TORONTO, May 8, 2013 /CNW/ - A survey released today reveals the devastating impact of the 2010 auto
insurance reforms on the recovery of many motor vehicle accident
Premium relief will be welcomed by Ontario drivers but the rate
reductions should be accomplished by addressing fraud in the system and
lower insurer profits and not by further cuts to no - fault benefits
says the Ontario Rehab Alliance.
A survey of health care providers who treat auto accident victims,
conducted by the Ontario Rehab Alliance, suggests that any further
benefit reductions will cause more victims to run out of treatment
funds before recovering. Currently, only 17 per cent of seriously but
not-catastrophically injured victims attain their rehabilitation goals.
This recovery rate is dramatically reduced from the 57 per cent of
victims who attained rehab goals prior to the cuts made in September
2010. The cuts amounted to a 70 per cent reduction in insured benefits
that was not accompanied by lower premiums.
Optional benefits, introduced at the time of the cuts to basic coverage,
provide for higher levels of coverage. The Alliance believes that these
optional benefits are over- priced and poorly understood by drivers.
Very few drivers choose these, leaving most policyholders with
inadequate coverage in the event they are seriously injured in an
"Many drivers are unaware of how little their auto insurance now covers
and they are in for a big disappointment when injured" says Nick
Gurevich, President of the Alliance.
The survey results also show a distressing decrease in the proportion of
victims who are able to return to at least half of their pre-accident
roles and levels of function following treatment. Only 31 per cent of
seriously but non-catastrophically injured clients who were injured and
treated after the 2010 accomplished this, as compared to 56 per cent
under the pre-reform benefit structure.
"We certainly support reduction in the premiums paid by Ontario's
drivers and the fight to eradicate all fraud from our system, however,
with the second poorest benefit system in Canada (and the poorest when
it comes to minor injury) there is simply no room to offset reduction
in premiums with any reduction in the benefit system without dire
consequences to victims" adds Gurevich.
About the Ontario Rehab Alliance
The Alliance represents approximately 90 companies and about 3,500
health care providers including physiotherapists, occupational
therapists, speech language pathologists, chiropractors, psychologists,
rehabilitation therapists, social workers, nurses, personal support
workers and case managers. It is these individuals who are the primary providers of
healthcare and rehabilitative services to Ontarians who are injured in
automobile accidents. Ontario Rehab Alliance members help victims of
automobile accidents to put their lives back together and regain
function and dignity in the aftermath of the 65, 000 crashes which
affect Ontarians every year.
For further information, visit www.ontariorehaballiance.com
SOURCE: Alliance of Community Medical and Rehabilitation Providers
For further information:
To arrange interviews with Ontario Rehab Alliance President Nick Gurevich, contact:
Laurie Davis, Executive Director
Ontario Rehab Alliance
Toll Free 866-475-2844