Blog Your Car Is Impounded, Now What?

Sep 22, 2023

Learn how to get your vehicle out of impound and insurance repercussions

car impound lot

Driving in Ontario can be pretty smooth sailing, until it's not. There are many situations where things can take an unexpected turn. One such scenario is getting your car impounded. It's not a situation you want to find yourself in.

A variety of situations could lead to vehicle impoundment, also known as vehicle seizure. For example, if you are found guilty of a serious driving offence such as driving with a suspended licence. Even though it may seem likely, understanding the impoundment process is crucial.

In this blog post, we'll explore what you need to know about having your vehicle impounded, car insurance implications, and the top reasons why it may be impounded.

Click below to go to key points

What is vehicle impoundment?
What happens if my vehicle is impounded and I am not the driver?
Insurance repercussions if your car is impounded
How to get your vehicle out of impound
How to appeal a vehicle seizure
Commercial vehicle impoundment
Vehicle impoundment frequently asked questions

What does it mean to have your vehicle impounded?

Your vehicle may be impounded if you violate certain laws or regulations related to the operation or ownership of the vehicle, such as breaking traffic laws or using the vehicle in a crime. Impounding means it will be seized and taken into government or law enforcement custody.

If your vehicle is impounded, you must pay fees and meet requirements, such as resolving issues and obtaining documentation, to retrieve it. Failure to do so within a specified time can result in forfeiture and auction sales to cover costs, which we will cover in the below sections.

Reasons your car would be impounded

Driving with a suspended driver's license can lead to getting an impoundment notice from a police officer, and your vehicle will be towed away immediately. This rule applies to all kinds of motor vehicles, such as passenger cars, trucks, buses, motorcycles, and vehicles that have been rented, leased, or provided to you for work. Your vehicle can get impounded, or seized, even if the licence is from another province, state, or country.

Here are some common reasons for a car being impounded and what typically happens:

  • Traffic violations: If you are pulled over for a traffic violation and cannot provide valid identification or proof of insurance, or if your vehicle registration is expired, the police may impound your car. In this case, you will usually need to pay fines, provide valid documentation, and possibly cover towing and impound fees to retrieve your vehicle.
  • Abandoned vehicle: If your car is left unattended in a public area for an extended period or is blocking traffic, it may be impounded as an abandoned vehicle. To retrieve your car, you must prove your car ownership and may incur towing and storage fees.
  • Arrest: If you are arrested while driving your vehicle, the police may impound it. In this case, you typically need to wait until your legal matters are resolved before you can retrieve your car.
  • Evidence: Sometimes, the police may impound a vehicle if it is involved in a crime or is needed as evidence in an ongoing investigation. In such cases, the release of the car is usually subject to the progress of the investigation and the approval of law enforcement agencies and the courts.
  • DUI/DWI: Your vehicle may be impounded if you are arrested for driving under the influence (DUI) or while driving under the influence of drugs. The length of impoundment and the requirements to retrieve your vehicle may depend on local laws and regulations.
  • Unpaid parking tickets: Accumulating many unpaid parking tickets can lead to your vehicle being impounded. You will likely need to pay all outstanding fines and impound fees to get your car back.

What happens if your car is impounded by police?

When the police impound your car, it means that your vehicle has been seized and is being held by law enforcement for different reasons.

  • Notification: When a vehicle is subject to impoundment, the police officer will provide the driver with a notice of impoundment. If the impoundment is for 45 days, the Registrar of Motor Vehicles will notify you directly.
  • Impound lot: The vehicle will then be immediately towed to an impound yard for seven days in Ontario (or however long the impoundment is stated for). There will be towing and storage fees associated with this.
  • Proof of Ownership and Identification: To retrieve your impounded vehicle, you will typically need to provide proof of ownership (vehicle registration) and personal identification (driver's license).
  • Resolution: The process for releasing your car will depend on the reason for impoundment. For traffic violations, you may need to pay fines or show that you've resolved the issue, such as proof of payment with a receipt. For evidence-related impoundments, the release may be subject to the conclusion of a criminal investigation.
  • Legal consequences: If a vehicle is impounded for illegal activities (e.g. DUI, crime involvement), the driver/owner may face fines, penalties, or criminal charges.

Keep in mind the specific circumstances and procedures can vary depending on the jurisdiction and the reason for the impoundment.

My car was impounded but I wasn’t the driver – what happens?

Let's say you lent your car to a friend for the weekend. Unknown to you, Jane was pulled over by the police for speeding and subsequently arrested for driving under the influence of alcohol. The police impound your car because of their arrest.

In this scenario:

  • You would contact the impound lot or towing company to find out why your car was impounded.
  • You would explain to them that you were not the driver and provide proof of vehicle ownership.
  • The police may investigate the circumstances and confirm that you were not the driver.
  • If the friend was responsible for the impoundment, they might have to pay the impound fees, and your car would be released to you once those fees are settled.
  • If their actions resulted in legal consequences, they would likely face penalties for the actions, including DUI charges.
  • It's important to remember that laws and procedures can vary by jurisdiction, so it's advisable to consult with local law enforcement or legal counsel for guidance specific to your situation.

How long can my vehicle be impounded for?

Did you know that the reason why your driver's license is suspended can determine how long your vehicle will be impounded? Don't let a simple mistake cause you to lose your vehicle for an extended period. Here are some examples:

  • Criminal Code convictions, such as impaired driving or leaving the scene of a collision, carry a minimum sentence of 45 days impounded.
  • The impound penalty for engaging in stunt driving or street racing is 14 days.
  • Offences under the Highway Traffic Act, such as having a BAC of 0.08 or higher, or refusing a drug or alcohol test, result in a 7-day suspension.

Does getting your car impounded impact insurance?

