TORONTO, June 10, 2011 /CNW/ - Insurance Bureau of Canada (IBC) commends
the provincial government for enacting Regulation 194/11 as part of its
ongoing and determined policy of introducing measures designed to
combat insurance fraud. The measures described in the regulation
respond to specific issues that industry claims personnel have
identified and which IBC recommended to FSCO.
"We are pleased that our industry will have additional resources with
which to combat fraudulent activity which affects the insurance
industry, and most importantly, the consumers we serve," said Ralph
Palumbo, Vice-President IBC, Ontario. "We commend the work of FSCO in
this regard, and, of course, the government for taking this timely and
Of note, FSCO's recent announcement of charges against the director of a
Toronto area medical rehabilitation clinic highlights the fight against
auto insurance fraud. Investigators from IBC's Investigative Services
Division have been tracking fraudulent activities for many years.
Among the provisions of the new regulation is a requirement that a
provider billing an Ontario insurer must produce within 10 days any
information, including original documentation that an insurer may
request to determine liability for payment.
"Another welcome provision of the new regulation," Palumbo said,
"prohibits claimants from applying for mediation if they have failed to
comply with a request for an insurer examination." The regulation is in
keeping with FSCO`s recently released Bulletin A-02/11, Insurer Rights and Responsibilities to Challenge Questionable or Abusive
IBC is also eager to support the work of the province's recently
announced auto insurance anti-fraud task force, with the goal of
providing recommendations on the detection, investigation, enforcement
and consumer education on auto insurance fraud.
About Insurance Bureau of Canada
Insurance Bureau of Canada is the national industry association
representing Canada's private home, car and business insurers. Its
member companies represent 90% of the property and casualty (P&C)
insurance market in Canada. The P&C insurance industry employs over
114,000 Canadians, pays more than $7 billion in taxes to the federal,
provincial and municipal governments, and has a total premium base of
To view media releases and information, visit the media section of IBC's
website at www.ibc.ca.
SOURCE INSURANCE BUREAU OF CANADA
For further information:
Mark Klein at 416-362-2031 ext. 4387