Auto Insurance Rates Continue to Fall
Province Fighting Fraud, Reducing Rates and Working to Reward Safe Drivers
Ontario's Auto Insurance Cost and Rate Reduction Strategy is continuing to make auto insurance more affordable for Ontario drivers, as rates approved by the regulator have dropped for a total decrease of almost six per cent on average since August 2013 -- in keeping with the government's target of 15 per cent by August 2015.
Ontario is further reducing costs and uncertainty in the auto insurance system, fighting fraud and protecting consumers by:
- Establishing a project team to inform the creation of a dedicated investigation and prosecution office
- Introducing legislation to increase provincial oversight of the towing and vehicle storage industry
- Posting third-party Accountability Expert Reports in August of every year
- Encouraging insurers to offer consumers usage-based insurance, which uses technology to identify and offer discounts for safe driving habits.
Making auto insurance rates more affordable for drivers is part of the government's economic plan that is creating jobs for today and tomorrow. The comprehensive plan and its six priorities focus on Ontario's greatest strengths -- its people and strategic partnerships.
- Average rates decreased by 3.98 per cent for the fourth quarter of 2013 and by 0.68 per cent for the third quarter of 2013. In total, approved rates have declined on average by 5.67 per cent across the entire market since August 2013.
- If an insurer is able to offer a lower rate, it will be reflected on a driver’s policy when it is renewed. Most policies are renewed annually.
- Suspected fraud can be reported on FSCO’s website at www.fsco.gov.on.ca/TipNow, or by telephone at 1-855-5TIP-NOW.
“Our government is working hard to ensure a fair and affordable auto insurance system for Ontario’s nine million drivers. With the most recent rate reduction, we are closer to achieving the 15 per cent reduction by August 2015. We’re also moving forward with measures that would help reward safe drivers with lower rates.”