Empowering Auto Insurance Consumers with More Information and $1B in Relief
October 1, 2020
TORONTO, Oct. 1, 2020 /CNW/ – Ontario’s auto insurers reported consumers have been eligible to receive almost $1 Billion in relief in response to COVID-19. This represents an increase of over $300M or 45% since insurers last reported in May 2020. Information reported by the 13 largest insurers is also being shared publicly to provide greater transparency to inform consumers.
“Our government took immediate action to make the required regulatory changes so that consumers could benefit from the change in driving behaviour during the pandemic,” said Minister Phillips. “We made it very clear to insurers that drivers deserved more, which resulted in auto insurers making available almost $1B in relief for Ontario drivers. I have asked FSRA to continue monitoring how insurance companies are providing relief to ensure consumers’ needs are being met as the pandemic continues to evolve.”
The $1B reported consumer relief is equivalent to 7.1% of total annual auto insurance premiums and made available to over 90% of the 6.6 million auto insurance consumers in Ontario, an increase of more than 1.5 million consumers since April.
“Our focus is on the fair treatment of consumers and helping them make choices by sharing information and resources,” said Tim Bzowey, Executive Vice President, Auto/Insurance Products. “We will continue to monitor whether the promised relief is provided and evaluate whether insurers’ rates remain just and reasonable.”
Consumer relief is available through rebates, rate reductions, risk re-ratings, premium deferrals and other means, and varies by insurer.
Building on the need for greater transparency, FSRA is also launching an enhanced consumer information hub on its website. Consumers will be better informed, have access to average premiums and be able to search rate filings easily, which help them make informed decisions about their policy and the insurer they choose.
Auto Insurance Information Hub
Ontario Auto Insurance Rate Approvals
Have a question about your insurance provider’s approach to relief, and what relief you may be eligible to receive? Contact your insurance broker, agent or insurance company for more information.
SOURCE Financial Services Regulatory Authority of Ontario