable to. If your condition is genuinely preventing you from pursuing your claim, a lawyer can take steps on your behalf while you focus on recovery.

If you are dealing with a disputed accident benefits claim anywhere in Ontario, our Ontario litigation lawyers can help you understand your rights and deadlines before it is too late. We also serve clients in the Hamilton and Burlington areas through our Burlington litigation team and across the Greater Toronto Area including Mississauga.

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This article is automated commentary on a public court decision and is for general information only — not legal advice. Decisions rely on facts unique to each case. If you are affected by a similar issue, contact a lawyer for advice specific to your situation.