# Care-First Alberta > Learn how Alberta’s Care-First auto insurance system may affect accident benefits, claims, premiums and renewals starting Jan. 1, 2027. Alberta’s Care-First Auto Insurance: What You Need to Know Auto insurance is changing in Alberta. Starting Jan. 1, 2027, the new Care-First auto insurance system will prioritize faster access to care, treatment and income support after an accident. Please note: The information below is subject to change. Check this page regularly as more updates become available. Key takeaways: Injury claims will move from a lawsuit-based system to a care-focused system. Enhanced benefits will be available regardless of fault. Vehicle damage coverage and other rating factors are not changing. The new system is expected to take effect January 1, 2027. What is Care-First auto insurance? Care-First is a new system designed for Alberta drivers that will change the process for resolving injury claims. Today, if you’re injured in an accident, you may need to sue the at-fault driver to receive compensation beyond basic accident benefits. With Care-First, you would work directly with your own insurance company regardless of who caused the accident. Through Care-First, you would have access to enhanced benefits and support to help you recover. Contact Us Today What you can expect The main change is expanded accident benefits. Care-First is expected to provide enhanced medical, rehabilitation and income support to injured drivers. What’s changing Medical & rehabilitation care: Access to necessary treatment without dollar and time limits. Permanent impairment: New lump-sum payments for lasting injuries. Caregiver support: Coverage for childcare, caregiving and recovery needs. Death benefits: Increased support for spouses and dependants. What’s not changing Care-First applies to accident benefits only. Other parts of your policy remain the same, including: Physical damage and liability coverage (collision, comprehensive, direct compensation property damage, third-party liability) will not change. Fault will still matter for pricing and driving records. Premiums are still based on: Driving history Claims Vehicle information Location How disputes may be handled Under Care-First, insurers are expected to clearly explain benefit decisions. If a claimant disagrees with a decision, they may be able to request an internal review. A new Alberta Automobile Care-First Tribunal is also expected to handle disputes, with judicial review still possible in certain circumstances. Adjusted rate cap in 2027 Alberta’s government will also be introducing a new adjusted rate cap alongside the Care-First auto insurance system. Under the adjusted rate cap, insurers will not be able to raise average rates by more than 5% and all average drivers will see their auto insurance premiums capped at 10% at renewal. The limit restricts how much premiums can rise, making sure companies keep overall policy costs under control. Drivers could lose rate protection under the adjusted rate cap if you: Are involved in a new at-fault accident Are convicted of a driving offence Add a driver or change vehicles Adjust your coverage Whether a driver is eligible for the adjusted rate cap is determined on their insurance policy renewal date. What personal auto clients should consider The Care-First model is intended to provide more consistent access to care if you are injured in a collision. However, it remains important to understand your policy in its entirety, not just the accidents benefits portion. Make sure to: Review your liability limits and optional coverages. Understand how collision, comprehensive and other physical damage coverages protect your vehicle. Ensure listed drivers and vehicle use are accurate. Ask your Acera Insurance advisor how claims history, driving record and vehicle type may affect your premium. Contact your advisor if you are unsure how upcoming reforms may affect your policy. Questions? If you have any questions about the Care-First program, reach out to your Acera Insurance advisor. They can review your current policy and discuss how these changes may impact you.  Contact Us Today FAQ: Alberta Care-First auto insurance When will my policy change? Your policy will officially be underwritten and moved to the Care-First program upon your 2027 renewal. However, if you are involved in an accident after Jan. 1, 2027, your claims will be handled through the Care-First program. Will Care-First lower my auto insurance premium? The government has stated that Care-First is intended to improve affordability over time. However, premiums will still vary by driver and vehicle. Your driving record, claims history, where you live, the vehicle you drive and the coverage you choose will continue to affect what you pay. Does Care-First change how vehicle damage claims are handled? No. Care-First focuses on accident benefits after a collision. Coverage for damage to your vehicle, such as collision, comprehensive and direct compensation for property damage, is expected to continue to be handled as it is today. What happens if I am at fault? Under Care-First, you may still be able to access accident benefits through your own insurer, even if you caused the collision. However, fault can still affect your premium and driving record. Serious or criminal driving offences may also affect benefit access or lead to legal consequences. Will I still be able to sue after a collision? Care-First is designed to reduce reliance on lawsuits for injury claims. In most cases, injured people would access benefits through their own insurer instead of pursuing legal action against the at-fault driver. Lawsuits may still be possible in limited circumstances, such as serious or criminal driving offences. What happens if I have an accident before Jan. 1, 2027? Open claims prior to Jan. 1, 2027, will be settled via the existing system. Any accident that happens after Jan. 1, 2027, will be handled under Care-First. Why is the Good Driver cap going away? The Good Driver cap name is being phased out, but rate protection will continue through the adjusted rate cap introduced with Care-First. Insurers will not be able to raise average rates by more than 5%, and premium increases for average drivers will be capped at 10% at renewal. Your insurer will determine eligibility on your renewal date.