Questions & Answers
What is the Ontario Auto Insurance Reform?
Effective September 1, 2010, the
Why has the government instituted these
reforms?
The
Why is my policy premium more this year even with the reduced
Standard coverage?
Over the last 12 months most insurance companies filed for and received
rate increase approvals from the Ontario Government. These increases
were independent of any changes to the auto policy.
Each insurance company was also required to file rates for
the new automobile policy effective September 1, 2010.
The rates filed took into account any previous increase
approved as well as the net effective of the changes expanding
access to Tort and reducing the Accident benefits coverage. The net
change to the rates that were in effect on August 31, 2010 was a
very slight reduction in rate.
However combined with the previous approved increases most
policy holders are still seeing an increase in their policy
premiums.
Will my rates go down as a result of
Ontario Auto Reform?
The majority of policy holders will not see a decrease in their auto
insurance premiums as a result of the reform. Individual policy
rates are determined by a number of factors, including your driving
history, age, type of car and where you live.
Accident Benefits are a standard feature found in all
Who determines if my injuries are minor / non catastrophic or
catastrophic?
Independent medical assessments can be used to help determine the extent
of the injury.
How do the benefits affect me if I am retired or have no income?
The only benefit that is affected under this situation is the income
replacement benefit. You
will be subject to the non earners benefit of $185.00 per week with
no need to purchase additional coverage.
All other benefits on the policy remain and you will need to
access if there is a need to purchase enhanced limits.
Are the benefit limits per person / per accident / per policy term?
Each of the benefit limits is available to each person injured in an
accident. The limits are
per accident per person so payouts over multiple years are still
limited to the total available at the time of the accident.
Purchasing additional / enhanced limits after an injury would
not be retroactive to any previous accidents.
My policy renews after September 1, 2010.
What do I need to do?
The new accident benefit amounts will be applied to policies that come up
for renewal any time after September 1, 2010. You will receive a
renewal letter at least 30 days prior to your policy expiry date.
This is a good opportunity for you to review you policy to ensure
you have the right coverage for your needs.
What happens if I don’t do anything?
Renewals after September 1, 2010: The new accident benefits amounts will be applied to policies that come
up for renewal any time after September 1, 2010. You will receive a
renewal letter at least 30 days prior to your policy expiry date.
Can I add or reduce coverage at anytime?
You can add coverage or change coverage at anytime during the policy term.
Once coverage has been added to your policy, your policy will renew
each year as per the expiring term.
You will need to make sure that the enhancements are added
only if you change insurance provider.
I have two or more vehicles in my name or my spouse’s name?
You only need to buy the increased coverages on one of your vehicles, as
the increase coverage applies to both you and your spouse and any
dependants. (children under 18 or under 25 and attending school full
time)