The correct arrangement depends on the named insured, vehicles, business use and issued documents. This comparison is educational, not a recommendation for a specific risk.
OAP 1 is the owner’s policy
FSRAO identifies OAP 1 as the Ontario Automobile Policy Owner’s Policy. It is built around the owner and automobile information shown on the certificate, together with the application, policy wording and endorsements. Personal and commercial ownership situations still require accurate business-use disclosure.
OAP 4 is the garage policy
OAP 4 is the Ontario Garage Automobile Policy. It is designed for accepted garage operations and defines owned, customer and non-owned automobiles within that framework. It includes a dedicated section addressing liability for damage to customer automobiles while in the insured garage business’s care, custody or control.
Why a repair business can create a gap
A shop employee may drive an automobile owned by a customer, not the shop. The vehicle may be moved, stored or road tested as part of the garage business. Those facts are different from an owner simply insuring a described automobile. The forms contain definitions and exclusions that must be read with the actual use and driver status.
A business may need more than one policy
OAP 4 does not automatically replace every owner’s policy, and neither automobile form replaces the full commercial insurance package. Depending on ownership and use, a business can have garage automobile, owner’s automobile, property, general liability and other policies working together.
Questions to ask before deciding
Confirm who owns each automobile, who drives it, why it is driven, where it is stored and which legal entity is named. Then compare the certificate, limits, deductibles and endorsements. The fact that a vehicle or driver appears somewhere in the business does not answer which policy section responds.
- Who is the registered and actual owner?
- Is the automobile a customer, owned or non-owned automobile under the wording?
- Is it used in the stated garage business?
- Who drives it and with whose consent?
- Which certificate and endorsement addresses the exposure?
Common questions
Is OAP 1 personal insurance and OAP 4 business insurance?
That shorthand is incomplete. OAP 1 is the owner’s policy and can involve business use, while OAP 4 is the garage policy for accepted garage operations. The named insured, ownership, use and issued documents determine the arrangement.
Does OAP 4 cover an owner’s personal vehicle?
Do not assume it does. Ownership, regular use, the business description, certificate and exclusions all matter. Ask the broker to confirm where each vehicle belongs.
Can a garage rely on the customer’s OAP 1?
A garage should arrange its own insurance based on its operations. The customer’s policy is not a substitute for reviewing the garage’s liability and care, custody or control exposures.
Which form is current?
FSRAO lists current OAP 1 and OAP 4 forms and version dates. This page was source-checked against the July 2026 forms; use the form applicable to the actual policy period.
Primary sources
Use the current official wording and your own certificate when making a coverage decision.