$400 per week. That is the standard optional Income Replacement Benefit, roughly $20,800/year. If you earn $70,000+ and cannot work after an accident, $400/week covers less than 30% of your pre-accident income. The gap could bankrupt you.
Since July 2026, IRB is optional. If you did not actively select it at your last renewal, you have ZERO income replacement from your auto policy if injured.
The benefit structure
- Standard IRB: 70% of gross weekly income, capped at $400/week
- Optional higher limits: $600, $800, or $1,000/week (for additional premium)
- Waiting period: 1 week (no payment for first 7 days)
- Maximum duration: 104 weeks (2 years)
- Eligibility: must be employed or self-employed at time of accident
Who needs it vs who does not
You likely DO need IRB if:
- You have no employer short-term/long-term disability benefits
- You are self-employed or contract worker
- Your workplace benefits are minimal (<60% salary replacement)
You may NOT need IRB if:
- Your employer provides solid STD + LTD coverage (80%+ salary for 2+ years)
- You have sufficient savings to cover 2 years without income
The cost-benefit reality
Adding IRB to your policy costs approximately $30-$60/year in additional premium. For $30-60/year, you buy $400/week of income protection for 2 years ($41,600 maximum payout). The ratio is absurdly favourable to the policyholder.
