Auto Insurance Reforms Require Informed Decisions
15 Jun, 2016, 10:00 ET
Only 10 Per Cent of Ontario Drivers Know Policy Details
TORONTO, June 15, 2016 /CNW/ - A recent survey reveals that Ontarians may not know as much about their auto insurance as they believe they do.
The survey, commissioned by the Financial Services Commission of Ontario (FSCO), shows that while 75 per cent of Ontarians who have auto insurance state they are familiar with the benefits and coverages in their auto insurance policy, only 10 per cent are very knowledgeable about the elements in a standard auto insurance policy.
For example, 82 per cent of respondents state that Collision Coverage is included in a standard auto policy, when in fact it is an extra coverage that must be purchased. In addition, of those who indicate they were "very familiar" with the benefits and coverages in their policy, only 37 per cent knew that Medical, Rehabilitation and Attendant Care – one of the key benefits in Ontario – was included.
On June 1, 2016, new auto insurance reforms took effect, making it more important than ever that drivers understand how their policy protects them in the event of an accident. Ontario drivers will receive detailed information about the changes with their renewal package. They are encouraged to call their insurance representative to learn more and read their policy carefully before renewing.
- The online survey was conducted by EKOS Research Associates in April 2016. It was completed by 1,159 Ontarians with a current auto insurance policy. The margin of error is +/- 2.9 percentage points, 19 times out of 20.
- New auto insurance reforms took effect June 1, 2016 including some reductions to benefits and coverages, as well as new and different options to give consumers more choice and greater affordability.
- Ontarians will still be protected by the most generous accident benefits coverage amont provinces with comparable systems.
- There are almost ten million drivers in Ontario.
"Understanding your policy is the first step towards making sure you are protected if you are ever in an accident. There are many options that allow Ontarians to tailor their coverage to meet their needs, but drivers need to take a more active role in learning about their policy and making educated and informed decisions."
- Tom Golfetto, Executive Director, Automobile Insurance Division, FSCO
About EKOS Research Associates
EKOS Research Associates (EKOS) is a full-service consulting practice, specializing in market research, public opinion research, strategic communications advice, program evaluation and performance measurement, and human resources and organizational research. This study was conducted using EKOS' unique, hybrid online/telephone research panel, Probit.
FSCO's legislative mandate is to provide regulatory services that protect the public interest and enhance public confidence in the sectors it regulates. FSCO regulates the insurance sector; pension plans; loan and trust companies; credit unions and caisses populaires; the mortgage brokering sector; co-operative corporations in Ontario; and service providers who invoice auto insurers for statutory accident benefits claims. FSCO is accountable to the Minister of Finance.
SOURCE Financial Services Commission of Ontario
For further information: For media enquiries only, please contact: Malon Edwards, Financial Services Commission of Ontario, Telephone: 416-590-7536, Toll free: 1-800-668-0128, ext. 7795, Email: [email protected]
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