Yes, having your car impounded can lead to an increase in your Ontario car insurance rate. While the incident of getting your vehicle seized may not directly trigger a premium increase, the underlying reasons for the impoundment can impact coverage costs in the following ways:

  • Traffic violations: Many impoundments result from serious traffic violations such as DUI, speeding through construction zones or school zones, or driving without insurance. When your insurer becomes aware of these violations, they may classify you as high-risk, which leads to higher premiums due to your risk factor.
  • License suspension: A suspended license from impoundment-related offences may increase your insurance premiums as it suggests you are a high-risk driver.
  • Loss of coverage: Insurance providers may cancel your coverage if they learn that your car has been impounded due to serious violations. Finding another insurer might be difficult, and you may have to rely on a high-risk insurance provider, which can be costly.

The impact on your premiums might differ based on your policy, insurer, and location. The best way to prevent your insurance rates from rising is by having a clean driving record and avoiding any offences that could result in an impoundment.

If you have concerns about how an impoundment might affect your insurance, you should contact your broker directly to discuss your situation and potential premium adjustments.

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How to get your vehicle out of impound

To retrieve your impounded vehicle, you typically need to follow these steps:

  • Contact the impound lot: Find out where your car is being held and contact the impound lot for information on fees, documentation requirements, and hours of operation.
  • Provide identity and proof of ownership: You will generally need to show proof of ownership (vehicle title), a valid driver's license, and any required documentation, such as insurance and registration.
  • Pay the fee(s): You will be required to pay towing and impound fees, which can vary depending on the duration of impoundment.
  • Resolve the reason for impoundment: If your car was impounded due to legal issues like outstanding fines or a suspended license, you may need to address and resolve those issues with the appropriate authorities.

It's crucial to understand that the procedures and fees for reclaiming an impounded car can differ depending on the location. Therefore, contacting the relevant law enforcement agency or impound lot is paramount to getting accurate information and guidance on retrieving your impounded car. If you don't address the impoundment promptly, you may face additional fees and the risk of losing your vehicle.

How much does getting your vehicle out of impoundment cost?

The cost of getting your vehicle out of impoundment in Ontario can vary depending on several factors, including the reason, the duration of impoundment, and the specific impound lot or towing company involved.

  • Towing Fee: You will typically need to pay a towing fee to cover the cost of having your vehicle towed to the impound lot. Towing fees can vary depending on the distance and other factors but can range from around $100 to $200 or more.
  • Storage fees: The longer your vehicle remains in impoundment, the higher the storage fees will be. Storage fees can accrue daily and range from $50 to $100 or more per day. It's important to retrieve your vehicle as soon as possible to minimize these costs.
  • Admin fees: Some impound lots may charge administrative costs for processing the release of your vehicle. These fees can vary but typically range from $50 to $100.
  • Other fines and penalties: If your vehicle was impounded due to legal issues, such as driving violations or unpaid fines, address these and pay associated fees. Pay fines and impound fees if impounded due to unpaid parking tickets or other violations.

These are approximate costs, and they can change over time. Contacting the impound lot or towing company directly is essential to get accurate information on the specific costs and procedures. Consult the website of the Ontario Ministry of Transportation or contact them for the most up-to-date information on vehicle impoundment procedures and costs.

How to appeal an impoundment

You can appeal a vehicle impoundment for a refund of the towing and storage costs if:

  • It was impounded because the car was stolen.
  • The driver's license was not suspended or subject to ignition interlock due to a Criminal Code conviction.
  • The vehicle owner or the plate holder made all necessary efforts (such as verifying the driver's record with MTO) to ensure that the driver possessed a valid driver's license, or was not bound by an ignition interlock condition arising from a conviction under the Criminal Code.
  • Losing the vehicle would cause significant hardship.

Only Criminal Code suspensions, such as 45-day impoundments, can be appealed. Appeals for 7-day impoundments are not permitted. Visit the website of the Licence Appeal Tribunal for more information on the process.

Commercial vehicle impoundment

Ontario Regulation 512/97 allows impounding of commercial vehicles with critical defects in brakes, steering, wheels, tires, frame, and suspension.

  • First offence: 15-day impoundment
  • Second offence within two years, 30 days
  • Third offence or more, 60 days.

Commercial vehicles will be impounded for a period of 7 days in the following situations:

  • If the driver's license has been suspended for a period of 100 days or more.
  • If the driver has a blood alcohol level exceeding .08.
  • If the driver is found to be in violation of an ignition interlock requirement.

These incidents can lead to a serious impact on your commercial vehicle insurance. You can learn more about the commercial vehicle impoundment program online.


Impounded vehicle FAQs

In Ontario, someone else can retrieve your vehicle from impound on your behalf, but some specific requirements and procedures must be followed, such as an authorization letter, fee payments, and proper identification.

You need valid Ontario car insurance to retrieve your car from impound in most jurisdictions. Insurance requirements can vary depending on the location and the reason for the impoundment. Plus, you will need coverage to drive the car – it’s illegal to drive without it.

Impound lots are designed to temporarily store vehicles that have been impounded for various reasons, such as traffic violations, towing, or legal issues. The impound lot typically charges daily storage fees, and there are usually limits to how long your vehicle can remain there.

If you receive a ticket for speeding over 50km/h or more over the posted speed limit, you could face a minimum of a seven days vehicle impoundment.

You may be able to apply for a refund of fees if your vehicle was stolen at the time it was impounded, the licence was not under suspension, or subject to an ignition lock.

Being a focused and safe driver will keep your car out of impound

To avoid costly and inconvenient impoundment of your car in Ontario, follow traffic laws and maintain proper documentation. If you face impoundment, understand the process and your responsibilities for a smoother resolution. Stay informed, stay safe, and keep driving responsibly.