TORONTO, April 11, 2019 /CNW/ - The Ontario Government's multi-year plan to fix auto insurance is a win for consumers. These changes will give consumers greater choice in their coverage and better control over the price they pay for auto insurance.
A keystone of the "Putting Drivers First" plan is introducing "care not cash" to ensure insurance resources are used to pay for the treatment accident victims need to recover from their injuries. The plan will also make it easier for consumers to make informed choices about their auto insurance coverage.
"The Government has put Ontario drivers first with this budget. Today's announcement focuses resources squarely where they should be: on helping those injured in auto collisions recover," said Kim Donaldson, Vice-President, Ontario, Insurance Bureau of Canada. "Auto insurance is complex, but the proposed changes clearly intend to make the claims process simpler for consumers."
The Government's reform plan also addresses an important issue raised in the 2017 report by David Marshall on Ontario's broken auto insurance system. As Marshall noted, hundreds of millions of dollars of insurance benefits are diverted each year into contingency fees for lawyers. Today, the Government committed to re-evaluating the legal contingency fee arrangement to ensure consumers are protected, and to ensure agreements are transparent.
"Putting Drivers First" encourages greater competition. It also enables electronic proof of insurance, and electronic commerce and communications between insurers and clients to make it easier for consumers.
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.
If you have a question about home, auto or business insurance, contact IBC's Consumer Information Centre at 1-844-2ask-IBC in Ontario.
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...