Ontario misses auto insurance goals, increases rates

  • Ontario
  • 20/04/2017
Ontario misses auto insurance goals, increases rates
Ontarios auto insurance rates have increased in the first three months of the year, reflecting the provinces continued struggle in balancing its insurance issues.The Financial Services Commission of Ontario has this week approved an average rate increase of 1.24%.Ontarios Liberal government promised back in 2013 that it would enact a 15% average cut. The proposed cut, however, never materialized. Premier Kathleen Wynne later announced that the pledge to reduce auto insurance rates was a stretch goal.The Canadian Press noted that the recently approved rates put the average cut since 2013 at a little over 7%.News of Ontarios failure to meet its auto insurance rate target follows a recently-released study that painted a bleak picture of the provinces auto insurance industry.David Marshalls report found that although Ontario had among the lowest levels of accidents and fatalities in the country, the province also has the most expensive auto insurance premiums.According to the report, the average auto insurance premium in Ontario is $1,458 nearly 55% higher than the national average of $930. Marshall wrote that if the province managed to lower its average to match the national average, it would save its drivers almost 40%, or about $4 billion a year.Marshall suggested that Ontarios current system favors cash settlements instead of providing proper care, hence the high premiums.
  
Or use your account on Blog

Error message here!

Hide Error message here!

Forgot your password?

Or register your new account on Blog

Error message here!

Error message here!

Hide Error message here!

Lost your password? Please enter your email address. You will receive a link to create a new password.

Error message here!

Back to log-in

Close