Ontario to introduce 40 changes to auto insurance

Millions of Ontario drivers will face a series of choices when they renew their insurance coverage after the Liberal government introduces a package of regulation changes Monday aimed at keeping rates down, The Canadian Press has learned.

Finance Minister Dwight Duncan will propose 40 different regulation changes for the auto insurance sector with a goal of giving consumers more options and flexibility to shop for lower rates, said a government source.

Duncan’s message to Ontario drivers “will be talk to your broker about how you can pay less while ensuring that you are adequately protected,” said the source.

The province will not adopt a recommendation from the Financial Services Commission of Ontario to lower medical and rehabilitation benefits for non-catastrophic injuries to $25,000, said one source.

Instead, drivers will be given options to try and keep a lid on the Ontario car insurance rate increases, including allowing them to buy a package with a basic medical coverage limit lower than the current $100,000 minimum.

There was no confirmation Sunday on exactly what new limit Duncan would propose, but Ontario’s basic benefits would remain “the most generous of any province with a similar auto insurance market place in Canada,” said a government source.

Other provinces with privately delivered auto insurance provide basic medical and rehab coverage ranging from $10,000 to $50,000.