Ontario Newsroom

Ontario Modernizing Auto Insurance System to Protect Ride-Sharing Consumers

Archived News Release

Ontario Modernizing Auto Insurance System to Protect Ride-Sharing Consumers

Province Paves Way for Auto Insurance for Ride-Sharing Applications

Ministry of Finance

Ontario is modernizing the auto insurance system to allow for coverage of ride-sharing services in order to better protect drivers and consumers. 

The government has approved a regulatory change under the Insurance Act to allow commercial fleet insurance to be offered for vehicles that can be hired through an online application.

With the regulatory change, insurance companies can now develop insurance policies for purchase by ride-share companies. This closes the gap in auto insurance coverage for those drivers carrying paying passengers through ride-sharing services.

This change puts the protection of Ontarians first and is part of the government's 2016 Budget commitment to support the sharing economy. 

Ontario is fostering innovation by allowing companies to create various types of insurance products for emerging transportation services, such as ride-sharing. Moving forward, Ontario is committed to working with insurance stakeholders and the public to develop the legislative and regulatory changes necessary to fully integrate sharing economy business models into Ontario's auto insurance system.

Supporting the sharing economy while protecting consumers is part of the government's economic plan to build Ontario up and deliver on its number-one priority to grow the economy and create jobs. The four-part plan includes helping more people get and create the jobs of the future by expanding access to high-quality college and university education. The plan is making the largest infrastructure investment in hospitals, schools, roads, bridges and transit in Ontario's history and is investing in a low-carbon economy driven by innovative, high-growth, export-oriented businesses. The plan is also helping working Ontarians achieve a more secure retirement.

Quick Facts

  • The province is working with the Financial Services Commission of Ontario (FSCO) and the insurance industry to modernize the auto insurance system to develop a permanent solution for emerging transportation services. In the interim, auto insurance companies will be able to come forward and use this regulatory change as the basis for auto insurance coverage for sharing economy businesses.
  • In Ontario, municipalities have jurisdiction to decide on local approaches to ride-sharing.
  • FSCO is responsible for approving auto insurance policies.

Additional Resources


“When it comes to car insurance for ride-sharing, our top concern is for the safety of consumers and drivers. By modernizing Ontario’s auto insurance system, Ontario is allowing insurers to provide greater peace of mind to ride-sharing passengers and their drivers. The sharing economy has the potential to promote economic growth, productivity and support innovation. The Ontario government is committed to supporting the development of new and emerging service sectors while ensuring a level playing field for businesses and proper protection for consumers.”

Charles Sousa

Minister of Finance

Media Contacts



Driving and Roads Government