Ontario launches auto insurance system review and public consultation
Vehicles move in Vancouver on Wednesday, June 4, 2014. (Jonathan Hayward / THE CANADIAN PRESS)
The Canadian Press
Published Wednesday, January 9, 2019 10:56AM EST
TORONTO -- The Ontario government is reviewing the province's auto insurance system in a bid to lower rates for drivers.
It says it will examine practices in other jurisdictions to find ways to make improvements and introduce more competition in the system.
The Progressive Conservative government also says it will consult with drivers, insurance companies and other stakeholders until Feb. 15 to find ways to lower rates.
A report commissioned by the previous Liberal government found in 2016 that Ontario had the most expensive auto insurance premiums in Canada despite also having one of the lowest levels of accidents and fatalities.
The Liberals had promised an average decrease of 15 per cent in insurance rates by August of 2015 and when that self-imposed deadline passed, then-premier Kathleen Wynne admitted it had been what she called a "stretch goal."
Finance Minister Vic Fedeli said the government will also create a regulatory framework that allows for modernization in the auto insurance sector.
"The previous government's failed system of stretch goals on auto insurance is clearly broken," he said. "Auto insurance rates in Ontario are among the highest in the country, and action is needed."