Did You Know Your Car Insurance Has Changed?

 Here’s what all drivers need to know…

As of September 1, 2010, auto insurance coverage in Ontario has been reduced and accident benefits slashed. An article written by Patrick Brown of the Ontario Trial lawyers Association explains to consumers what they should know when they renew their existing auto insurance policies or when they purchase a new auto insurance policy.

The article also details questions that consumers may want to ask their insurance broker or agent when renewing their insurance policy. Be sure to write down the answers to each of the questions.

Please find the full article here

Article Highlights

• The new, basic auto insurance policy being sold now contains far fewer car accident benefits than existed before September 1.
• Consumers will not be told that coverage has been “reduced;” instead, we will be told that we have been given greater “influence” over our policies because we have new choices.
• Coverage under policies already in force as of September 1 has also been reduced without any reduction in premium or refund to you.
• Most medical coverage will be cut in half – from $100,000 to $50,000
• Coverage for minor injuries has been slashed to $3,500.
• It’s not possible to increase coverage for minor injuries – the limit is $3,500 regardless of the other options available.
• It appears that insurers are not expecting premiums to drop at all. Rates approvals announced in July and in October 2010 by the Financial Services Commission of Ontario show that insurers expect to keep rates steady.