Ontario Government's Legislation on Towing Industry a good first step

TORONTO, APRIL 15, 2014 /CNW/ - Today's introduction of the legislation,  Roadside Assistance Protection Act, is long overdue and will bring clarity to consumers with their interaction with tow truck operators.   The Bill will help with disclosure and transparency for consumers requiring towing services so that prices are upfront and authorization is clearly provided.

Ralph Palumbo, Vice-President, Ontario, Insurance Bureau of Canada, says, "We support the government's initiatives to protect drivers requiring towing services. A Consumer Bill of Rights is a positive step. In addition to protecting consumers from unscrupulous operators, this Bill will help combat insurance fraud, and may ultimately save consumers money and make our roads safer.  We are hopeful that these measures in the bill will address concerns about fraud as noted in the Auto Insurance Anti-Fraud Task Force Report."

These are positive developments.   The Insurance Bureau of Canada's Towing Working Group, in response to a Ministry of Consumer Services consultation, is focused on towing and storage issues in order to create an environment that is fair to all stakeholders. Recently, the Working Group recommended to the Government:

  1. Establish a provincial tow license and include tow trucks within the Commercial Vehicle Operator's Registration (CVOR)
  2. Implement a standardized invoice and tow authorization form
  3. Enact the Fair Value Guidelines principles
  4. Shorten the notice period in the Repair and Storage Liens Act

Palumbo added, "We look forward to working with the government on these important issues.   Once all of these items are addressed, our roads will be safer, and consumers will be better protected and informed."

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SOURCE Insurance Bureau of Canada

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