OPCF 43 Removing Depreciation Deduction
OPCF 43 can remove the insurer's right to deduct depreciation from the value of an eligible vehicle when settling loss or damage caused by a peril for which the vehicle is insured.
OPCF 43 can remove the insurer's depreciation deduction in a covered settlement
FSRA describes OPCF 43 as coverage that can remove the insurer's right to deduct depreciation from the value of your vehicle when settling a claim for loss or damage caused by a peril for which you are insured.
FSRA — Optional and extra coverage →Why depreciation matters after a major vehicle loss
Vehicles generally lose value over time. Without an applicable endorsement, depreciation can affect how the value of a damaged or total-loss vehicle is settled under the policy.
OPCF 43 changes that settlement question for eligible losses. It does not change whether the cause of loss is insured in the first place.
The endorsement is not the same as every dealer or lender replacement product
Dealer replacement products, lender protections and insurer endorsements can use different eligibility rules and settlement formulas. The name of a product should not be used as a substitute for reading the actual contract.
When comparing OPCF 43 between insurers, verify the vehicle-age or ownership eligibility, how long the endorsement can remain in force, the applicable physical-damage coverage and the settlement wording shown in the form.
FSRA — Ontario policy endorsements →OPCF 43 still depends on insured perils
FSRA's summary ties OPCF 43 to loss or damage caused by a peril for which you are insured. A depreciation waiver does not create collision, comprehensive or another physical-damage coverage that was not purchased.
Compare the endorsement together with collision, comprehensive, all-perils or specified-perils coverage and the relevant deductibles.