City of Ottawa spends millions to settle personal injury/property damage claims

The sign at Ottawa City Hall on Laurier Avenue.

The City of Ottawa paid out $15 million to settle legal claims for personal injury and property damage in 2024, including $3 million to settle a personal injury claim involving a Transit Services vehicle.

A report for the Finance and Corporate Services Committee shows the city received 1,301 new claims for property damage and personal injury in 2024. A total of 323 of the 1,301 new claims submitted to the city last year were related to potholes, “which is annually the most common type of claim received,” according to the city.

Staff say 376 claims were settled for under $100,000, while 23 claims were settled for more than $100,000 in 2024.

No specific details about the claims and settlements are included in the City of Ottawa report, but staff provide a breakdown of the department involved, claim type and cost to the city for each claim paid over $100,000.

The 23 claims that cost the city more than $100,000 each included 10 involving OC Transpo and nine involving Public Works. There were three settlements in 2024 with a net cost over $1 million to the city, with all three involving Transit Services.

The report shows it cost the city $3 million to settle a claim for a city vehicle hitting a pedestrian/cyclist, $1.7 million to settle a claim for a Transit Services vehicle hitting a pedestrian/cyclist and $1.5 million to settle a claim for a motor vehicle collision involving a city vehicle and a third-party vehicle.

Two settlements over $100,000 were paid out for “losses onboard city vehicle” involving the Transit Services Department. The city settled six claims involving Public Works for slips and falls for over $100,000.

Ten of the 23 claims settled for over $100,000 were finalized in the final six months of 2024.

“The costs associated with the settlement of 10 claims over $100,000 in the last two quarters reflect the prevailing growth in court awards in personal injury matters for general damages, future loss of income/competitive advantage and future care costs,” the report says.

The City of Ottawa has paid out more than $10 million in nine of the last 10 years to settle claims for personal injury and property damage. The city paid out $14.1 million in 2023 and $14.5 million in 2022, while $8.5 million was paid out to settle claims in 2022. Ottawa spent $14.5 million to settle legal claims in 2015.