TORONTO, Nov. 15, 2018 /CNW/ - In today's Fall Economic Statement, the Ontario government committed to cut red tape in the auto insurance system to benefit consumers.
"We congratulate the government on working to create the type of insurance system that is long overdue," said Kim Donaldson, Vice-President, Ontario, Insurance Bureau of Canada (IBC). "Consumers are looking for more common-sense innovations such as usage-based insurance and the ability to show electronic copies of their insurance documents. Insurers applaud the objective of the Ontario government to modernize the rate regulation process."
The Financial Services Regulatory Authority of Ontario will review and examine how other jurisdictions set insurance rates and to identify greater efficiencies and to enable more competition in the province's auto insurance system.
Also encouraging in today's Fall Economic Statement was the Ontario government's observation that recent innovations in the insurance sector require an equally innovative response from regulators. The government is committed to creating a new regulatory framework that supports the modernization of the auto insurance sector as well as providing the new regulator innovative insurance products with the tools it needs to deter fraud.
"Consumers today demand flexibility and ease of use of products and services," added Donaldson. "The electronic availability of insurance documents is the logical next step. Today's announcement will improve the consumer experience."
Home, auto and business insurers look forward to continuing to work with the government to make the auto insurance system more affordable and stable for all drivers in Ontario.
About Insurance Bureau of Canada
Insurance Bureau of Canada (IBC) is the national industry association representing Canada's private home, auto and business insurers. Its member companies make up 90% of the property and casualty (P&C) insurance market in Canada. For more than 50 years, IBC has worked with governments across the country to help make affordable home, auto and business insurance available for all Canadians. IBC supports the vision of consumers and governments trusting, valuing and supporting the private P&C insurance industry. It champions key issues and helps educate consumers on how best to protect their homes, cars, businesses and properties.
P&C insurance touches the lives of nearly every Canadian and plays a critical role in keeping businesses safe and the Canadian economy strong. It employs more than 126,000 Canadians, pays $9 billion in taxes and has a total premium base of $54.7 billion.
For media releases and more information, visit IBC's Media Centre at www.ibc.ca. Follow IBC on Twitter @IBC_Ontario and like us on Facebook. If you have a question about home, auto or business insurance, contact IBC's Consumer Information Centre at 1-844-2ask-IBC (1-844-227-5422).
SOURCE Insurance Bureau of Canada
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